Meta Defends Market Practices Before NCLAT, CCI Finds No Evidence of Rival Access Denial

Quick Summary

• Meta Platforms argued before the National Company Law Appellate Tribunal (NCLAT) on Monday,contesting a ₹213.14 crore penalty imposed by the Competition commission of India (CCI) for alleged anti-competitive practices tied too WhatsApp’s 2021 Privacy Policy update.
• Senior Advocate Amit Sibal stated that CCI “erroneously” defined the relevant market and failed to show actual conduct or effects caused by WhatsApp’s policy update.
• Sibal noted that CCI had excluded substitutable services like online search advertising and offline advertising from its market definition, limiting it to “online display advertising.”
• Meta emphasized that competitor testimonies, including statements from Google and Amazon, had contradicted CCI’s conclusions but were dismissed without reason.
• Senior advocate Arun Kathpalia argued regarding jurisdictional concerns, stating there has been no change in data-sharing policies since 2016.
• The tribunal stayed a five-year ban earlier imposed by CCI concerning data-sharing practices between WhatsApp and Meta for advertising purposes.
• The hearing continues wiht arguments scheduled from September 18-19.

Indian Opinion Analysis

The confrontation between Meta Platforms and India’s Competition Commission highlights key legal questions surrounding antitrust enforcement in emerging markets where technology platforms play dominant roles. Meta’s contention that the relevant market was narrowly defined raises valid points about regulatory oversight needing clarity on how digital ecosystems operate-where various types of advertisements often coexist as substitutes.

The implications of this case are significant as they will define how India approaches tech giants managing user data while balancing competition concerns. As consumer privacy debates remain central globally,regulatory bodies must ensure definitions and evidence accurately reflect real-world dynamics to avoid stifling innovation or misjudging competitive threats. However,sustained legal challenges like this signal increased scrutiny over multinational firms in India’s rapidly evolving digital economy.

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