Supreme court questions WhatsApp on data theft and user consent

The Supreme Court of India has issued a stern warning to Meta and WhatsApp, stating they must follow the country’s Constitution or cease operations in India. A three-judge bench led by Chief Justice Surya Kant criticised the companies for their 2021 privacy policy, which mandated data sharing across Meta platforms.

The court is reviewing appeals against a Rs 213.14 crore penalty imposed by the Competition Commission of India (CCI). The CCI found that WhatsApp abused its dominant market position by forcing users into a “take-it-or-leave-it” agreement.

While the National Company Law Appellate Tribunal (NCLAT) upheld the fine in November 2025, it had partially relaxed restrictions on data sharing for advertising. The Supreme Court has now signalled it may reinstate stricter controls.

Chief Justice Surya Kant described the data-sharing practices as a decent way of committing theft of private information. The bench questioned if ordinary citizens, such as street vendors or rural residents, could truly understand the complex legal language used in the privacy terms. Justice Joymalya Bagchi referred to the agreement as “manufactured consent,” noting that users have no real choice when the platform holds a monopoly.

Meta and WhatsApp argued that all messages remain end-to-end encrypted. Their legal team stated that users have options to opt out of certain data sharing and that the Rs 213.14 crore penalty has already been deposited. However, the court remained sceptical, pointing to examples where private conversations lead to immediate targeted advertisements on other platforms.

Solicitor General Tushar Mehta argued that personal data is being commercially exploited and that users have effectively become products in an advertising-driven model.

The court impleaded the Ministry of Electronics and Information Technology as a party to the case. It directed Meta and WhatsApp to file an affidavit by next Monday, 9 February 2026. This affidavit must provide a categorical undertaking that the companies will not share user data. The bench indicated it would pass an interim direction during the next hearing.