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NCLAT upheld CCI's findings that the dominant OTT messaging platform of A1, controlled by A2, abused its position under Sections 4(2)(a)(i) and 4(2)(c) of the Competition Act through its 2021 privacy policy. The policy imposed unfair, take-it-or-leave-it data-sharing conditions on users and enabled discriminatory access to user data, amounting to exploitative abuse and denial of market access in online display advertising. NCLAT rejected challenges to CCI's jurisdiction and confirmed that competition and data protection regimes operate complementarily. However, it set aside CCI's finding of leveraging under Section 4(2)(e) and quashed the cease-and-desist direction, while affirming other directions. The penalty of Rs. 213.14 crore imposed solely on A2 was upheld. The appeals were allowed in part.
NCLAT upheld CCI's findings that the dominant OTT messaging platform of A1, controlled by A2, abused its position under Sections 4(2)(a)(i) and 4(2)(c) of the Competition Act through its 2021 privacy policy. The policy imposed unfair, take-it-or-leave-it data-sharing conditions on users and enabled discriminatory access to user data, amounting to exploitative abuse and denial of market access in online display advertising. NCLAT rejected challenges to CCI's jurisdiction and confirmed that competition and data protection regimes operate complementarily. However, it set aside CCI's finding of leveraging under Section 4(2)(e) and quashed the cease-and-desist direction, while affirming other directions. The penalty of Rs. 213.14 crore imposed solely on A2 was upheld. The appeals were allowed in part.
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