Mark Zuckeberg-led Meta's instant messaging app WhatsApp has been directed by the Competition Commission of India (CCI) to not share user data collected on the platform for the purpose of advertisement.
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WhatsApp has a user base of over 500 million MAU (monthly active users) in India. The new directive deals a blow to the social media giant, whose subsidiaries Facebook, Instagram, and WhatsApp make up for over a billion desi users. In its statement, the CCI referred to its March 2021 probe into WhatsApp's mandatory data sharing policy with the parent company and its subsidiary. Earlier, the user had the choice to opt out since 2016. According to a WhatsApp official, the aforementioned policy did not intrude on the privacy of the users; instead, the update was about introducing optional business features and transparency about firms data collection and sharing.
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Meanwhile, CCI has imposed a penalty of Rs 213.14 crore on Meta for abusing its dominant position with its 2021 Privacy Policy Update. In its notice, CCI stated that the mentioned policy update breached Section 4(2)(a)(i) of the act. The CCI also offered behavioral remedies by ordering WhatsApp not to share user data with other Meta subsidiaries for a period of 5 years. The Indian antitrust regulator also asked Meta to provide the users with the option to opt out and not make any policies conditional.
Meanwhile, the Meta remarked that the company disagrees with the CCI order and is committed to finding a path forward. Per reports, Meta will appeal the CCI directive and penalty.
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