"Meta’s Instagram announced its ‘threads’ social media platform and removed Threads Software Limited from its Facebook platform. " What does that actually mean

"Meta’s Instagram announced its ‘threads’ social media platform and removed Threads Software Limited from its Facebook platform. " What does that actually mean, they banned the FB account from Threads Software for the sole reason that they wanted to use their name? No offer to rename or anything just straight ban as retaliation for daring not selling the domain to them?