The US-based company Meta, the owner of WhatsApp, was fined Rs 213.14 crore by the Competition Commission of India (CCI) on Monday for allegedly abusing its power in enforcing the messaging app’s 2021 privacy policy.
According to the antitrust regulator’s order, Meta violated the competition law by collecting and sharing user data with other companies. It issued cease-and-desist orders for Meta and WhatsApp and requested that they execute specific behavioural remedies within a specified timeframe.
“The Commission 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 Act, as it compels all users to accept expanded data collection terms and sharing of data within Meta Group without any opt out,” the Commission stated in a separate statement.
Beginning in January 2021, WhatsApp began informing users of changes to its privacy and terms of service policies. According to the in-app notification, users had to agree to the terms, which included a broader scope of data collection and mandatory data sharing with Meta companies, in order to continue using WhatsApp as of February 8 of that year.
The August 2016 privacy policy allowed WhatsApp users to choose whether or not to give Facebook access to their data. With the 2021 policy update, WhatsApp eliminated the previous opt-out option and made data sharing with Meta mandatory for all users.
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