India Supreme Court Gives Meta Final Deadline to Halt Data Sharing, Threatens Dismissal
Updated (3 articles)
Supreme Court Sets Feb 9 2026 Deadline for Meta Undertaking The apex court ordered Meta to file an affidavit promising to stop sharing Indian users’ personal data with its parent company, warning that failure will lead to dismissal of its appeal and “very strict conditions.” The deadline was announced on February 4 2026, and the bench signaled that interim directions will follow if the undertaking is not submitted [1][2]. Meta’s legal team faces a narrow window to comply before the case proceeds to a final ruling.
2021 WhatsApp Policy Triggered ₹213.14 Crore CCI Fine WhatsApp’s “take‑it‑or‑leave‑it” privacy‑policy update in 2021 expanded data sharing with Meta, prompting the Competition Commission of India to deem the move an abuse of dominance. The regulator imposed a fine of ₹213.14 crore (≈ $25 million) on Meta, a penalty that both articles cite as the case’s origin [1][2]. The CCI’s decision underscored concerns that consent language coerced millions of Indian users into commercial exploitation.
NCLAT Upheld Penalty but Removed Five‑Year Ban The National Company Law Appellate Tribunal confirmed the CCI’s abuse finding and retained the monetary sanction, but it set aside the regulator’s order that would have barred Meta from sharing data for five years. The tribunal argued that such a ban would disrupt the technical integration of Meta’s services across its platforms [1]. This partial relief did not affect the Supreme Court’s current demand for a fresh undertaking.
Judges Emphasized Data Theft and “Rent‑Sharing” Gaps Chief Justice Surya Kant described the data‑sharing practice as “a decent way of committing theft” and likened opting out of WhatsApp to leaving India, highlighting the app’s network‑effect dominance [1][2]. Justice Joymalya Bagchi noted that the 2023 Digital Personal Data Protection Act protects privacy but not the economic value of data, urging the court to consider “rent‑sharing” mechanisms similar to the EU’s digital rules [1][2]. Their remarks shift the debate from mere privacy to the monetisation of user‑generated information.
Solicitor General Labels Users as Products Solicitor General Tushar Mehta told the bench that Indian users are “not only consumers, but also products,” stressing growing fatigue with a free‑internet model that commodifies personal conversations [1][2]. He warned that the current consent framework enables commercial exploitation beyond the scope of existing privacy legislation. The statement reinforces the court’s push for clearer accountability on data value extraction.
Sources
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1.
The Hindu:India’s Supreme Court Issues Ultimatum to Meta Over Data Sharing: Reports the February 4 2026 order demanding Meta’s undertaking to cease data sharing, outlines the potential dismissal, and details judges’ remarks on data theft and rent‑sharing .
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2.
The Hindu:Supreme Court Bars WhatsApp and Meta from Exploiting Indian Users’ Data: Covers the February 3 2026 ruling that blocks data exploitation, cites the CCI fine background, and highlights the Solicitor General’s “users as products” comment .
Timeline
2009‑2021 – Over 314 million medical records breach globally, highlighting rising health‑data risks that later shape India’s data‑protection agenda. [3]
2021 – WhatsApp rolls out a “take‑it‑or‑leave‑it” privacy‑policy update that expands data sharing with Meta, later judged an abuse of dominance by the Competition Commission of India. [2]
2022 – India records 1.9 million cyber‑attacks, including a ransomware incident at AIIMS Delhi, underscoring the vulnerability of digital health records. [3]
2023 – India enacts the Digital Personal Data Protection Act (DPDP Act), establishing privacy rights but initially leaving data‑value and “rent‑sharing” gaps. [3]
Nov 2025 – The DPDP Rules 2025 are notified, imposing cross‑border data‑transfer limits and penalties up to ₹250 crore per breach, tightening compliance for health‑sector entities. [3]
Feb 3 2026 – The Supreme Court bars WhatsApp and Meta from exploiting Indian users’ data, demanding an undertaking to stop sharing personal data and calling the practice “a decent way of committing theft”; Chief Justice Surya Kant warns the Court will impose strict conditions or dismiss the case without such an affidavit. [1]
Feb 4 2026 – The Supreme Court gives Meta a final warning: provide an undertaking to cease data sharing or face dismissal of its appeal and “very strict conditions” as the case moves toward interim directions on Feb 9 2026; Justice Joymalya Bagchi flags a legal vacuum on data “rent‑sharing,” echoing EU rules, while the Solicitor General stresses users are “not only consumers, but also products.” [2]
Feb 9 2026 (expected) – The Supreme Court is slated to issue interim directions on Meta’s data‑sharing practices, potentially establishing enforceable standards for data monetisation in India. [2]