The Supreme Court on Tuesday delivered a stern warning to WhatsApp and its parent company Meta over the instant messaging platform’s data-sharing and privacy practices, making it clear that user data cannot be exploited for commercial purposes.
`
Hearing a batch of appeals related to data sharing and competition concerns, the court said global technology companies operating in India must strictly comply with Indian law.
Chief Justice of India Surya Kant issued a sharp caution to the US-based company during the proceedings.
“You can’t play with the privacy of our country, we will not allow you to share a single digit of our data,” the Chief Justice said, adding that the company could leave India if it fails to comply with the nation’s laws.
The observation came as the bench examined whether WhatsApp’s data practices undermine user privacy and competition safeguards.
Appeals Against NCLAT Order Under Review
The hearing involved multiple appeals filed by WhatsApp, Meta, and the Competition Commission of India (CCI). These challenges relate to a January 2025 order of the National Company Law Appellate Tribunal (NCLAT) concerning data sharing and alleged market dominance.
The case has wide implications for how large digital platforms collect, process and monetise user information in India.
During the hearing, the Chief Justice questioned the companies’ argument that users had given informed consent to data-sharing policies.
ALSO READ: US–India trade deal: Trump cuts tariffs to 18% after Modi talks; ‘Out of friendship and respect’
The court observed that millions of users, including street vendors and rural citizens, cannot realistically be expected to understand lengthy and complex privacy policies.
“The choice is between the lion and the lamb. Either you file an undertaking that there will be no data sharing, or we will dismiss your case,” the Chief Justice said.
Concerns Over Commercial and Behavioural Exploitation
While counsel for WhatsApp argued that its privacy policy aligns with international standards, and Meta maintained that data sharing is limited to the parent company, the court was unconvinced.
The bench emphasised that behavioural and commercial exploitation of user data, including targeted advertising based on chat trends, would amount to a violation of users’ rights.
To underline its concern, the court cited instances where users allegedly received targeted advertisements for medicines shortly after private chats with doctors, raising serious questions about data monetisation.
Interim Order: No Data Sharing With Meta
As an interim measure, the Supreme Court directed WhatsApp not to share any user information with Meta until the matter is fully heard.
The order places a temporary freeze on data sharing between the messaging platform and its parent company, pending a final ruling.
