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In the anti -monopoly experience that is currently being done, the Federal Trade Committee presents its descriptive case (Dead-1.69 %They misunderstood her dominance on social work as part of “Buy or burial“A strategy to get the emerging threats.
there Many major questions in FTC case Against the parent company on Facebook, including whether Meta is dominant as the organizers say in the Tiktok era, and if social media is actually worse today because of the alleged Facebook trick Neutrality Her competitors. Facebook got Instagram in 2012 and WhatsApp in 2014, and the social network giant also tried to buy Snapchat (pop-06 %) In 2013, before Copy of its marquee feature – stories. Earlier, Facebook tried to buy Twitter, and former CEO Jack Dormy According to what was reported, the deal was considered On the fears that Facebook can decrease by copying it.
While the courts received these stones and more, what is called on the test of the social media empire in Mark Zuckerberg if FTC can win? A lot of terrible, given that the maximum Meta market is now about $ 1.3 trillion.
“I think treatment will likely be a kind of getting rid of or disintegration,” Rebecca Alinsworth, an expert on anti -monopoly and assistant dean at Vanderbelt University. “Thus, Meta Instagram, WhatsApp or both will lose.” But Allensworth warned that this “IF” is great.
“I don’t think it is clear that they will succeed, but they may do it well,” she said.
Therefore, Meta can be forced to acquire Instagram and WhatsApp – but what does this really mean for its advertising work today?
“There is a lot at stake for Meta; he may lose up to half of her advertising work,” said Yasmine Enberg, Vice President and Emarketer’s lead analyst. The research company expects that Instagram alone represents 50.5 % of the US advertising revenue this year, and forced sale or additional offer can hinder Meta’s ability to grow later.
“Instagram has been chosen to stagnate on Facebook on the user user for a long time, especially among young people,” said Enberg. “Although Meta is huge and Facebook is still the largest social platform around the world,” META needs Instagram to maintain growth, as Enberg added, as Gen Z and younger users “move to social media for the first time.”
Enberg explained that the broader social media scene has changed dramatically since it cut Facebook Instagram in 2012, when Snapchat just launched and Tiktok was not yet present. Today, the user’s behavior is more fragmented, as people resort to many different applications throughout the day. “Social platforms are also competing with non -social players, such as entertainment providers,” she added.
Although many applications with social features are now suitable for the eyes of users, Enberg said: “On the commercial side of things, it is still incredibly uniformous towards definition, especially if you are looking for spending on social ads alone.” Emarketer says that 72.5 % of the total social advertising spending in the United States will go to Meta in 2025.
Many of this is related to Instagram, but WhatsApp is also a big balance for Meta. Although the chat application does not host the ads, Meta is looking forward to Commercial correspondence To diversify its revenues, Enberg said. In addition, the WhatsApp base, which includes several billions of users, gives Meta “hand, as well as some data to help support its advertising business”, added.
“The high risks in this issue go beyond death. He said: “The treatment that the government seeks, which is the dismantling of the company, is a great deal that would only change the experience of consumers, but in reality it will change the ecosystem for the entire communication of our culture.” “I think it is fair to say [that] This is an enormous condition. “
But will the disintegration of the definition come in reality? “Its basic issue is a settlement.” Said Stephanie Link, the chief investment strategy in HighTower Advisors. LINK added that Meta has already surrendered to President Trump in several ways, including by closing its professional efforts to break the facts and diversity, and The president paid $ 25 million After being expelled from Instagram and Facebook.
Quoting Previous developments in the caseLink eventually said she sees “no change to [Meta’s] 20 % revenue growth and 40 % operating margin story. It is now trading in 19x to the front P/E and decreased by 30 % of the highest highest levels – when you started buying. It will continue. “