Supreme Court Pulls Up WhatsApp and Meta Over 2021 Privacy Policy
Supreme Court Pulls Up WhatsApp and Meta Over 2021 Privacy Policy
https://www.newsgram.com/law-order/2026/02/03/sc-slams-whatsapp-meta-2021-privacy-policy
Publish Date: 2026-02-03 09:00:00
Source Domain: www.newsgram.com
Justice Bagchi noted that while privacy law focuses on protection of personal data, the commercial value of user data and how it is “rented out” also required scrutiny. He said the Bench was concerned about how user behaviour was analysed and leveraged for dominance in online advertising markets. Solicitor General Tushar Mehta told the court that personal data was not only sold but “commercially exploited”.
Senior Advocates Mukul Rohatgi and Akhil Sibal, appearing for Meta and WhatsApp, submitted that the penalty imposed by the CCI had already been deposited. They argued that the NCLAT had set aside certain restrictions on data sharing and that messages on WhatsApp are end-to-end encrypted. They also referred to earlier proceedings where an undertaking had been given that users would not be barred for not accepting the 2021 policy.
The court, however, indicated that it was inclined to consider interim directions restraining data sharing unless a formal undertaking was filed. It said commercial interests of companies could not override constitutional rights of citizens. “There is nothing wrong in earning legitimate income, but it cannot be at the cost of the rights of Indians,” the CJI said.
The dispute traces back to a November 2024 order of the CCI, which held that WhatsApp had abused its dominant position by making continued access to its messaging service conditional on acceptance of expanded data sharing with other Meta entities. The regulator imposed a penalty of ₹213.14 crore and issued directions aimed at restoring user choice, including clearer opt-in and opt-out mechanisms and limits on tying service access to data sharing.
Meta and WhatsApp challenged that order before NCLAT, which in November 2025 set aside certain findings related to advertising data sharing but upheld the monetary penalty. Both companies then approached the Supreme Court. The CCI has also filed a cross appeal on the issue of data sharing for advertising.
During the hearing,…