WhatsApp Antitrust Complaint Dismissed By Competition Commission Of India. According to Wikipedia WhatsApp is an American freeware, cross-platform messaging, and Voice over IP service by Facebook inc. And was earlier released in January 2009 by Brian Acton and Jan Koum, before Facebook acquired it.
WhatsApp was later made available for PC with the name (WhatsApp web). It comes with an end to end encryption, payment tab, and more. The WhatsApp payments is simply a peer to peer money transfer feature that is currently available in India. This led to the antitrust complaint made against WhatsApp. But the case has been dismissed by the competition commission of India (CCI)
WhatsApp Antitrust Complaint Dismissed By Competition Commission Of India
According to Gadgets Gadgets.ndtv Competition Commission Of India (CCI) which is the country’s antitrust watchdog, has finally dismissed the case filed against Facebook’s WhatsApp. The CCI said that the company has not abused its dominant position to expand in the county’s digital payments market, based on an official order.
What Is The Case Claim
A case in march alleged that WhatsApp was bundling its digital payment system known as “ WhatsApp pay” within it’s messaging app for which it already has a large user base. It was claimed that WhatsApp was abusing its position by forcing its payments system on its users.
It was stated that WhatsApp pay was available to “ less than 1% of WhatsApp users in India in its beta version”. The CCI said it did not find any contravention of antitrust laws, it also added that the company “ actual conduct is yet to manifest in the market” that it has not fully launched the service yet.
According to Livemint, the ruling clears a hurdle for the Facebook-owned platform’s quest to capitalize on India’s fintech ecosystem. Mark Zuckerberg said that the firm could look to bring payments to other countries after testing it in India. There are over 4 million users in India, which makes it it’s the biggest market.
However, the CCI case was one of the reasons that have been keeping WhatsApp from launching its payment service in India. WhatsApp pay launching is said to be important for FB to capitalize on its association with Mukesh Ambani- led Reliance Jio.
WhatsApp users are currently allowed to make orders at Jio’s grocery delivery service and JioMart
Furthermore, while the antitrust allegation was dismissed, the regulator did observe that WhatsApp is dominant in OTT messaging space. This might be necessary for future antitrust cases and rulings as it pertains to the technology space
The Competition Commission Of India (CCI) said that “ while you may say this space is for user attention, it has its compartments. Therefore, you can substitute a Facebook, where you post content with a WhatsApp, which is about live chats. It could make players cautious of their behavior because they could be dominant in their very small niches, so to speak” said by Kanika Chaudhary Nayar, Partner at L&L partners.