EU launches antitrust investigation into Meta's WhatsApp AI capabilities

On Thursday, the European Union announced it has initiated an antitrust investigation to determine whether Meta's implementation of AI features in WhatsApp violates EU competition regulations. The European Commission expressed concerns that the new policy introduced by Meta could prevent third-party AI providers from offering their services on WhatsApp.

This latest action against Meta is part of the EU's ongoing efforts to regulate Big Tech companies, particularly as they face significant resistance from the administration of former US President Donald Trump. Unlike the EU's strengthened digital laws, which Trump claims target American companies unfairly, this case falls under the bloc's traditional antitrust framework, which has sparked threats of retaliation from the US.

Teresa Ribera, the EU competition chief, emphasized the importance of protecting competition within the digital sector, stating, "We must act to prevent dominant digital players from abusing their market power to eliminate innovative competitors." Ribera added, "That is why we are investigating whether Meta's recent policy is in violation of competition rules, and if so, we must take prompt action to prevent any potential lasting damage to AI market competition."

The investigation centers on a policy introduced by Meta in October, which the EU claims will restrict third-party AI providers from using a key tool in WhatsApp's business version to interact with customers. The commissions statement noted that this change could effectively block competing AI services from reaching their customer base through WhatsApp.

In contrast, Meta's own AI service, "Meta AI," would continue to be available on the platform, potentially giving it an unfair advantage over competitors. The scope of the probe includes the European Economic Area (EEA), which consists of the 27 EU member states as well as Iceland, Liechtenstein, and Norway. However, Italy is conducting a separate investigation into Meta following a similar concern raised in July.

The Italian antitrust authorities have expressed that Metas decision to integrate Meta AI with WhatsApp could force users to adopt Meta's AI services and channel its customer base into the growing market.

Author: Natalie Monroe