""According to the investigations, there is possible anti-competitive conduct of an exclusive nature that arises from the application of the New WhatsApp Terms ("WhatsApp Business Solution Terms") imposed by Meta to regulate the access and offer, by providers of artificial intelligence tools, of its technologies to WhatsApp users," the Conselho Administrativo de Defesa Econômica (CADE) said. CADE said it would investigate if Meta's terms are exclusionary to competitors and unduly favor Meta AI, the company's chatbot that's offered on WhatsApp."
"Meta last October changed its terms of use for the WhatsApp Business API to ban third-party AI companies from offering their chatbots on the app. Companies like OpenAI, Perplexity, and Microsoft soon after noted that after the policy goes into force from January 15, their chatbots would no longer be offered on WhatsApp. Notably, Meta's policy does not stop businesses from offering their own chatbots, AI-powered or otherwise, within WhatsApp to their customers."
"CADE's investigation comes after the European Union launched its own antitrust investigation into the new policy, as has Italy. If the EU finds Meta in breach of its antitrust rules, it could be fined up to 10% of its global revenue. Meta has told AI providers that they can continue offering their AI chatbots to users in Italy even after the new rules go into force on January 15, according to a notice to developers seen by TechCrunch. The company could make a similar decision in Brazil following CADE's order."
Brazil's competition authority CADE ordered WhatsApp to suspend a policy that prevents third-party AI providers from using the WhatsApp Business API to offer chatbots, and opened an investigation into potential exclusionary conduct. CADE will probe whether Meta's WhatsApp Business Solution Terms favor Meta AI and disadvantage competitors. Meta changed the Business API terms in October to ban third-party AI chatbots effective January 15, while allowing businesses to deploy their own chatbots. The European Union and Italy have launched related antitrust inquiries. Meta has allowed AI providers to keep offering chatbots in Italy and could take similar steps in Brazil.
Read at TechCrunch
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