EU launches antitrust investigation against Meta for WhatsApp AI features

The European Union announced on Thursday that it has initiated an antitrust investigation to assess whether Meta's introduction of AI features in WhatsApp violates EU competition rules. This action is part of the blocs ongoing effort to regulate major technology companies.

The inquiry, which falls under EU antitrust legislation rather than newer digital regulations, focuses on concerns that Meta's recent policy could "prevent third-party AI providers from delivering their services through WhatsApp." WhatsApp has dismissed these claims as unfounded.

EU competition commissioner Teresa Ribera emphasized the need to ensure dominant digital companies do not abuse their position to stifle innovation. Ribera stated, "We are examining whether Meta's new policy could breach competition rules and whether urgent measures are needed to prevent potential harm to competition in the AI sector."

According to the EU, Metas October policy update would restrict rival AI providers from using WhatsApps business tools to connect directly with customers if AI is the main service offered, such as in AI chatbots or assistants. However, AI can still be used for support functions, including customer service. The EU noted that while competitors could be blocked, Meta's own AI service, "Meta AI," would remain accessible to users.

WhatsApp countered that its systems were not designed to fully support third-party AI chatbots through the Business API, and maintained that the AI market remains competitive with multiple ways for users to access services via app stores, search engines, email, partnerships, and operating systems.

The investigation covers the European Economic Area, including the EUs 27 member states, Iceland, Liechtenstein, and Norway, with the exception of Italy, which launched its own inquiry in July. Italys antitrust authority is probing whether combining Meta AI with WhatsApp compels users to adopt Metas AI offerings and channels its user base into the AI market.

There is no fixed timeline for completing the investigation. Meta is already subject to potential fines under the EUs Digital Services Act for issues including limited access to public data and inadequate mechanisms for reporting or disputing illegal content. Additional inquiries examine the addictive nature of Facebook and Instagram for minors and a separate appeal against a 200 million fine under the Digital Markets Act for its subscription policy on ad-supported versus ad-free services.

Author: Riley Thompson