In an astonishing update, Italy has ordered Meta to suspend its new policy that bans rivals artificial intelligence (AI) chatbots using WhatsApp’s business tools, after concerns that the company may be misusing its dominance in the market.
The Italian Competition Authority (AGCM) stated Meta’s policy, which will be effective from January, could limit production, market access, and technical development in the AI chatbot sector, potentially affecting consumers and competition.
The AGCM probe started after Meta changed its business API rules in October, restricting the access of general-purpose AI chatbots, including Perplexity, Claude, ChatGPT, and Poke from the instant-messaging app.
Meta further argued that its API is not particularly designed to distribute third-party chatbots and highlighted that businesses using AI for customer service, including retailers, remain unaffected.
The Italian authority mentioned that the policy could cause “serious and irreparable harm” while the investigation is underway.
The significant move aligns with wider European scrutiny of Big Tech, as the European Commission has also launched a parallel investigation over the similar accusations.
Especially, regulators are concerned that Meta’s rules effectively exclude competitors from the AI chatbot market on WhatsApp.
Meta called the decision “fundamentally flawed,” arguing that the emergence of third-party AI chatbots strains WhatsApp’s systems.
The AGCM confirmed its co-ordination with the European Commission to ensure effective oversight, emphasising the increasing focus on regulating artificial intelligence (AI) and intensifying competition among Europe.