The rivalry between Elon Musk and Mark Zuckerberg has returned to the spotlight following reports about WhatsApp being under investigation in the US. 

Musk’s latest post, a meme targeting the Facebook founder, was shared across social media platforms.

“Reminds me of this classic meme. Use X Chat instead of WhatsApp! There will never be ‘hooks for advertising’ in X Chat,” Musk said on X.

Reminds me of this classic meme ????

Use ???? Chat instead of WhatsApp! There will never be “hooks for advertising” in ???? Chat. https://t.co/K1WxjPhImI pic.twitter.com/wbte342hzp

— Elon Musk (@elonmusk) January 30, 2026

The comments came in reply to a post referring to allegations from former Meta contractors, who said company personnel could view WhatsApp conversations in spite of encryption safeguards. According to a Bloomberg report, the claims have prompted an investigation by US officials.

In response to reports about this investigation, WhatsApp said, “This is false. The U.S. Bureau of Industry and Security has disavowed this purported investigation, calling its own employees’ allegations unsubstantiated. What these individuals claim is not possible because WhatsApp, including contractors, cannot access people’s encrypted communications.”

This is false. The U.S. Bureau of Industry and Security has disavowed this purported investigation, calling its own employee’s allegations unsubstantiated. What these individuals claim is not possible because WhatsApp, including contractors, cannot access people’s encrypted…

— WhatsApp (@WhatsApp) January 30, 2026

WhatsApp has also sought to reassure users about its privacy credentials.

“Your WhatsApp messages are private. We use the open-source Signal protocol to encrypt them.

• ⁠  ⁠Encryption happens on your device

• ⁠  ⁠Messages are encrypted before leaving your device

• ⁠  ⁠⁠Only the intended recipient has the keys to decrypt messages

• ⁠  ⁠The message encryption keys are not accessible to WhatsApp or Meta

⁠ Any claims to the contrary are false,” it said on X.

Your WhatsApp messages are private. We use the open-source Signal protocol to encrypt them.

•⁠ ⁠Encryption happens on your device
•⁠ ⁠Messages are encrypted before leaving your device
•⁠ ⁠⁠Only the intended recipient has the keys to decrypt messages
•⁠ ⁠The…

— WhatsApp (@WhatsApp) January 27, 2026

Musk is not the only billionaire who has targeted WhatsApp over questions on its privacy policy. Telegram founder and CEO Pavel Durov has said his company found multiple attack vectors on WhatsApp.

“You’d have to be brain-dead to believe WhatsApp is secure in 2026. When we analysed how WhatsApp implemented its ‘encryption’, we found multiple attack vectors,” he said.

You’d have to be braindead to believe WhatsApp is secure in 2026. When we analyzed how WhatsApp implemented its “encryption”, we found multiple attack vectors. https://t.co/BC1TWFAIlc

— Pavel Durov (@durov) January 26, 2026

Previously, Musk said, “WhatsApp is not secure. Even Signal is questionable. Use X Chat.”

WhatsApp is not secure. Even Signal is questionable.

Use ???? Chat. https://t.co/MWXCOmkbTD

— Elon Musk (@elonmusk) January 27, 2026

Musk’s meme has sparked reactions on X.

Reminds me of this classic pic.twitter.com/nRuLcIfw2s

— Arthur MacWaters (@ArthurMacwaters) January 30, 2026

One image highlighted how data from Meta companies could be potentially used for surveillance.

Oh Mark ???? pic.twitter.com/KxW7f3zSUL

— Jared Marsh (@Real_JaredMarsh) January 30, 2026

According to Forbes, questions around WhatsApp’s encryption have cropped up repeatedly over the years, yet none have been substantiated. No technical details have been made public that would suggest a change in that position. Content may be shared with WhatsApp only when users themselves choose to report a problem and there is no indication of any deliberate bypass orchestrated by Meta.

ALSO READ: WhatsApp Unveils New High-Security Mode: Stronger Protection But Restrictive App Experience

New Delhi:

The National Company Law Appellate Tribunal (NCLAT) on Thursday stayed a five-year ban imposed by competition watchdog CCI on data-sharing practices between WhatsApp and its parent Meta for advertising purposes, offering a breather to the tech giant.

Meta had challenged the Competition Commission of India’s (CCI) directive issued in November 2024 that imposed a ban on data sharing between WhatsApp and other Meta entities for advertising purposes, warning it may have to roll back some features.

