Meta To Appeal Against CCI Order On WhatsApp Privacy Policy

Meta To Appeal Against CCI Order On WhatsApp Privacy Policy

SUMMARY

The CCI has slapped a penalty of INR 213.14 Cr on Meta for abusing its dominant position

The competition watchdog said it has also issued “cease-and-desist directions” and directed both Meta and WhatsApp to implement certain “behavioural remedies” within a “defined timeline”

WhatsApp published its privacy policy in 2021 directing users to accept the amended policy in order to access WhatsApp chats or groups

After the Competition Commission of India (CCI) imposed a penalty of INR 213.14 Cr on Meta in connection with the WhatsApp privacy policy, the tech giant said it disagreed with the watchdog’s decision and plans to appeal.

The CCI has slapped a penalty of INR 213.14 Cr on Meta for abusing its dominant position.

The penalty pertains to WhatsApp’s 2021 privacy policy case. In a statement, the competition watchdog said it has also issued “cease-and-desist directions” and directed both Meta and WhatsApp to implement certain “behavioural remedies” within a “defined timeline”.

“The Competition Commission of India today imposed a penalty of INR 213.14 Cr on Meta for abusing its dominant position. This relates to how WhatsApp’s 2021 Privacy Policy was implemented and how user data was collected and shared with other Meta companies,” said CCI in a statement. 

In 2021, WhatsApp published its privacy policy that asked users to accept the amended policy in order to access WhatsApp chats and groups. The policy included sharing of users’ data such as business transactions on WhatsApp, other activities and device-level information with Facebook. 

WhatsApp 2021 policy was called out by CCI as its “take-it-or-leave-it” approach came across as imposition of unfair conditions under the Competition Act.

Further, the statement added that the policy undermined the users’ autonomy with Meta’s abuse of its dominant position in the market. 

CCI said that data sharing between Meta and WhatsApp could have resulted in entry barriers for the competitors of the social media giant. It added that the policy could have resulted in denial of market access to other players in the display advertisement and messaging app markets. 

Now, the tech giants are directed by CCI to bring changes in their operations in India. On top of that, the watchdog has barred WhatsApp from sharing its user data with other Meta companies for advertising purposes for a period of next five years. 

Step up your startup journey with BHASKAR! From resources to networking, BHASKAR connects Indian innovators with everything they need to succeed. Join today to access a platform built for innovation, growth, and community.

You have reached your limit of free stories
Become An Inc42 Plus Member

Become a Startup Insider in 2024 with Inc42 Plus. Join our exclusive community of 10,000+ founders, investors & operators and stay ahead in India’s startup & business economy.

2 YEAR PLAN
₹19999
₹7999
₹333/Month
UNLOCK 60% OFF
Cancel Anytime
1 YEAR PLAN
₹9999
₹4999
₹416/Month
UNLOCK 50% OFF
Cancel Anytime
Already A Member?
Discover Startups & Business Models

Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the hottest startup deals, supercharge your innovation projects, and stay updated with expert curation.

Meta To Appeal Against CCI Order On WhatsApp Privacy Policy-Inc42 Media
How-To’s on Starting & Scaling Up

Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn to validate ideas, acquire customers, secure funding, and navigate the journey to startup success.

Meta To Appeal Against CCI Order On WhatsApp Privacy Policy-Inc42 Media
Identify Trends & New Markets

Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence, understand market landscapes, and decode emerging trends to make informed decisions.

Meta To Appeal Against CCI Order On WhatsApp Privacy Policy-Inc42 Media
Track & Decode the Investment Landscape

Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful investors, and keep track of upcoming funds, accelerators, and more.

Meta To Appeal Against CCI Order On WhatsApp Privacy Policy-Inc42 Media
Meta To Appeal Against CCI Order On WhatsApp Privacy Policy-Inc42 Media
You’re in Good company