Real-money gaming firms slam Meta for greenlighting WhatsApp marketing for gambling

New Delhi: Meta’s recent announcement to allow real money gambling businesses to promote and market their activities through WhatsApp business messaging has drawn criticism from the real money gaming fraternity.  

The real money gaming (RMG) fraternity has been trying to distance itself from the comparisons it drew to gambling. The RMG companies have tried to distinguish their products on the basis that the games require skill to play, with gambling depending on the chance factor to win a game. Additionally, real-money gambling is illegal in India, with advertising about real-money gambling also illegal. 

Commenting on the Meta’s move, a professional from the real-money gaming industry said, “This is not right. While they have passed a generic statement for all three regions, they should have stated something recognising the law of the land. They have put all gambling and gaming companies under one bucket, which is everything we stand against. This move is expected to create more confusion for the consumer rather than provide clarity.” 

On Tuesday, Meta updated its policy, stating that businesses in India can onboard the WhatsApp Business Platform for messaging in verticals such as real money gambling, among other things. 

According to the mail, businesses in India, APAC and LATAM can onboard the WhatsApp platform for messaging in the following verticals: a) Alcohol, b) over-the-counter products (prescription drugs and medical devices still prohibited) and c) real money gambling. 

“Messages on WhatsApp that promote online gambling and gaming, a type of Real Money Gambling, are only allowed with WhatsApp’s prior written permission. The permission is provided after the business completes the required contact form, subject to the business complying with WhatsApp’s requirements,” stated the Meta policy. 

“Both businesses that are new to WhatsApp and existing businesses must complete the contact form and receive written permission from WhatsApp prior to messaging about online gambling and gaming. Authorised businesses must follow all applicable laws, including targeting their messages in accordance with legal requirements,” the policy added. 

The policy further stated that any messaging related to buying, selling and paying for goods/services related to alcohol, OTC medication and real-money gambling categories is governed by the Meta Commerce policy and these use cases remain disallowed across all WhatsApp surfaces. Also, any messaging related to these verticals on the WhatsApp Business App remains disallowed. 

Meta defines online gambling and gaming as any product or service where anything of monetary value is included as part of a method of entry and prize. Monetary value includes but is not limited to cash or digital currencies like Bitcoin.  

Moreover, the use cases that may be allowed under the policy are online gambling and gaming businesses (which require written permission from WhatsApp), physical, real-money gambling activity or establishments and state or government lotteries. Use cases that are not allowed include online gambling or gaming businesses that have not been approved by WhatsApp. 

“This is surprising if it is true. Thankfully, consumer protection regulations are robust in our country. Gambling is largely illegal in India, and advisories issued by the Department of Consumer Affairs (DoCA) and the Ministry of Information and Broadcasting (MIB) restrict the usage of digital platforms for certain categories of advertisements,” Anuraag Saxena, CEO, E-Gaming Federation, stated. 

Despite the government’s best efforts to keep offshore gambling companies at bay, they have successfully advertised on billboards, cabs, and influencers, among other avenues, which has raised questions about the legality of these companies within the jurisdiction of India. However, these companies continue to eat into the consumer share of the registered, legal entities operating legally in India, confusing consumers with a similar interface as a legal entity. 

Additionally, the Advertising Standards Council of India (ASCI) identified approximately 1311 illegal betting ads, which were then escalated to the Ministry of Information and Broadcasting (MIB).  

However, a few industry sources believe that the policy framework to be introduced by Meta will abide by the laws within the Indian jurisdiction. “The language used in the policy is compliant globally. Hence, they did not change it. I believe they will follow the law of the land and not participate in anything that is illegal or that breaks the law,” another industry source concluded.