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Meta Warns India’s Antitrust Ruling Could Impact Features and Business

The CCI imposed a $24.5 million fine and a five-year ban on WhatsApp's data-sharing practice in India.

Meta may need to “roll back or pause” some features in India due to an antitrust directive that bans WhatsApp from sharing user data with Meta for advertising purposes.

Meta is challenging the Competition Commission of India’s (CCI) November directive, which accused it of abusing its dominance and coercing WhatsApp users into accepting a privacy policy that allegedly expanded data collection and sharing.

The CCI imposed a $24.5 million fine and a five-year ban on WhatsApp’s data-sharing practice in India, which could affect Meta’s ability to personalise ads on Facebook and Instagram.

Meta claims the data-sharing ban could force it to roll back or pause features and impact its commercial viability but has not quantified the monetary impact.

Meta’s Indian entity, Facebook India Online Services, reported $351 million in revenue for 2023-24, the highest in at least five years.

The Indian appeals tribunal will hear Meta’s appeal, which could take weeks or months, with the possibility of putting the CCI directive on hold.

Meta faces similar global challenges, including accusations in the EU for failing to explain WhatsApp’s privacy policy changes.

Meta argues that the CCI’s directive should have included consultations with the company and WhatsApp before enforcing changes, citing a lack of technical expertise in understanding the consequences.

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