It had also slapped a Rs 213 crore penalty on Meta for abuse of its “dominant position.” The NCLAT also stayed the Rs 213.14-crore penalty, subject to deposit of 50 per cent of the penalty amount (after taking into consideration 25 per cent already deposited), within two weeks.

The tribunal observed that ban of five years that was imposed may lead to the collapse of business model which has been followed by messaging platform WhatsApp. It further noted that WhatsApp is providing its services to its users free of cost.

“We have also noticed that the Supreme Court has not granted interim order staying 2021 privacy policy and Digital Personal Data Protection Act 2023 has also been passed and is likely to be enforced which may cover all issues pertaining to data protection and data sharing. We are of the prima facie view that the ban of five years imposed…need to be stayed,” it said while listing the next hearing on March 17.

The CCI had concluded that WhatsApp’s 2021 privacy policy update unfairly compels users to agree to wide collection of data and its sharing within Meta group.

Meta welcomed the “NCLAT’s decision to grant a partial stay on the Competition Commission of India’s (CCI) order” and said it will evaluate next steps.

“While we will evaluate next steps, our focus remains on finding a path forward that supports millions of businesses that depend on our platform for growth and innovation as well as providing high-quality experiences that people expect from WhatsApp,” a Meta spokesperson said.

In November, the CCI imposed a penalty of Rs 213.14 crore on social media major Meta for unfair business ways with respect to the WhatsApp privacy policy update done in 2021.

Meta Platforms and WhatsApp had challenged this order before the NCLAT, which is an appellate authority over the orders passed by the CCI.

In its 156-page order, the CCI had on November 18, 2024, directed Meta to cease and desist from anti-competitive practices.

According to that CCI order, Meta and WhatsApp have also been asked to implement certain behavioural remedies within a defined timeline to address the anti-competition issues.

The regulator called for implementing various remedial measures, including barring WhatsApp from sharing data collected on its platform with other Meta companies or Meta company products for advertising purposes for five years.

Among other directions, CCI had said that sharing of user data collected on WhatsApp with other Meta companies or Meta company products for purposes other than for providing WhatsApp services shall not be made a condition for users to access WhatsApp services in India.

Murugavel Janakiraman, CEO & Founder, Matrimony.com said that the decision of the National Company Law Appellate Tribunal (NCLAT) on Meta’s appeal against the CCI ban on WhatsApp’s data sharing policies underscores the limitations of the existing ex-post nature of the competition law and highlights the need for ex-ante regulations.

“Ex-ante rules restricting ‘data usage’ as proposed in the draft Digital Competition Bill can go a long way in preventing large digital platforms/gatekeepers from abusing their dominant position sometimes even to the disadvantage of the end-users,” Janakiraman said.

As such, the ex-ante provision aims to ensure that behaviours of large digital enterprises are proactively monitored and that the CCI intervenes before instances of anti-competitive conduct transpire. In an ex-post framework, intervention happens after the occurrence of anti-competitive conduct.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

New Delhi:

In a respite for Mark Zuckerberg-run Meta, the National Company Law Appellate Tribunal (NCLAT) on Thursday stayed the five-year ban imposed by the Competition Commission of India (CCI) on WhatsApp for its data-sharing practices.

The NCLAT bench, led by Justice Ashok Bhushan, said such a ban could disrupt WhatsApp’s business model in the country. WhatsApp has more than 500 million monthly active users in India.

The appellate tribunal also directed Meta to deposit 50 per cent of the Rs 213 core penalty imposed by the CCI, within two weeks.

The social media giant has already paid 25 per cent of the fine.

Last week, the NCLAT had reserved its order on a plea by Meta and WhatsApp seeking a stay on the CCI order that imposed a penalty of Rs 213 crore for “abuse of dominant position”.

According to the tribunal, the upcoming data protection law in India could address concerns related to data privacy.

WhatsApp’s 2021 Privacy Policy allows for user data to be shared with group cos like Meta, and Insta without an “opt out” option.

Earlier this month, social media platform Meta moved the NCLAT against the CCI order. In November last year, the competition watchdog directed WhatsApp to not share user data collected on its platform with other Meta products or companies for advertising purposes for a period of five years, along with imposing a penalty of Rs 213.14 crore on Meta for allegedly abusing its dominant position.

Meta informed the NCLAT that the CCI order has wide ramifications for the industry as a whole and therefore, an urgent hearing in the matter will be required.

Last year, after the CCI directed WhatsApp not to share user data collected on its platform with other Meta products or companies for advertising purposes for a period of five years, the social media platform said it disagreed with the CCI’s decision and planned to appeal.

