India's Antitrust Body Orders WhatsApp to Revamp Data Practices Amid Privacy Abuse Findings
The Competition Commission of India (CCI) started its investigation in 2021. They found that WhatsApp’s “take-it-or-leave-it” privacy update abused Meta’s dominant position. This update forced users to accept expanded data collection without any option to opt out.
According to the CCI, Meta holds a strong position in two main markets. First, over-the-top messaging apps on smartphones in India. Second, online display advertising.
The commission concluded that WhatsApp’s mandatory data sharing created barriers for competitors. This led to a denial of market access in the display advertising sector. Along with a monetary penalty, the CCI ordered significant changes to WhatsApp’s data practices in India.
Now, WhatsApp must provide users with clear explanations about what data is shared with Meta companies and why. Users will also get prominent opt-out options through in-app notifications and settings. These changes apply to both new and existing users who accepted the 2021 update.
This ruling is another regulatory challenge for Meta in India. WhatsApp has over 450 million monthly active users in the country.