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Meta Faces Fresh Regulatory Pressure as Italy Moves to Curb WhatsApp AI Exclusivity

Meta Platforms is facing increased regulatory pressure in Europe after Italy’s competition authority ordered the company to open WhatsApp to competing artificial intelligence chatbots, citing concerns that the tech giant may be stifling competition in the emerging AI services market.

The interim directive, issued on Wednesday, follows a long-running investigation by Italian regulators, who are examining whether Meta has abused its strong market position by tightly integrating its own AI chatbot into WhatsApp, one of the world’s most widely used messaging platforms.

At the centre of the dispute are new contractual terms Meta introduced in October, scheduled to take effect on January 15.

According to Italy’s antitrust authority, the conditions would effectively shut out rival AI chatbot providers from operating on WhatsApp, giving Meta AI exclusive access to the platform’s vast user base.

Meta AI, a generative chatbot now embedded across Meta’s ecosystem, including Facebook and Instagram, allows users to interact, search for information and access services.

Regulators argue that such tools could increasingly replace traditional web browsers, making control over access to users a critical competitive advantage.

With WhatsApp boasting more than three billion users globally, Italian authorities warned that restricting the platform to Meta AI alone could significantly disadvantage competing chatbot developers.

After reviewing submissions from the parties involved, the regulator said Meta’s behaviour could amount to an abuse of dominance by limiting market access and the technological development, ultimately harming consumers.

To prevent what it described as potentially irreversible damage to competition, the authority ordered Meta to temporarily suspend the disputed terms and permit rival AI chatbots on WhatsApp while the investigation continues. It said the measure was necessary to safeguard fair competition during the probe.

The Italian watchdog also confirmed it is coordinating closely with the European Commission, which earlier this month opened its own antitrust investigation into whether Meta’s AI rollout on WhatsApp breaches EU competition rules.

Meta has dismissed the allegations, with WhatsApp previously describing claims that its new terms restrict competition as unfounded.

The case adds to Meta’s growing regulatory challenges within the European Union. The company is already under scrutiny under the Digital Services Act, facing separate cases over alleged shortcomings in providing researchers access to public data and in offering clear tools for users to report illegal content or appeal moderation decisions on Facebook and Instagram.

EU authorities are also investigating whether Meta’s platforms adequately address concerns about excessive and potentially addictive use by children.

In addition, Meta has lodged an appeal against a €200 million fine imposed earlier this year under the Digital Markets Act over its policy requiring users to choose between an ad-free paid option and a free, advertising-supported service.

As European regulators intensify oversight of Big Tech, the outcome of the WhatsApp AI investigations could play a key role in shaping how artificial intelligence is integrated into dominant digital platforms across the region.

Phebe Obong

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