CCI seeks clarification from NCLAT on scope of user consent in WhatsApp–Meta data sharing case
The regulator is specifically seeking to understand whether the tribunal’s order mandates user consent for both advertising and non-advertising uses of data, or only for the latter.
The Competition Commission of India (CCI) has approached the National Company Law Appellate Tribunal (NCLAT) seeking clarity on a key aspect of its recent judgment involving ’s data-sharing practices with the parent company .
The regulator is specifically seeking to understand whether the tribunal’s order mandates user consent for both advertising and non-advertising uses of data, or only for the latter.
The clarification request follows the NCLAT’s November 4, 2025 order, which partly overturned the CCI’s earlier directive banning WhatsApp from sharing user data with Meta for advertising for five years, while upholding a Rs 213-crore penalty and confirming WhatsApp’s violation of Sections 4(2)(a)(i) and 4(2)(c) of the Competition Act.
According to CCI counsel Samar Bansal, ambiguity arises from the tribunal’s interpretation of consent requirements across different use cases.
“Now, in our understanding, what the NCLAT has basically said, in a nutshell, is that user consent is paramount and that regardless of whether the data is being used for advertising purposes or for any other non-advertising purposes, please take user consent. That is what the NCLAT holds in different parts of the order,” Bansal told PTI.
The regulator argues that while the order’s broader reasoning appears to mandate uniform consent, its concluding paragraph distinguishes between advertising and non-advertising contexts.
In particular, Para 264 sets aside Para 247.1 of the original CCI order (which concerned advertising-related sharing) and upholds Para 247.2 (relating to non-advertising data use), creating uncertainty over the treatment of advertising-linked data flows.
“So, we have simply moved an application that the court must clarify what it meant, and actually, what its order already says is that user consent must be taken regardless of whether WhatsApp is sharing data, user data with other Facebook companies for advertising purposes or for non-advertising purposes. That is the one simple clarification we have asked,” he added.
In its 184-page ruling, the NCLAT held that cross-platform data sharing between WhatsApp and Meta strengthened Meta’s competitive position in the digital display advertising market, acting as a barrier for rival firms lacking access to similar data.
However, it also noted that the CCI’s finding under Section 4(2)(e) was unsustainable, observing that Meta and WhatsApp are legally distinct entities and their activities in the messaging and digital advertising markets cannot be treated as a case of dominance leveraged from one market to another.
The two-member bench has issued notice to WhatsApp and Meta, whose legal representatives were present during the proceedings. The matter has been scheduled for the next hearing on November 25.
(With inputs from PTI.)