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Italy watchdog orders Meta to halt WhatsApp terms barring rival AI chatbots

Published by Global Banking & Finance Review

Posted on December 24, 2025

2 min read

· Last updated: January 20, 2026

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Italy watchdog orders Meta to halt WhatsApp terms barring rival AI chatbots
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MILAN, Dec 24 (Reuters) - Italy's antitrust authority (AGCM) on Wednesday ordered Meta Platforms to suspend contractual terms that could shut rival AI chatbots out of WhatsApp, as it investigates the

Italy Demands Meta Stop WhatsApp Terms Blocking AI Chatbots

MILAN, Dec 24 (Reuters) - Italy's antitrust authority (AGCM) on Wednesday ordered Meta Platforms to suspend contractual terms that could shut rival AI chatbots out of WhatsApp, as it investigates the U.S. tech group for suspected abuse of a dominant position.

A spokesperson for Meta called the decision "fundamentally flawed," and said the emergence of AI chatbots "put a strain on our systems that they were not designed to support".

The move is the latest in a string by European regulators against Big Tech firms, as the EU seeks to balance support for the sector with efforts to curb its expanding influence.

Meta's conduct appeared capable of restricting "output, market access or technical development in the AI chatbot services market", potentially harming consumers, AGCM said.

In July, the Italian regulator opened the investigation into Meta over the suspected abuse of a dominant position related to WhatsApp. It widened the probe in November to cover updated terms for the messaging app's business platform.

"These contractual conditions completely exclude Meta AI's competitors in the AI chatbot services market from the WhatsApp platform," the watchdog said.

EU antitrust regulators launched a parallel investigation into Meta last month over the same allegations.

Europe's tough stance - a marked contrast to more lenient U.S. regulation - has sparked industry pushback, particularly by U.S. tech titans, and led to criticism from the administration of U.S. President Donald Trump.

The Italian watchdog said it was coordinating with the European Commission to ensure Meta's conduct was addressed "in the most effective manner".

(Reporting by Elvira Pollina; Editing by Alexander Smith)

Key Takeaways

  • Italy's AGCM orders Meta to halt WhatsApp terms affecting AI chatbots.
  • Meta's terms could restrict market access for AI chatbot competitors.
  • EU regulators are also investigating Meta's practices.
  • Meta claims the decision is flawed and defends its position.
  • The case highlights EU's tough stance on Big Tech regulation.

Frequently Asked Questions

What is a dominant position in the market?
A dominant position refers to a company's ability to control a significant share of the market, which can lead to anti-competitive practices.
What are AI chatbots?
AI chatbots are software applications that use artificial intelligence to simulate human conversation, often used in customer service and support.
What is the purpose of antitrust investigations?
Antitrust investigations aim to assess whether companies are engaging in anti-competitive behavior that harms consumers or stifles competition.
What is the role of the European Commission?
The European Commission is the executive branch of the European Union, responsible for proposing legislation, enforcing EU laws, and ensuring compliance among member states.

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