India tribunal lifts WhatsApp data-sharing ban, upholds Meta fine

In a significant legal development, an Indian appeals tribunal has overturned a five-year ban imposed by the Competition Commission of India (CCI) on WhatsApp’s data-sharing practices with other Meta entities. However, the tribunal upheld a $25.4 million fine against Meta, citing the company’s abuse of its dominant market position. The ban, introduced in November 2024, had prohibited WhatsApp from sharing user data with Meta for advertising purposes, prompting the messaging platform to challenge the decision, warning it might have to withdraw certain features. The National Company Law Appellate Tribunal (NCLAT) ruled that the rationale behind the ban was ‘missing altogether,’ leading to its reversal. Meta criticized the CCI for lacking the ‘technical expertise’ to assess the implications of its order. The case originated in 2021 following widespread backlash against WhatsApp’s privacy policy changes, which allegedly coerced users into accepting the updates or risk losing access to the service. A Meta spokesperson emphasized that the 2021 privacy policy update did not compromise the end-to-end encryption of personal messages. India remains Meta’s largest market, boasting the highest number of users for Facebook, Instagram, and WhatsApp globally.