The Competition Commission of India (CCI) slapped a INR2.1 billion ($24.9 million) penalty on Meta Platforms for abusing its dominant position in messaging and advertising by requiring users to share data for use across its platforms.
In addition, the agency ordered WhatsApp to stop sharing users’ data with other Meta Platforms companies for five years.
An investigation found WhatsApp made data sharing with Meta Platforms mandatory when it updated its terms of service and privacy policy in 2021, removing an earlier option to opt out.
The CCI stated the update constituted an imposition of an unfair condition, “as it compels all users to accept expanded data collection terms and sharing of data within Meta Group without any opt-out”.
By sharing WhatsApp user data with other platforms, the CCI determined Meta Platforms created an entry barrier for rivals, which resulted in denial of market access in the display advertisement market.
Other remedies require WhatsApp’s policy to include a detailed explanation of the user data shared with other Meta Platforms companies.
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