The CCI began a probe in March 2021 into WhatsApp’s revised privacy policy, which enabled mandatory data sharing with Facebook (now Meta) and its companies, along with an expanded scope of data collection.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

Meta founder and CEO Mark Zuckerberg has announced big changes in how the company addresses misinformation across Facebook, Instagram and Threads. Instead of relying on independent third-party factcheckers, Meta will now emulate Elon Musk’s X (formerly Twitter) in using “community notes”. These crowdsourced contributions allow users to flag content they believe is questionable.

Zuckerberg claimed these changes promote “free expression”. But some experts worry he’s bowing to right-wing political pressure, and will effectively allow a deluge of hate speech and lies to spread on Meta platforms.

Research on the group dynamics of social media suggests those experts have a point.

At first glance, community notes might seem democratic, reflecting values of free speech and collective decisions. Crowdsourced systems such as Wikipedia, Metaculus and PredictIt, though imperfect, often succeed at harnessing the wisdom of crowds — where the collective judgement of many can sometimes outperform even experts.

Research shows that diverse groups that pool independent judgements and estimates can be surprisingly effective at discerning the truth. However, wise crowds seldom have to contend with social media algorithms.

Many people rely on platforms such as Facebook for their news, risking exposure to misinformation and biased sources. Relying on social media users to police information accuracy could further polarise platforms and amplify extreme voices.

Two group-based tendencies — our psychological need to sort ourselves and others into groups — are of particular concern: in-group/out-group bias and acrophily (love of extremes).

INGROUP / OUTGROUP BIAS

Humans are biased in how they evaluate information. People are more likely to trust and remember information from their in-group — those who share their identities — while distrusting information from perceived out-groups. This bias leads to echo chambers, where like-minded people reinforce shared beliefs, regardless of accuracy.

It may feel rational to trust family, friends or colleagues over strangers. But in-group sources often hold similar perspectives and experiences, offering little new information. Out-group members, on the other hand, are more likely to provide diverse viewpoints. This diversity is critical to the wisdom of crowds.

But too much disagreement between groups can prevent community fact-checking from even occurring. Many community notes on X (formerly Twitter), such as those related to COVID vaccines, were likely never shown publicly because users disagreed with one another. The benefit of third-party factchecking was to provide an objective outside source, rather than needing widespread agreement from users across a network.

Worse, such systems are vulnerable to manipulation by well organised groups with political agendas. For instance, Chinese nationalists reportedly mounted a campaign to edit Wikipedia entries related to China-Taiwan relations to be more favourable to China.

POLITICAL POLARISATION AND ACROPHILY

Indeed, politics intensifies these dynamics. In the US, political identity increasingly dominates how people define their social groups.

Political groups are motivated to define “the truth” in ways that advantage them and disadvantage their political opponents. It’s easy to see how organised efforts to spread politically motivated lies and discredit inconvenient truths could corrupt the wisdom of crowds in Meta’s community notes.

Social media accelerates this problem through a phenomenon called acrophily, or a preference for the extreme. Research shows that people tend to engage with posts slightly more extreme than their own views.

These increasingly extreme posts are more likely to be negative than positive. Psychologists have known for decades that bad is more engaging than good. We are hardwired to pay more attention to negative experiences and information than positive ones.

On social media, this means negative posts – about violence, disasters and crises – get more attention, often at the expense of more neutral or positive content.

Those who express these extreme, negative views gain status within their groups, attracting more followers and amplifying their influence. Over time, people come to think of these slightly more extreme negative views as normal, slowly moving their own views toward the poles.

A recent study of 2.7 million posts on Facebook and Twitter found that messages containing words such as “hate”, “attack” and “destroy” were shared and liked at higher rates than almost any other content. This suggests that social media isn’t just amplifying extreme views — it’s fostering a culture of out-group hate that undermines the collaboration and trust needed for a system like community notes to work.

THE PATH FORWARD

The combination of negativity bias, in-group/out-group bias and acrophily supercharges one of the greatest challenges of our time: polarisation. Through polarisation, extreme views become normalised, eroding the potential for shared understanding across group divides.

The best solutions, which I examine in my forthcoming book, The Collective Edge, start with diversifying our information sources. First, people need to engage with — and collaborate across — different groups to break down barriers of mistrust. Second, they must seek information from multiple, reliable news and information outlets, not just social media.

