It makes sense in the abstract: e.g. imagine you're accused of murder, and you know someone saw you somewhere else at the supposed time of the crime, yet they refuse to provide evidence to help you. It would seem reasonable they could compel you under that circumstance to testify.
Since the FTC has initiated a court case against Meta, I assume they are provided a similar legal right to command competitors to provide evidence that they haven't behaved "anti-competitively".
The question becomes whether, in this particular instance, they're abusing that privilege by demanding information they shouldn't be entitled to from unrelated/extraneous parties.
As you can see, also not a lawyer.
Breaking them up or taking actual action against them would require deeper investigation with FTC taking the lead rather than potentially handing sensitive documents over to the offending company.
If the company wants to fight the block of acquisitions would foot the bill for everyone being supeonaed along with the FTC's expenses regardless of the case's success.
Wait? What?
It seems like a pretty strange position to just assume that the government is always right. I mean, if I said, all people the police arrest are probably guilty and should go to jail, I would hope you'd disagree.
Big cases against big companies are different. Since the company will have (nearly) unlimited resources to fight, the FTC will only bring a case if they're pretty sure they can win, otherwise it will be a big waste of money all around.
It's really not anything like the police arresting people.
Subpoenas come from the court (which is how they’re able to be legally binding, i.e. you can be held liable—-in contempt—-for not complying), so my guess is that the court will review the various documents for evidence that Simula is or isn’t a competitor, so as to decide both whether they fit the bill as a competitor, and whether they’ll be needed during a trial. I imagine that the court can even decide that Simula does not provide evidence in either direction, so they’ll uninvolve Simula.
You are confusing signed off by the court with issued by the court.
And if something interesting WAS found, it would get out. And some of these things would become public record, either way.