Italy’s antitrust authority (AGCM) has ordered Meta Platforms to suspend WhatsApp contractual terms that could block rival AI chatbots, amid an investigation into alleged abuse of a dominant market position. Meta described the decision as “fundamentally flawed,” citing that the influx of AI chatbots strains systems not designed to handle them, and confirmed it will appeal.

The AGCM stated that Meta’s practices could limit output, market access, or technical development in the AI chatbot sector, potentially harming consumers. The investigation, which began in July over WhatsApp’s suspected market dominance, was expanded in November to include updated business platform terms. The watchdog noted that the conditions effectively exclude competitors’ AI chatbots from WhatsApp.

This action aligns with broader EU regulatory efforts to rein in Big Tech’s influence, contrasting with comparatively lenient U.S. oversight. The European Commission is coordinating with the AGCM to ensure Meta’s conduct is addressed effectively. EU regulators also launched a parallel investigation into Meta last month. The move underscores Europe’s increasingly strict approach to tech regulation, which has faced pushback from U.S. companies and criticism from the Trump administration, as regulators aim to balance fostering innovation with preventing anti-competitive practices.