However, social media algorithms often work against these solutions, creating echo chambers and trapping people’s attention. For community notes to work, these algorithms would need to prioritise diverse, reliable sources of information.

While community notes could theoretically harness the wisdom of crowds, their success depends on overcoming these psychological vulnerabilities. Perhaps increased awareness of these biases can help us design better systems — or empower users to use community notes to promote dialogue across divides. Only then can platforms move closer to solving the misinformation problem.

(Author: Colin M. Fisher, Associate Professor of Organisations and Innovation and Author of “The Collective Edge: Unlocking the Secret Power of Groups”, UCL)

(Disclosure Statement: Colin M. Fisher does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment)

This article is republished from The Conversation under a Creative Commons license. Read the original article.
 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

New Delhi:

Social media platform WhatsApp followed by Telegram and Instagram remains one of the favourite hunting grounds for online scamsters, as per the latest report from the Union Home Ministry.

In the first three months of year 2024, total 43,797 complaints regarding cyber frauds through WhatsApp were received followed by 22,680 complaints against Telegram and 19,800 against Instagram.

The annual MHA report 2023-24 reads that cyber fraudsters have been using Google services platforms for initiating these crimes. Google Advertisement platform provides a convenient facility for targeted advertisement from across the border.

“This scam, known as “Pig Butchering Scam” or “Investment Scam” is a global phenomenon and involves large-scale money laundering and even cyber slavery. Unemployed youths, housewives, students, and needy people are targeted, who are losing large sums of money (even borrowed money) on a daily basis,” it reads.

Indian Cybercrime Coordination Centre (I4C) has partnered with Google and Facebook for sharing intelligence and signals for proactive actions, like flagging digital lending apps and its signals and abuse of Google’s Firebase domains (free hosting) by cyber fraudsters, Android Banking Malwares (Hashes), among others.

Sponsored Facebook ads are extensively used by organised cyber criminals to launch illegal lending apps in India. Such links are proactively identified and shared with Facebook, along with Facebook pages for necessary action, it further reads.

I4C is making efforts for the capacity building of all pillars of criminal justice system i.e. Law Enforcement Agencies, Forensic Examiners, Prosecutors and Judges for imparting training in cyber security, investigation of cybercrime and digital forensics in institutes across the country.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

Tehran:

Iranian authorities have officially lifted the ban on WhatsApp and the Google Play Store, signalling a significant shift in the country’s internet restrictions, the Islamic Republic News Agency (IRNA) reported.

The decision, which comes after a meeting with top government officials, marks a new phase in the easing of internet blockades that have restricted access to major global platforms for some time.

On Tuesday, a meeting was convened with the participation of heads of all three branches of government, ministers, and members of the Supreme Council, where discussions focused on reviewing and adjusting policies surrounding internet governance and restrictions.

Following the presentation of assessments from relevant authorities, the council approved changes to the existing internet restrictions.

Sattar Hashemi, Iran’s Minister of Information and Communications Technology, later took to X (formerly Twitter) to announce the development, stating, “Today, we took the first step towards lifting internet restrictions with unity and collaboration. I extend my gratitude to the President, media, and activists for their efforts. We need this solidarity more than ever. This path continues.”

The move to lift the ban aligns with the Iranian government’s broader approach to managing its digital landscape, emphasising the importance of regulated cyberspace governance while also stressing the need to support domestic platforms, reported the IRNA.

The lifting of internet restrictions was one of the key promises made by President Masoud Pezeshkian during his presidential campaign, and this decision marks an early fulfilment of that commitment.

However, despite the progress, the government has emphasised that its approach will continue to prioritise the development and use of local platforms alongside the reintroduction of global services like WhatsApp and Google Play, the IRNA reported.

As these changes unfold, the broader impact on both local businesses and individual users is still to be fully assessed, but the easing of restrictions is a significant step forward for internet freedom in Iran.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

New Delhi:

The Indian Cyber Crime Coordination Centre (I4C), a wing of the Ministry of Home Affairs, has identified and blocked more than 1,700 Skype IDs and 59,000 WhatsApp accounts used for digital fraud, Lok Sabha was informed on Tuesday.

Union Minister of State for Home Affairs Bandi Sanjay Kumar also stated that the ‘Citizen Financial Cyber Fraud Reporting and Management System,’ launched under I4C in 2021, enables immediate reporting of financial frauds to prevent the siphoning off of funds by fraudsters and so far, over Rs 3,431 crore has been saved in more than 9.94 lakh complaints.

