New Delhi: In a significant turn in the long-running data privacy battle, WhatsApp on Monday told the Supreme Court that it will comply with the Competition Commission of India (CCI)’s directions on user data sharing. The messaging giant said it would implement a user-consent-based framework as directed by the National Company Law Appellate Tribunal (NCLAT), while continuing to challenge the ₹213.14 crore penalty imposed on it.
The matter was heard by a Bench comprising Chief Justice Surya Kant, Justice Joymalya Bagchi and Justice Vipul Pancholi. Appearing for WhatsApp and its parent company Meta, Senior Advocate Kapil Sibal informed the court that the company would withdraw its interim application seeking a stay on the NCLAT order. He assured the Bench that the revised consent mechanism would be implemented within the timeline set by the appellate tribunal, with compliance expected by March 16.
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Recording the submission, the Supreme Court dismissed the interim applications as “not pressed” and directed WhatsApp to file a compliance report before the CCI. However, the main appeal challenging the ₹213.14 crore penalty remains pending.
What changes for users?
The core issue revolves around WhatsApp’s 2021 privacy policy update, which effectively made data sharing with Meta companies a condition for continued use of the platform. Users were presented with a stark choice — accept the new terms or stop using the service.
Under the new arrangement, WhatsApp will be required to provide users with a clear and meaningful choice on whether their data can be shared with other Meta entities. Data sharing will no longer be a blanket, mandatory condition.
This shift is expected to give users greater control over how their personal information is used, particularly for advertising and commercial purposes.
The regulatory crackdown
The controversy dates back to January 2021, when WhatsApp announced updates to its terms of service and privacy policy, effective February 8, 2021. Unlike its 2016 policy, which allowed users to opt out of certain data-sharing practices with Facebook (now Meta), the updated policy removed that flexibility.
The CCI took suo motu cognisance and launched an investigation. In November 2024, the competition regulator concluded that WhatsApp had abused its dominant position under the Competition Act, 2002. It imposed a penalty of ₹213.14 crore and directed the company not to share user data with Meta for advertising purposes for five years.
WhatsApp and Meta challenged the order before the NCLAT. In November 2025, the appellate tribunal partly ruled in favour of the companies by setting aside the five-year advertising data-sharing ban. However, it upheld the monetary penalty and restored safeguards requiring a user-consent-based framework, giving WhatsApp three months to comply.
Supreme Court’s sharp observations
During earlier hearings, the Supreme Court had come down heavily on WhatsApp’s “take-it-or-leave-it” approach, observing that citizens’ right to privacy cannot be compromised in the name of providing a free service. The court indicated that dominant digital platforms cannot impose one-sided conditions on users.
On Monday, the company signalled a softer stance, opting to implement the consent framework rather than pressing for a stay.
What lies ahead?
While the compliance on user choice marks a key development, the legal battle is far from over. The CCI’s appeal seeking restoration of the five-year data-sharing ban is still pending before the Supreme Court. The outcome could have wider implications for how dominant digital platforms operate in India.
The final verdict is likely to shape the contours of competition law enforcement in the digital economy and define the limits of how user data can be leveraged by large technology companies. For now, users appear to have secured a measure of relief — but the broader legal questions remain open.
About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
