Supreme Court Delivers Stinging Rebuke to Meta Over WhatsApp Privacy Policy
India’s Supreme Court has issued a stern warning to Meta, the parent company of WhatsApp, over its contentious privacy policy. The court made it unequivocally clear that no technology firm operating within India’s borders will be permitted to compromise the fundamental right to privacy of its citizens. In a session marked by pointed remarks, the presiding bench suggested that companies unwilling to respect the Constitution should consider leaving the country.
Court Hearing Centers on Privacy Policy Dispute
The bench, led by Chief Justice Surya Kant, was hearing an appeal filed by Meta and WhatsApp challenging a previous ruling by the National Company Law Appellate Tribunal (NCLAT). That tribunal had upheld a significant penalty imposed by the Competition Commission of India (CCI) in connection with WhatsApp’s 2021 privacy policy update. The CCI had originally levied a fine of ₹213.14 crore on the company for what it deemed anti-competitive practices tied to data sharing.
In a separate but related move, the CCI has also filed its own appeal against an NCLAT order that permitted the sharing of user data for advertising purposes. This has added another layer of complexity to the ongoing legal battle.
Interim Order Scheduled for February 9
Recognizing the gravity of the issues at stake, the Supreme Court has directed the Ministry of Electronics and Information Technology (MeitY) to be made a party to the proceedings. The court gave Meta and WhatsApp a clear ultimatum: provide a written assurance that user data will not be shared, or face a mandatory court order. The bench announced that an interim order in the case will be delivered on February 9.
Court Raises Critical Questions on User Consent
During the hearing, the Supreme Court raised several incisive questions about the nature of user consent and market dominance. The bench observed that WhatsApp holds a dominant position in India’s messaging market, leaving users with few viable alternatives. It questioned whether an average person could genuinely understand the company’s complex privacy policy, arguing that consent can only be considered valid if it is clear and comprehensible.
Solicitor General Tushar Mehta, representing the government, highlighted that user data is not merely being collected but is actively used for commercial gain. The court also pressed WhatsApp to explain exactly how it utilizes user data for targeted advertising. Chief Justice Kant shared a personal anecdote, noting that after sending health-related messages, he began seeing relevant advertisements—a practice that raises serious questions about data usage.
‘Data Sharing Is a Disguised Form of Theft’
The Chief Justice did not mince words when addressing the language of WhatsApp’s privacy policy. He emphasized that the right to privacy is a cornerstone of Indian democracy and cannot be violated by any corporation.
“You cannot play with the privacy of this country under the guise of data sharing,” the Chief Justice remarked. “Your privacy terms are crafted so cunningly that the average person cannot understand them. This is a ‘civilized way’ of stealing personal information, and we will not allow it.”
He added a blunt warning: “If you cannot abide by our Constitution, then leave India. We will not compromise on the privacy of our citizens.”
Arguments Presented by Meta and WhatsApp
Senior advocates Mukul Rohatgi and Abhishek Singhvi, representing the companies, argued that all WhatsApp messages are protected by end-to-end encryption, meaning the company itself cannot read them. They also confirmed that the penalty amount had already been deposited with the authorities.
Meta has agreed to file an affidavit to clarify the specifics of its data usage practices. The court accepted this offer and adjourned the hearing until the following week. It also formally included the Ministry of Electronics and Information Technology as a party to the case.
The Origin of the Controversy
The dispute traces back to January 2021, when WhatsApp updated its privacy policy for Indian users. The updated policy did not offer users a genuine choice to opt out of data sharing with Meta and its subsidiaries. Instead, users were given an ultimatum: accept the new terms or stop using the app altogether.
This “take-it-or-leave-it” approach drew sharp criticism from regulators and privacy advocates. In November 2024, the CCI found that WhatsApp had abused its dominant position in India’s messaging market. The regulator concluded that the company had unlawfully tied access to its messaging service to consent for data sharing, a violation of the Competition Act, 2002.
The CCI imposed a ₹213.14 crore fine on Meta and directed the company to restore user choice through clear opt-in and opt-out mechanisms, along with greater transparency in its data practices.
NCLAT’s Mixed Ruling
Meta and WhatsApp challenged the CCI’s order before the NCLAT. In November 2025, the tribunal delivered a mixed verdict. It lifted a five-year ban on data sharing for advertising purposes but upheld the substantial fine. This partial victory for Meta did little to resolve the core concerns around user privacy and data sovereignty.
The Supreme Court’s current proceedings reflect a deep judicial commitment to protecting citizens’ digital rights. All eyes are now on February 9, when the court is expected to issue its interim order—a decision that could reshape how global tech companies handle user data in India.