“The I4C has pro-actively identified and blocked more than 1,700 Skype IDs and 59,000 WhatsApp accounts used for digital fraud,” Kumar said in response to a written question.

As of November 15, 2024, more than 6.69 lakh SIM cards and 1.32 lakh IMEIs, as reported by police authorities, have been blocked by the government.

The minister further explained that to strengthen the mechanism for addressing cyber crimes, including digital fraud, the central government and Telecom Service Providers (TSPs) have developed a system to identify and block incoming international spoofed calls that display Indian mobile numbers, making them appear as though they originate within India.

Kumar noted that such spoofed calls have been used by cyber criminals in recent cases of fake digital arrests, FedEx scams, and impersonation as government or police officials.

Directions have been issued to TSPs to block such incoming international spoofed calls. Additionally, a State-of-the-Art Cyber Fraud Mitigation Centre (CFMC) has been established at I4C, where representatives from major banks, financial institutions, payment aggregators, TSPs, IT intermediaries, and law enforcement agencies from States and UTs collaborate to ensure immediate action and seamless cooperation in tackling cybercrime.

The minister said a suspect registry of identifiers of cyber criminals has been launched by I4C on September 10, 2024 in collaboration with banks and financial institutions and has introduced a new feature ‘Report and Check Suspect’ on the portal cybercrime.gov.in.

This facility provides citizens a search option to search I4C’s repository of identifiers of cyber criminals through ‘suspect search’.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

New Delhi:

After the Competition Commission imposed a Rs 213-crore penalty on Meta in relation to WhatsApp privacy policy, the company said it disagrees with the watchdog’s decision and plans to appeal.

The Competition Commission of India (CCI) on Monday asked WhatsApp to refrain from sharing user data with other applications, owned by Meta, for advertising purposes for a period of five years.

India’s competition watchdog imposed a penalty of Rs 213.14 crore on the social media giant for unfair business ways with respect to WhatsApp privacy policy update done in 2021.

Besides, the competition watchdog has directed Meta to cease and desist from anti-competitive practices.

Also Read: Meta Fined $25.4 Million By India, WhatsApp Data Sharing Blocked For 5 Years

Meta and WhatsApp have also been asked to implement certain behavioural remedies within a defined timeline to address the anti-competition issues, according to a CCI order.

A Meta spokesperson said that the company disagrees with the CCI’s decision and plans to appeal.

“As a reminder, the 2021 update did not change the privacy of people’s personal messages and was offered as a choice for users at the time. We also ensured no one would have their accounts deleted or lose functionality of the WhatsApp service because of this update,” the Meta spokesperson said.

Meta further said the update was about introducing optional business features on WhatsApp, and provided further transparency about data collection and usage.

The Meta spokesperson added since that time, WhatsApp has been incredibly valuable to people and businesses, enabling organisations and government institutions to deliver citizen services through COVID and beyond, and as well as supporting small businesses in furtherance of the India economy.

“WhatsApp is able to do all of this because it offers services supported by Meta. We are committed to finding a path forward that allows us to continue providing the experiences that people and businesses have come to expect from us,” the Meta spokesperson said.

Meanwhile, CCI has barred WhatsApp from sharing data collected on its platform with other Meta companies or Meta company products for advertising purposes for five years.

On sharing of WhatsApp user data for purposes other than advertising, the regulator said WhatsApp’s policy should include a detailed explanation of the user data shared with other Meta companies or Meta company products.

“This explanation should specify the purpose of data sharing, linking each type of data to its corresponding purpose,” it said.

The watchdog also said that sharing of user data collected on WhatsApp with other Meta companies or Meta company products for purposes other than for providing WhatsApp services shall not be made a condition for users to access WhatsApp Service in India.

On sharing of WhatsApp user data for purposes other than for providing WhatsApp services, CCI said all users in India (including users who have accepted 2021 update) will be provided with the choice to manage such data sharing by way of an opt-out option prominently through an in-app notification. 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

File.
| Photo Credit: Reuters

Competition Commission of India (CCI) directed WhatsApp to refrain from sharing user data for advertising purposes with other applications owned by Meta for a period of five years and fined the U.S. tech giant ₹213.14 crore on Monday (November 18, 2024) over antitrust violations related to the messaging application’s 2021 privacy policy.

CCI launched a probe in March 2021 into WhatsApp’s privacy policy, which allowed data sharing with Facebook and its units, sparking global backlash.

“Sharing of user data collected on WhatsApp with other Meta companies… for purposes other than for providing WhatsApp service shall not be made a condition for users to access WhatsApp Service in India,” the CCI said.

