Italy has directed Meta to halt its policy that prohibits businesses from using WhatsApp’s business tools to deploy their own AI chatbots on the platform. The Italian Competition Authority (AGCM) announced this decision on Wednesday, citing concerns over Meta’s dominant position in the market and potential abuse thereof.
The AGCM stated that Meta’s actions may restrict competition and harm consumer interests by limiting access and development opportunities in the AI chatbot market. They emphasized that while the investigation is underway, Meta’s policy could inflict significant and irreparable damage to competition in this sector, undermining the fairness of the market.
This move follows an expansion of an existing investigation into Meta’s practices, prompted by a policy change in October that barred general-purpose chatbots from being utilized on WhatsApp via its API. Meta contends that its API is not intended to serve as a distribution platform for chatbots. The company maintains that users can access AI bots from various other channels outside of WhatsApp, and the policy only affects certain external AI chatbots, like those from OpenAI and Poke.
Importantly, the new regulation does not impede businesses that use AI to interact with customers on WhatsApp. Retailers using AI for customer service, for instance, can still implement such technologies through the API. However, the restrictions apply specifically to standalone AI chatbot services that seek to operate on the platform.
In addition, the European Commission has initiated its investigation into Meta’s recent policy, expressing concern that it may hinder third-party AI providers’ ability to offer their services in the European Economic Area (EEA).
Disputing the AGCM’s findings, Meta has described the Authority’s ruling as “fundamentally flawed.” They argue that WhatsApp’s business API should not be viewed as a primary channel for AI companies to enter the market. Meta insists that the advertisement of AI services is more appropriately conducted through traditional app stores, along with partnerships and websites, rather than through WhatsApp’s Business API. The company plans to appeal the decision.
This situation underscores the regulatory challenges and scrutiny that major tech companies like Meta are facing as they navigate the evolving landscape of AI technology. The outcome of these investigations may set important precedents for how AI services can be integrated into widely used communication platforms, ultimately fostering a diverse and competitive marketplace that benefits consumers.