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A look at some of the metrics that FTC can use to define Facebook's alleged monopoly in its refiled antitrust suit, including time on-site and “active users”

Despite some compelling allegations, a federal judge dismissed the FTC's antitrust complaint against Facebook due …

ProMarket John Newman

Context & Ripple Effects

The FTC's first complaint failed in June when a federal judge ruled its definition of market dominance insufficient, though it left the door open to refile within 30 days. Experts at the time said that window was enough to fix the monopoly allegation, and this piece shows how: anchoring the 'personal social networking' market in measurable engagement metrics like time on-site and active users rather than loose market labels.

First-order effects

  • The FTC now has to defend a market definition built on engagement metrics, putting Facebook's internal usage data — time on-site, active user counts — at the center of discovery and expert testimony.
  • Facebook's legal team gains a concrete target: attacking whether time on-site and active users actually delineate a market Facebook dominates, rather than fighting a vague dominance claim.

Second-order effects

  • The refiled complaint's claim that Facebook has driven up ad prices via monopoly control is already drawing analytical pushback — critics argue the ad-price allegation doesn't hold up — meaning the metrics fight extends beyond market definition to whether monopoly power caused measurable harm.
  • The difficulty of making the charge stick, as the earlier dismissals of both the FTC and state AG suits showed, keeps pressure on lawmakers weighing tougher antitrust statutes as the backstop if litigation stalls.

Third-order effects

  • If engagement metrics like time on-site become accepted tools for defining social-networking markets, platform antitrust cases shift toward data-intensive battles over internal analytics, raising the evidentiary bar for agencies and favoring defendants with superior measurement resources.
  • A pattern of dismissal-and-refile around market definition points toward legislative modernization of antitrust law as the likelier route for structural change against large platforms, with courts signaling what current statutes can and cannot reach.

The trend: Platform antitrust is converging on engagement-metric market definitions as the FTC iterates its Facebook case through dismissal and refile.

Discussion

  • @asherschechter Asher Schechter on x
    “Trying to analyze one particular part of the social experience in a vacuum can ignore what makes personal social-networking services so unique.” —@johnmarknewman on the future of FTC vs. Facebook https://promarket.org/...
  • @promarket_org ProMarket on x
    “The entire market-definition exercise is just an indirect way of trying to get at what we really care about, market power. It always runs a risk of over- or understating,” writes @johnmarknewman in his piece about the future of FTC v. Facebook https://promarket.org/...
  • @johnmarknewman John Newman on x
    How should we calculate the relative size and power of a company like Facebook? More importantly, how should @FTC do so if and when it decides to pick up the gloves for another round of antitrust battle? My latest: https://promarket.org/...
  • @b_fung Brian Fung on x
    The FTC has asked a federal judge to extend the deadline to file an amended complaint in its case to break up Facebook. In a filing, the FTC said it's agreed with Facebook on a new proposed deadline of Aug. 19. https://www.pacermonitor.com/ ...