Competition Commission of India (CCI) vs. WhatsApp Inc. and Meta Platforms, Inc.
On January 23, 2025, the National Company Law Appellate Tribunal (NCLAT) lifted the five-year prohibition imposed by the Competition Commission of India (CCI) on data sharing between WhatsApp and Meta. This ban, enacted by the CCI in November 2024, was based on concerns regarding privacy infringements, user consent, and anti-competitive behaviors that could potentially provide Meta with an undue advantage in the digital advertising sector. The NCLAT determined that the prohibition was insufficiently substantiated and posed a risk of irreparable damage to WhatsApp’s operations in India, where the platform has over 500 million users. The tribunal noted that the CCI’s decision was lacking in necessary technical expertise and contravened principles of proportionality and natural justice, as Meta contended it had not received a fair opportunity to present its case. Furthermore, the tribunal underscored the importance of data sharing to WhatsApp’s business model and called for a more comprehensive examination of the possible anti-competitive and privacy-related consequences before the implementation of such restrictions.