Startup
CCI raps Meta with Rs 213 Cr penalty over WhatsApp’s 2021 privacy policy
The Competition Commission of India (CCI) has imposed a penalty of Rs 213.14 crore on Meta for abusing its dominant position through the implementation of WhatsApp’s 2021 Privacy Policy, which involved collecting and sharing user data with other Meta companies.
The Commission issued cease-and-desist directions and instructed Meta and WhatsApp to implement specific behavioural remedies within a set timeline.
For the next five years, WhatsApp is not allowed to share user data collected on its platform with other Meta companies or products for advertising purposes, the competition regulator said in a release.
After the period, WhatsApp cannot impose conditional access to the app and ask users to allow sharing data with other Meta companies or products for purposes other than providing WhatsApp services, such as advertising.
In addition, all users in India, including those who accepted the 2021 update, must be given the choice to manage data sharing through an opt-out option clearly shown in an in-app notification, as well as the option to review and change their data-sharing preferences through a prominent tab in WhatsApp settings.
The commission also noted that WhatsApp must clearly explain what user data is shared with other Meta companies or products, specifying the purpose for each type of data.
It also highlighted that future policy updates must adhere to these rules.
In this case, the Commission identified two key markets: one for OTT messaging apps on smartphones in India, and the other for online display advertising in India.
It was found that Meta, operating through WhatsApp, is dominant in the market for messaging apps on smartphones in India. Additionally, Meta was also found to hold a leading position in online display advertising in India compared to its competitors.
In January 2021, WhatsApp notified users of updated terms requiring them to accept expanded data collection and mandatory sharing with Meta companies to continue using the messaging app.
“The Commission has concluded that the 2021 policy update by WhatsApp on a ‘take-it-or-leave-it’ basis constitutes an imposition of unfair condition under the Act, as it compels all users to accept expanded data collection terms and sharing of data within Meta Group without any opt-out,” it remarked.
Due to the strong network effects and lack of other effective options, the 2021 update forces users to accept the changes, limiting their freedom of choice. This is seen as an abuse of Meta’s dominant position.
The Commission also found that sharing WhatsApp user data with Meta companies for non-WhatsApp services creates a barrier for competitors in the display advertising market.
It also concluded that Meta used its dominance in messaging apps to protect its position in the online display advertising market.
Peak XV Partners on Thursday divested 1.5% stake in fintech company One MobiKwik Systems for Rs 82 crore through an open market transaction.
Peak XV Partners (formerly Sequoia India & Southeast Asia) through its arm—Peak XV Partners Investment Holdings III—offloaded 12.01 lakh shares, or 1.55%, stake in One MobiKwik Systems through a bulk deal on the National Stock Exchange (NSE).
The shares were disposed of at an average price of Rs 679.38 apiece, taking the deal value to Rs 81.63 crore.
After the transaction, Peak XV Partners’ holding in Gurugram-based MobiKwik has declined to 1.26% from 2.81%.
Details of buyers of MobiKwik’s shares could not be ascertained on the exchange.
One MobiKwik Systems shares rose 2.40% to close at Rs 623.50 apiece on the NSE.
Last week, MobiKwik’s shares listed with a premium of nearly 60%.
The initial public offering (IPO) by MobiKwik was entirely a fresh issuance of equity shares worth up to Rs 572 crore with no offer-for-sale (OFS) component.
Founded by Bipin Preet Singh and Upasana Taku, MobiKwik is a digital banking platform, offering a wide range of financial products for both consumers and merchants, including payments, digital credit, and investments.
Consumer protection watchdog CCPA will investigate ride-hailing apps for allegedly charging different fares for identical rides on Android and Apple devices, Consumer Affairs Minister Pralhad Joshi said on Thursday.
“This prima facie looks like unfair trade practice,” Joshi wrote on X, formerly Twitter, calling it a “blatant disregard” for consumers’ right to transparency.
The Central Consumer Protection Authority (CCPA) has been directed to conduct a detailed inquiry and submit a report at the earliest. The investigation will extend to other sectors including food delivery and ticket booking apps.
“Zero tolerance for consumer exploitation!” Joshi added.
The probe follows media reports highlighting price disparities between mobile platforms for the same journey.
Prasar Bharti’s OTT platform ‘Waves’ crossed 1 million downloads in a month, said Minister of Information and Broadcasting, Ashwini Vaishnaw, in a post on the social media platform X.
The platform, unveiled during the 55th International Film Festival of India (IFFI) in Goa last month, is “more than a platform—it’s a celebration of India’s rich culture, vibrant stories, and technological prowess,” he added.
The platform was launched to bring new content and revive classic shows such as the Ramayana and Mahabharata. It has also hosted content by National Creator awardees and showcased films from FTII, Annapurna College, and other top institutions.
This milestone reflects India’s unbreakable bond with its cultural roots, said the minister. He called the platform not just an OTT, but a “full-fledged infotainment ecosystem,” with content in more than 12 languages, over 10 genres, with live TV streaming and 65 live channels, video-on-demand, free-to-play gaming, and online shopping via Open Network for Digital Commerce (ONDC), he added.
Peak XV Partners sells 1.5% stake in MobiKwik for Rs 82 Cr
Govt orders probe into ride-hailing apps over alleged price discrimination
Prasar Bharati’s OTT platform Waves crosses 1M downloads in a month
Why Millennials, GenZs Are Riding The Investment Tech Wave In India
Startups That Caught Our Eyes In September 2023
How Raaho Is Using Tech To Transform India’s Fragmented Commercial Trucking
-
Startup Stories1 year agoWhy Millennials, GenZs Are Riding The Investment Tech Wave In India
-
Startup Stories1 year agoStartups That Caught Our Eyes In September 2023
-
Startup Stories1 year agoHow Raaho Is Using Tech To Transform India’s Fragmented Commercial Trucking
-
Startup Stories1 year agoMeet The 10 Indian Startup Gems In The Indian Jewellery Industry’s Crown
-
Crptocurrency10 months agoLither is Making Crypto Safe, Fun, and Profitable for Everyone!
-
Startup Stories1 year agoWOW Skin Science’s Blueprint For Breaking Through In The $783 Bn BPC Segment
-
Startup Stories1 year agoHow Volt Money Is Unlocking The Value Of Mutual Funds With Secured Lending
-
E-commerce1 year agoTop Online Couponing Trends To Watch Out For In 2016