WhatsApp LLC Vs Meta Platforms, Inc. (Competition Commission of India)
The Competition Commission of India (CCI) has imposed a monetary penalty of ₹213.14 crore on Meta for abusing its dominant position in relation to WhatsApp’s 2021 Privacy Policy update. The CCI found the update to be anti-competitive, compelling users to accept expanded data-sharing terms with Meta companies without an opt-out option. This practice was deemed an unfair condition under the Competition Act. Meta’s dominance in OTT messaging apps and its leveraging of this position to maintain its lead in online display advertising also violated Sections 4(2)(a)(i), 4(2)(c), and 4(2)(e) of the Act. The CCI mandated behavioral remedies to address these violations, including a prohibition on sharing WhatsApp user data with Meta companies for advertising purposes for five years and provisions for user control over data sharing. Users must now be provided opt-out options and the ability to review and modify their choices. Future privacy policy updates must adhere to these guidelines. These directions aim to mitigate anti-competitive harm and promote user autonomy.
Competition Commission of India
18.11.2024
PRESS RELEASE No. 71/2024-25
CCI imposes a monetary penalty of Rs. 213.14 crore on Meta for anti-competitive practices in relation to 2021 Privacy Policy Update
