Meta, WhatsApp Move Supreme Court Against ₹213.14 Crore CCI Penalty

Meta Platforms and its messaging subsidiary WhatsApp have moved the Supreme Court of India against an appellate ruling that sustained a significant competition law penalty linked to alleged abuse of market dominance, as per news reports. 

Privacy Policy Case and Regulatory Findings 

The appeal challenges a decision of the National Company Law Appellate Tribunal, which had upheld a ₹213.14 crore fine imposed by the Competition Commission of India.  

The penalty stemmed from WhatsApp’s 2021 privacy policy update that required users to accept data sharing with other Meta group companies to continue using the service. 

The CCI had held that the policy followed a “take-it-or-leave-it” structure, effectively eliminating user choice and compelling consent for data sharing.  

According to the regulator, this amounted to an abuse of dominance in the market for over-the-top messaging services, in violation of the Competition Act, 2002. 

NCLAT Relief and Remaining Directions 

While the appellate tribunal partially granted relief to Meta and WhatsApp by setting aside the five-year prohibition on sharing user data with group entities for advertising purposes, it retained the monetary penalty and other compliance directions.  

The tribunal had earlier granted interim relief in January 2025, staying the data-sharing ban on the grounds that such restrictions could disrupt WhatsApp’s free-to-use business model. 

However, the NCLAT rejected the CCI’s conclusion that Meta had leveraged its dominance in messaging services to unfairly strengthen its position in the online advertising market. 

Background and Ongoing Legal Battle 

The case dates back to January 2021, when WhatsApp announced changes to its privacy policy, making data sharing with Meta companies mandatory.  

The CCI took suo motu cognisance of the issue, observing that users were left with no meaningful opt-out option and that their autonomy over personal data was compromised. 

In its November 2024 order, the CCI had not only imposed the penalty but also directed Meta and WhatsApp to clearly disclose the purpose behind each category of user data collected. Following the appellate ruling, the companies have now escalated the matter to the Supreme Court. 

Read More: CCI Defends Global Turnover-Based Fines Amid Apple’s Legal Challenge! 

Conclusion 

The Supreme Court challenge marks the next phase in a closely watched legal battle over data practices, market dominance and digital competition, with the outcome likely to shape future regulatory oversight of big tech platforms in India. 

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