Brazil Halts WhatsApp AI Chatbot Policy

Brazil’s competition authority ordered WhatsApp to suspend its policy banning third-party AI chatbots on its business API. The move follows concerns the policy may favor Meta AI over competitors.

By Maria Konash Published: Updated:

Brazil’s competition watchdog, CADE, has ordered WhatsApp to pause its policy preventing third-party AI companies from using its business API for chatbots. The agency also launched an investigation into whether Meta’s terms are anti-competitive.

CADE noted that the rules may create “possible anti-competitive conduct of an exclusive nature” by favoring Meta AI, the company’s own chatbot, while limiting access for competitors. Meta updated the WhatsApp Business API terms in October, banning AI providers like OpenAI, Perplexity, and Microsoft from offering chatbots on the platform starting January 15. The policy does not prevent businesses from deploying their own chatbots for customer interactions within WhatsApp.

The move comes amid similar antitrust scrutiny in the European Union and Italy, where violations could result in fines up to 10% of Meta’s global revenue. Meta has indicated it may allow AI providers to continue offering chatbots in specific regions, as it has in Italy. The company maintains that the WhatsApp Business API is designed for business support and updates, not third-party AI chatbots.

AI & Machine Learning, Consumer Tech, News, Regulation & Policy