Meta is being sued by the United States’ Federal Trade Commission (FTC). The complaint is that Meta has created an illegal monopoly by purchasing apps such as Instagram and WhatsApp, and thereby, controlling the social media market.
The lawsuit also claims that Meta had a strategy to either “buy or bury” its competitors, and also made it difficult for other rivals to enter the market.
Meta has argued that it faces competition from other media platforms such as YouTube and TikTok.
If the FTC wins its lawsuit, Meta could be forced to break up Instagram and WhatsApp.
Here’s how a Meta breakup could affect your small business
1. Complicated advertising and new costs
Advertisers currently run campaigns across Facebook, Instagram, and WhatsApp seamlessly. A breakup would mean separating advertising accounts and learning new strategies for each platform.
This would also lead to less precise targeting, as data would not be shareable across platforms.
2. Disruption
A transition period would require new policies, new advertising tools and new user interfaces. All of this would disrupt your business, especially if you are using social media platforms for advertising or promotion.
3. Increased market competition
New social media platforms might be able to break through. This would give business owners more choice, and better chances for visibility.
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