Meta disagrees with CCI’s penalty over user data abuse, to file an appeal

NEW DELHI: Social media giant Meta on Tuesday said that it will file an appeal against fairplay regulator CCI’s decision to slap a Rs 213.14 crore penalty on the company after it was found to be transferring data of certain WhatsApp users with group companies Facebook and Instagram.
Disagreeing with the findings of Competition Commission of India over misuse of user data, the company claimed that it has not tampered with the “privacy of people’s personal messages” when it made a service update to its user policy.
“We disagree with the CCI’s decision and plan to appeal. As a reminder, the 2021 update did not change the privacy of people’s personal messages and was offered as a choice for users at the time. We also ensured no one would have their accounts deleted or lose functionality of the WhatsApp service because of this update,” a spokesperson for the company said in a statement.
The statement further said, “The update was about introducing optional business features on WhatsApp, and provided further transparency about how we collect and use data. And since that time, WhatsApp has been incredibly valuable to people and businesses, enabling organizations and government institutions to deliver citizen services through COVID and beyond, and as well as supporting small businesses, all of which furthers the Indian economy. WhatsApp is able to do all of this because it offers services supported by Meta,” the company further said.
The Meta spokesperson said the company is “committed to finding a path forward that allows us to continue providing the experiences that people and businesses have come to expect from us”.
While slapping the penalty on the company — the first on a top social media giant over data abuse — the CCI had directed WhatsApp to refrain from sharing user data for advertising purposes with other Meta-owned applications for five years.
The CCI had begun an investigation into WhatsApp’s 2021 privacy policy in March that year. The policy allowed data sharing between Meta and its units, sparking a global backlash.
“Sharing of user data collected on WhatsApp with other Meta companies… for purposes other than for providing WhatsApp service shall not be made a condition for users to access WhatsApp Service in India,” the CCI said on Monday.
The regulator also said that WhatsApp’s policy should include a detailed explanation of the user data shared with other Meta companies or Meta company products. “This explanation should specify the purpose of data sharing, linking each type of data to its corresponding purpose.”
The watchdog also said that sharing of user data collected on WhatsApp with other Meta companies or Meta company products for purposes other than for providing WhatsApp services shall not be made a condition for users to access WhatsApp Service in India.
On sharing of WhatsApp user data for purposes other than for providing WhatsApp services, CCI said all users in India (including users who have accepted 2021 update) should be provided with the choice to manage such data sharing by way of an opt-out option prominently through an in-app notification.