Meta to challenge CCI’s antitrust ruling on WhatsApp’s data sharing practices

WhatsApp fined Rs.213 crore over Meta data sharing

In a significant development, the Competition Commission of India (CCI) has directed WhatsApp to halt the sharing of user data collected on its platform with other Meta-owned products and companies for advertising purposes, following an antitrust investigation into its 2021 privacy policy update. The ruling also saw Meta, WhatsApp’s parent company, slapped with a hefty fine of Rs.213.14 crore for allegedly abusing its dominant market position.

The CCI’s order stems from WhatsApp’s controversial 2021 privacy policy, which required users to accept expanded data collection terms and mandatory sharing of personal data with other companies within the Meta group, including Facebook. The Commission concluded that the policy, presented on a ‘take it or leave it‘ basis, imposed unfair conditions on users by forcing them into these terms without the option to opt-out.

In a statement to IANS, a Meta spokesperson expressed disagreement with the CCI’s decision, affirming that the update had no impact on the privacy of users’ personal messages and had been voluntary at the time of rollout. “The 2021 WhatsApp update did not change the privacy of people’s personal messages and was offered as a choice for users at the time,” the spokesperson said.

The company further clarified that the update was designed to introduce optional business features on the platform, offering users greater transparency on how their data is collected and used. WhatsApp also assured that no users would lose access to their accounts or service functionality due to the privacy policy update.

Meta’s spokesperson added, “We are committed to finding a path forward that allows us to continue providing the experiences that people and businesses have come to expect from us,” while confirming the company’s intent to appeal the CCI’s decision.

The CCI’s investigation, which began in March 2021, examined the revised privacy policy that mandated the sharing of data with Meta’s other entities, including Facebook, for targeted advertising and other purposes. Prior to the update, WhatsApp users had the option to decide whether to share their data with the company.

WhatsApp, which has over 500 million monthly active users in India, has come under increasing scrutiny over its privacy practices, raising concerns about data security and user consent.

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