Brazil: Administrative Council for Economic Defence opened investigation into WhatsApp LLC and Meta over alleged anti-competitive conduct

Description

Administrative Council for Economic Defence opened investigation into WhatsApp LLC and Meta over alleged anti-competitive conduct

On 26 November 2025, the Administrative Council for Economic Defence (CADE) initiated an administrative inquiry into WhatsApp and Facebook over alleged anti-competitive conduct, following a complaint submitted by the Spanish company Factoría Elcano (Luzia) and the Uruguayan company Brainlogic AI (Zapia). The complaint stated that WhatsApp LLC and Meta had introduced new WhatsApp Business Solution Terms in October 2025, creating a category described as “AI Developers” and prohibiting these providers from accessing or using the WhatsApp Business Solution for primary artificial-intelligence functionalities. According to the complaint, these terms blocked new AI providers from operating on the platform from 15 October 2025 and would extend the prohibition to existing AI providers, including Luzia and Zapia, from 15 January 2026, while allowing Meta AI to continue operating. The complaint alleged exclusion of competitors, self-preferencing, market foreclosure, and abuse of a dominant position. It also requested an immediate preventive measure under Article 84 of Federal Law No. 12.529/2011 and Article 212 of CADE’s Internal Rules to suspend the effectiveness of the new WhatsApp terms with respect to AI providers.

Original source

Scope

Policy Area
Competition
Policy Instrument
Unilateral conduct regulation
Regulated Economic Activity
ML and AI development, messaging service provider
Implementation Level
national
Government Branch
executive
Government Body
competition authority

Complete timeline of this policy change

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2025-11-26
under deliberation

On 26 November 2025, the Administrative Council for Economic Defence (CADE) initiated an administra…