Meta To Appeal CCI's Rs 213 Cr Penalty Over WhatsApp's Privacy Update

Meta plans to challenge the Rs 213.14 crore fine imposed by the Competition Commission of India (CCI) for alleged unfair business practices related to WhatsApp's 2021 privacy policy update, according to media reports.

The CCI determined that WhatsApp’s 2021 policy update was anti-competitive, particularly due to the sharing of user data with other Meta-owned platforms for advertising purposes. As a result, the Indian competition regulator has prohibited WhatsApp from sharing such data for the next five years and has mandated Meta to address these issues.

In addition, the CCI has ordered WhatsApp to offer an opt-out option for Indian users, including those who have already accepted the 2021 policy update. The opt-out feature must be clearly presented through in-app notifications, giving users the ability to control the sharing of their data with other Meta entities for non-WhatsApp-related uses.

WhatsApp is also prohibited from using the shared data for advertising and must ensure that any data sharing for other purposes is done transparently. The updated policy must clearly specify the types of data shared with Meta and the intended uses for each. Additionally, users should not be required to share their data with Meta for purposes unrelated to WhatsApp services in order to continue using the app in India.

A Meta spokesperson expressed disagreement with the CCI’s ruling and confirmed plans to appeal. They emphasised that the updated policy did not affect the privacy of users' personal messages and was optional. Meta clarified that users who did not accept the policy faced no risk of account deletion or service disruption. The company also noted that the policy was intended to introduce optional business features and enhance transparency around data usage.