Meta did not immediately respond to Reuters‘ request for comment.

Tech giants, including Apple, Google and Meta face new regulatory challenges with India’s proposed EU-like antitrust law.

The government is currently examining a February report from a panel established by the Corporate Affairs Ministry. The report proposed a new “Digital Competition Bill” to complement existing antitrust laws.

The U.S.-India Business Council, a key U.S. lobby group has already opposed the move, fearing its business impact.

The Competition Commission of India (CCI) on Monday imposed a penalty of ₹213.14 crore on social media major Meta for unfair business ways with respect to WhatsApp privacy policy update done in 2021.

Besides, the competition watchdog has directed Meta to “cease and desist” from anti-competitive practices.

Meta and WhatsApp have also been asked to implement certain behavioural remedies within a defined timeline to address the anti-competition issues, according to a CCI order.

The regulator has called for implementing various remedial measures, including barring WhatsApp from sharing data collected on its platform with other Meta companies or Meta company products for advertising purposes for five years.

Among other directions, CCI has said that sharing of user data collected on WhatsApp with other Meta companies or Meta company products for purposes other than for providing WhatsApp services shall not be made a condition for users to access WhatsApp Service in India.

The Competition Commission of India (Commission) on Monday imposed a penalty of ₹213.14 crore on Meta for abusing its dominant position, Passing the order against abuse of dominance, the Competition Commission of India (CCI) said this (penalty) relates to how WhatsApp’s 2021 Privacy Policy was implemented and how user data was collected and shared with other Meta companies.

For the case, CCI delineated two relevant markets — OTT messaging apps through smartphones in India, and online display advertising in India. “Meta Group operating through WhatsApp was found to be dominant in the market for OTT messaging apps through smartphones in India. “Furthermore, it was also found that Meta holds a leading position compared to its competitors in online display advertising in India,” CCI said in a release.

Starting from January 2021, WhatsApp notified users about updates to its terms of service and privacy policies.

The in-app notification, effective from February 8, 2021, stated that users were required to accept these terms, including expanded scope of data collection as well as mandatory data sharing with Meta companies, to continue using WhatsApp.

Under the previous privacy policy dated August 25, 2016, WhatsApp users were given the option to decide whether they wanted to share their data with Facebook, the release said.

“However, with the latest policy update in 2021, WhatsApp made data sharing with Meta mandatory for all users, removing the earlier option to opt-out. As a result, users had to accept the new terms, which include data sharing with Meta, in order to continue using the platform,” it added.

The watchdog has concluded that the 2021 policy update by WhatsApp on a “take-it-or-leave-it” basis constitutes an imposition of unfair condition under the Competition Act, as it compels all users to accept expanded data collection terms and sharing of data within Meta Group without any opt out.

“Given the network effects and lack of effective alternatives, the 2021 update forces users to comply, undermining their autonomy, and constitutes an abuse of Meta’s dominant position. Accordingly, the Commission finds that Meta (through WhatsApp) has contravened Section 4(2)(a)(i) of the Act,” it said.

Further, CCI said that sharing of WhatsApp users’ data between Meta companies for purposes other than providing WhatsApp Service creates an entry barrier for the rivals of Meta and thus, results in denial of market access in the display advertisement market.

According to the regulator, Meta has engaged in leveraging its dominant position in the OTT messaging apps through smartphones to protect its position in the online display advertising market in contravention of the competition law.

CCI has barred WhatsApp from sharing data collected on its platform with other Meta companies or Meta company products for advertising purposes for five years and the debarment period will start from the date of receipt of this order.

With respect to sharing of WhatsApp user data for purposes other than advertising, the regulator said WhatsApp’s policy should include a detailed explanation of the user data shared with other Meta companies or Meta company Products.

“This explanation should specify the purpose of data sharing, linking each type of data to its corresponding purpose,” it said.

The watchdog also said that sharing of user data collected on WhatsApp with other Meta companies or Meta company products for purposes other than for providing WhatsApp services shall not be made a condition for users to access WhatsApp Service in India.

Regarding sharing of WhatsApp user data for purposes other than for providing WhatsApp services, CCI said all users in India (including users who have accepted 2021 update) will be provided with the choice to manage such data sharing by way of an opt-out option prominently through an in-app notification.

Also, the regulator has asked for the option to review and modify their choice with respect to such sharing of data through a prominent tab in settings of WhatsApp application, and all future policy updates should comply with these requirements.