Meta and WhatsApp Challenge CCI Penalty Over Data Privacy Policy

Meta Platforms and WhatsApp have appealed a CCI order imposing a Rs 213.14 crore penalty for abusing market dominance through WhatsApp's privacy policy update. The NCLAT admitted their petitions but will decide next week on interim relief. Advocates argue no complaint exists, and the CCI overstepped jurisdiction.

The National Company Law Appellate Tribunal (NCLAT) on Thursday admitted appeals filed by Meta Platforms and WhatsApp contesting a ruling by the Competition Commission of India (CCI), which levied a penalty of Rs 213.14 crore for abusing market dominance.

A two-member NCLAT bench, led by Chairperson Justice Ashok Bhushan, recognized the need for consideration after hearing both Meta and CCI's initial arguments. However, decisions regarding interim relief and a stay of the CCI order will be made in the coming week.

Senior Advocates Kapil Sibal and Mukul Rohatgi, representing Meta and WhatsApp, argued that the CCI's jurisdiction was exceeded, as the WhatsApp privacy policy issue is under Supreme Court review. They stressed that the enforcement of the penalty would adversely impact business models reliant on data-sharing for monetization.

(With inputs from agencies.)