In a landmark antitrust trial, Meta Platforms Inc. META CEO Mark Zuckerberg took the stand on Monday. During his testimony, Zuckerberg disclosed a previously unimplemented plan to reset all Facebook users’ connections in 2022.
What Happened: The U.S. government summoned Zuckerberg to testify in its case against Meta. The outcome of this trial could potentially result in the breakup of the social media behemoth.
Zuckerberg, in a 2022 internal email to Meta’s top brass, proposed an extreme measure to keep Facebook culturally relevant. He suggested resetting all user connections, or “graphs,” as he referred to them.”One potentially crazy idea is to consider wiping everyone’s graphs and having them start again,” read the email.
Despite reservations from Facebook’s head, Tom Alison, Zuckerberg further inquired about the possibility of transitioning profiles to a follow model, according to a report by Business Insider.
Zuckerberg confirmed during his testimony that this drastic plan was never put into action. He also noted that Facebook’s primary function has evolved over the past two decades and is no longer primarily about connecting with friends. The Federal Trade Commission (FTC) argued that Meta monopolizes apps for content sharing with friends and family.
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Why It Matters: Facebook has faced challenges due to an aging user base and declining cultural relevance, while other platforms under its parent company Meta—such as Instagram and WhatsApp—have risen to prominence in its place.
When Meta announced its quarterly results in January, Zuckerberg disclosed plans to restore the original Facebook, to "how it was originally used back in the day". The Meta CEO wanted to make it more “culturally influential”
He also stated that changes might begin to take effect over the next six months to a year. "I’m excited this year to get back to some OG Facebook."
The ongoing trial could lead to the forced divestiture of Instagram and WhatsApp, if the FTC’s case against Meta is successful. The outcome of this trial could significantly impact Meta’s business model and its dominance in the social media market.
The momentum rating of META is 73.56% while its growth rating is 74.90%, according to Benzinga’s Proprietary Edge Rankings. The Benzinga Growth metric evaluates a stock's historical earnings and revenue expansion across multiple timeframes, prioritizing both long-term trends and recent performance. For an in-depth report on more stocks and insights into growth opportunities, sign up for Benzinga Edge.
Meta stock declined 2.22% to close at $531.48 on Monday, as per BenzingaPro.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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