Meta faces EU antitrust investigation over WhatsApp policy blocking rival AI chatbots

Reviewed byNidhi Govil

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The European Commission launched a formal antitrust investigation into Meta over WhatsApp's October policy change that bans third-party AI chatbots like ChatGPT and Microsoft Copilot from the platform. The probe examines whether Meta is abusing its dominant position by blocking competing AI providers while keeping its own Meta AI accessible, potentially stifling competition in AI markets across Europe.

European Commission Targets Meta Over WhatsApp AI Policy

The European Commission has opened a formal antitrust investigation into Meta over concerns that the company is stifling competition in AI through restrictive changes to its WhatsApp AI policy

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. The probe centers on WhatsApp's October policy update that prohibits third-party AI providers from using the platform's business API to distribute general-purpose AI chatbots to users, while Meta's own AI service remains fully accessible

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Source: BNN

Source: BNN

The investigation will assess whether Meta violated EU competition rules that prohibit the abuse of dominant position, potentially making it harder for smaller providers to compete with its own services

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. If found guilty of breaching the bloc's antitrust rules, Meta may face fines up to 10 percent of its global annual revenue, which would amount to $16.45 billion based on the company's 2024 earnings

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Policy Change Forces Major AI Providers to Exit Platform

WhatsApp changed its business API policy in October to ban general-purpose rival AI chatbots from the chat app, stating that the API isn't designed to be a platform for the distribution of chatbots

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. The updated policy went into effect on October 15 for new AI providers and will apply to existing AI providers starting January 15, 2026

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The policy change has already triggered an exodus of major players. OpenAI directed users away from the platform on October 21, noting that more than 50 million users had used ChatGPT on WhatsApp

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. "We would have much preferred to continue serving you on WhatsApp," OpenAI stated, before blaming the policy and terms change for the move

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. Microsoft followed suit in November, announcing that Copilot would be removed from the platform, stating that "Copilot on WhatsApp has helped millions of people connect with their AI companion in a familiar, everyday setting"

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Source: Benzinga

Source: Benzinga

WhatsApp Business Tools Restrictions and Meta's Defense

The new policy bars AI providers from using WhatsApp business tools when AI technologies are the primary service on offer

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. Services like automated customer support remain allowed when AI is only incidental or ancillary, meaning a retailer running an AI-powered customer service bot won't be barred from using the API

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Source: The Verge

Source: The Verge

A WhatsApp spokesperson called the claims "baseless," arguing that the company's systems were not designed to handle the load placed on them by AI chatbots through the Business API

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. "The AI space is highly competitive and people have access to the services of their choice in any number of ways, including app stores, search engines, email services, partnership integrations and operating systems," the company added

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Implications for AI Competition in Europe

Teresa Ribera, European Commission Executive Vice-President for Clean, Just and Competitive Transition, emphasized the stakes for AI markets. "AI markets are booming in Europe and beyond. We must ensure European citizens and businesses can benefit fully from this technological revolution and act to prevent dominant digital incumbents from abusing their power to crowd out innovative competitors," she said

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The European Commission expressed concern that the policy may prevent third-party AI providers from offering their services through WhatsApp in the European Economic Area, while Meta AI would remain accessible to users on the platform

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. The effect of the change is to leave Meta AI as the only consumer-facing, general-purpose assistant available on the platform

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The investigation will cover all of the EU's 27 countries except for Italy, where authorities have already opened their own separate probe

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. There is no deadline for the EU antitrust investigation

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. The probe aims to determine whether the Commission should act quickly to prevent any possible irreparable harm to competition in the AI space, signaling the urgency with which European regulators view the matter

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