The antitrust authority (AGCM) of Italy on Wednesday directed Meta Platforms to pause contractual stipulations that may close rival AI chatbots of WhatsApp, as it investigates the U.S. tech group for suspected abuse of a dominant position.
A Meta spokesperson referred to the ruling as “fundamentally flawed” and said the emergence of AI chatbots “put a strain on our systems that they were not designed to support.” The spokesperson stated, “We will appeal.”
This is the most recent shift in a series of actions by European regulators against Big Tech companies, with the EU trying to find the right balance between propping up the industry and limiting its growing power.
AGCM added that the actions of Meta seemed to limit “output, market access or technical development in the AI chatbot services market,” potentially harming consumers.
The Italian regulator initiated the investigation of Meta on suspected abuse of a dominant position in relation to WhatsApp in July. It had expanded its investigation to include revised keywords of the business platform of the messaging app in November.
The watchdog reported that “These contractual conditions completely exclude Meta AI’s competitors in the AI chatbot services market from the WhatsApp platform.”
However, in the same allegations, EU antitrust regulators initiated a parallel investigation into Meta last month.
The hard approach to the issue, which is highly contrasting with less restrictive U.S. regulation has caused the industry to push back, especially in the case of U.S. technological giants, and prompted the administration of U.S. President Donald Trump to criticize it.
The Italian watchdog claimed that it was in coordination with the European Commission to ensure Meta’s conduct was stated “in the most effective manner.”
