WASHINGTON D.C. – A United States federal judge on Tuesday, November 18, 2025, dismissed a landmark antitrust lawsuit against Meta Platforms Inc., ruling that the technology giant does not hold an illegal monopoly over the social media market. The decision, delivered by Judge James Boasberg of the U.S. District Court for the District of Columbia, concludes a five-year legal battle initiated by the Federal Trade Commission (FTC) and prevents the forced divestiture of Meta's key acquisitions, Instagram and WhatsApp.

The FTC first filed its suit in December 2020, alleging that Meta, then known as Facebook, engaged in anti-competitive practices by acquiring Instagram for $1 billion in 2012 and WhatsApp for $19 billion in 2014 to eliminate emerging threats and unlawfully maintain its dominance. However, Judge Boasberg concluded that the FTC failed to prove that Meta currently possesses monopoly power in a rapidly evolving digital landscape.

In his 89-page opinion, the judge rejected the FTC's narrow definition of the market as "personal social networking," arguing that it no longer reflects reality. He asserted that Meta faces fierce competition from platforms like TikTok and YouTube, which have fundamentally altered how users consume content. "The landscape that existed only five years ago when the Federal Trade Commission brought this antitrust suit has changed markedly," Boasberg wrote, noting that early court filings in the case did not even mention TikTok, which he now describes as "Meta's fiercest rival."

Meta's Chief Legal Officer, Jennifer Newstead, welcomed the ruling, stating, "The court's decision today recognizes that Meta faces fierce competition." The FTC expressed deep disappointment with the outcome and is reviewing its options, including a potential appeal.

Implications for Kenya's Digital Economy

While the ruling provides Meta with a significant victory in the U.S., its ripples are felt in Kenya, where the company's platforms are deeply integrated into daily life and commerce. According to a January 2025 report from DataReportal, Kenya has 15.1 million active social media users, a figure equivalent to 26.5% of the population. A separate report from the Communications Authority of Kenya (CA) at the end of 2024 identified Facebook and WhatsApp as the country's most popular platforms.

This dominance places Meta at the center of Kenya's burgeoning digital advertising market. A recent PwC report crowned Kenya as the world's fastest-growing internet advertising market, with a projected 16% compound annual growth rate through 2029. Global platforms like Meta, Google, and TikTok capture the majority of this spending, raising questions about value distribution and the sustainability of local media and content creators.

The U.S. court's decision comes as Kenyan regulators are actively working to enhance their oversight of the digital sector. The Competition Authority of Kenya (CAK) has been pushing for the Competition (Amendment) Bill, which aims to give the agency explicit powers to regulate digital markets and address anti-competitive conduct by tech giants. The proposed legislation would allow the CAK to investigate firms for abuse of a "superior bargaining position," even if they don't meet traditional definitions of market dominance. This U.S. ruling, which emphasizes the dynamic and competitive nature of the global tech landscape, could influence the CAK's approach and the legislative debate surrounding the bill.

Furthermore, the Kenyan government is navigating a complex relationship with Big Tech on the fiscal front. The Kenya Revenue Authority (KRA) has proposed a Significant Economic Presence Tax (SEPT), aiming to replace the 1.5% Digital Service Tax with a more substantial levy on the profits of non-resident tech firms. This move has faced pushback from U.S. tech companies, who argue it creates a trade barrier. The Meta verdict, by reinforcing the company's powerful market position, may embolden tech firms in these negotiations with national governments.

For Kenyan businesses and consumers, the ruling means the integrated ecosystem of Facebook, Instagram, and WhatsApp will remain intact. While this offers seamless connectivity and marketing reach, it also solidifies the market power of a single entity. As Kenya continues to build its digital economy, the government, regulators, and the public will face the ongoing challenge of balancing the benefits of global platforms with the need to foster a competitive and equitable local market.