Competition Commission of India Imposes $$25,4 Fine on Meta*

Competition Commission of India Imposes $$25,4 Fine on Meta*
Photo: Getty Images 19.11.2024 275

The company has been fined for antitrust violations related to WhatsApp's 2021 confidentiality policy.

The Competition Commission of India (CCI) fined Meta Rs 213.14 crore ($25,4 million) on November 18 for abusing its dominant position in relation to WhatsApp's 2021 privacy policy update, in addition to issuing cease-and-desist directions.

CCI has also directed WhatsApp not to share user data collected on its platform with other Meta products or companies for advertising purposes for a period of five years, along with other remedial measures.

WhatsApp has more than 500 million monthly active users in India.

The Competition Commission of India (CCI) launched a probe in March 2021 into WhatsApp's privacy policy, which allowed data sharing with Facebook* and its units, sparking global backlash. WhatsApp's February 2021 privacy policy change, according to CCI, "expanded scope of data collection as well as mandatory data sharing with Meta companies." Prior to this, users had the ability to decide whether to share their data with the company.

According to the CCI order, WhatsApp's policy must now include detailed explanations of what user data is shared with other Meta entities, linking each data type to its intended purpose. Additionally, the CCI mandated that sharing of user data with Meta for purposes unrelated to providing WhatsApp services should not be a prerequisite for using the app in India.

A Meta spokesperson as mentioned in the report said that the company disagrees with the CCI’s findings and intends to appeal. 

The update, according to Meta, introduced optional business features and aimed to increase transparency around data collection and usage. The company emphasised that WhatsApp remains an essential platform in India, enabling businesses, government services, and small enterprises to operate efficiently.

*together with its subsidiaries Facebook and Instagram are banned and recognized as extremist in the Russian Federation.

Sources:  The Economic Times, Moneycontrol, India Today

digital markets  India 

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