Italy’s Competition Watchdog Broadens WhatsApp AI Policy Probe
Rome — Italy’s Competition Watchdog, known as the AGCM, has significantly expanded its ongoing probe into WhatsApp, turning its attention to a contentious policy update introduced last October and, critically, the integration of the messaging giant’s proprietary AI features. This move signals a deeper scrutiny into how Meta-owned platforms leverage new technologies and user data, potentially setting a precedent for similar investigations across Europe.
The AGCM initially launched its inquiry into WhatsApp over concerns related to its terms of service and data handling practices. However, the watchdog has now confirmed it is specifically scrutinizing a policy WhatsApp rolled out in October 2023. This update, which users were prompted to accept, has raised questions about its implications for consumer rights and competitive dynamics within the digital communications market.
What's more, the probe now explicitly includes the integration of WhatsApp's own AI features. This addition is particularly salient as Meta has been aggressively pushing its Meta AI capabilities across its suite of applications, including Instagram, Messenger, and, naturally, WhatsApp. Regulators are increasingly wary of how dominant platforms might bundle new services, especially those powered by artificial intelligence, to consolidate their market position or gain unfair advantages.
The AGCM’s concerns likely revolve around several key areas. Firstly, whether the October policy changes subtly alter the competitive landscape by making it harder for alternative messaging services to compete, perhaps through new data sharing agreements or restrictions. Secondly, the integration of AI features could be seen as a form of tying practice, where users are encouraged or even implicitly compelled to use Meta’s AI services if they wish to fully utilize WhatsApp. There's also the persistent question of how user data — a goldmine for AI training — is collected, processed, and utilized across Meta's interconnected ecosystem.
This isn't an isolated incident; it reflects a broader trend among European regulators to rein in the power of Big Tech, particularly at the intersection of data, competition, and emerging technologies like AI. The European Union has already introduced landmark legislation such as the Digital Markets Act (DMA) and the Digital Services Act (DSA), with the AI Act soon to follow. Italy's deepened investigation into WhatsApp could provide valuable insights that inform future regulatory actions at both national and EU levels.
For WhatsApp and its parent company Meta, the expanded probe means heightened legal and reputational risks. While Meta routinely emphasizes its commitment to user privacy and providing innovative features, the AGCM will be focused on the structural impact of these policies and integrations on competition and consumer choice. The outcome of this investigation could significantly influence how AI features are rolled out and governed on dominant digital platforms across the continent, underscoring the growing tension between technological innovation and regulatory oversight.
