Meta reacts to NCLAT order, says WhatsApp messages remain end-to-end encrypted

New Delhi: Meta has welcomed the National Company Law Appellate Tribunal’s (NCLAT) decision in the WhatsApp privacy case, saying the ruling does not change the privacy of personal chats on the platform. “We welcome the NCLAT’s decision. While we await the written order, we continue to reiterate that WhatsApp’s 2021 privacy policy update did not change the privacy of people’s personal messages, which remain end-to-end encrypted,” a Meta spokesperson said.

The company added that WhatsApp’s optional business features “make people’s lives more convenient with services like bill payments, ticket booking, and shopping, while supporting local businesses and furthering India’s digital economy.”

On Monday, NCLAT partly set aside the Competition Commission of India’s (CCI) 2022 order by quashing a five-year prohibition on data sharing under Section 4(2)(e), while upholding a penalty of Rs 213.14 crore and directions on transparency, including clearer disclosures and effective opt-outs for users. 

The case arose from WhatsApp’s 2021 policy update, which made intra-group data sharing for advertising mandatory and removed the earlier opt-out for India’s user base.

The tribunal noted overlaps between competition and data-protection issues and indicated that India’s Digital Personal Data Protection framework could address several questions more comprehensively. 

Meta had already deposited 50% of the penalty during an interim stay granted in January 2025. Related privacy matters remain pending before the Supreme Court and the Delhi High Court.