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NCLAT reserves verdict on CCI plea to extend WhatsApp data privacy safeguards for advertising use
In its application, the CCI has asked the NCLAT to clarify whether the privacy safeguards emphasized in the November 4 judgment for non-advertising data sharing should also apply to data used for advertising.
The National Company Law Appellate Tribunal (NCLAT) reserved its order on a clarification plea filed by the Competition Commission of India (CCI) concerning the Tribunal's November 4 judgment in the WhatsApp-Meta data-sharing case.
The CCI moved the appellate tribunal seeking clarity on its November 4 ruling, which had overturned the regulator’s directive that barred Meta and WhatsApp from sharing user data with other Meta group companies for advertising purposes for five years.
In its application, the CCI has asked the NCLAT to clarify whether the privacy safeguards emphasized in the November 4 judgment for non-advertising data sharing should also apply to data used for advertising. The regulator is seeking confirmation that Meta’s data sharing, regardless of whether it is for advertisements or other purposes, must be subject to the same strong user privacy protections, transparency, and genuine user consent.
A bench led by Chairperson Justice Ashok Bhushan and Technical Member Arun Baroka heard the matter. The bench granted Meta and WhatsApp time to file their objections and issued notice on a separate plea by the companies seeking redaction of confidential portions of the judgment.
Background of the November Ruling
In its November judgment, the NCLAT:
Set aside the CCI’s five-year prohibition on data sharing for advertising.
Upheld the penalty of ₹213.14 crore and other non-prohibitory directions issued by the regulator.
Struck down the CCI’s finding that Meta had abused its dominant position in the messaging market to bolster its online advertising business.
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