NCLAT Tightens Rules: Meta Needs Consent for WhatsApp Ad Data

• NCLAT ruled Meta must obtain explicit user consent for all WhatsApp data used for advertising purposes.
• The decision requires Meta to provide detailed disclosures on shared WhatsApp data, its ad purpose, and revocable opt-out options.
• The tribunal found WhatsApp's data sharing strengthened Meta's ad market position, creating entry barriers for rivals.
• This ruling impacts Meta's ad business in India, increasing compliance costs and operational complexity.
• WhatsApp has been granted three months to implement the necessary changes to comply with the NCLAT's directions.

Why It Matters: NCLAT: No ads without consent for WhatsApp data, reshaping digital advertising.