Brazil’s competition authority, the Administrative Council for Economic Defense (CADE), has opened an administrative inquiry against companies of the Meta group to investigate suspected abuse of a dominant market position related to the use of artificial intelligence tools on WhatsApp.
The inquiry was initiated on Monday, 12 January 2026, by CADE’s General Superintendence (SG). The investigation focuses on potential exclusionary anticompetitive practices arising from the application of WhatsApp’s new terms—referred to as the WhatsApp Business Solution Terms—which regulate access to and the provision of artificial intelligence technologies by third-party providers to WhatsApp users.
According to CADE, the revised terms may affect competitive dynamics in markets involving artificial intelligence tools. In particular, the General Superintendence is assessing whether the changes could lead to market foreclosure, exclude competing AI providers, or unduly favor Meta’s own proprietary solution, Meta AI, potentially making it the sole option available to users on the platform.
As an interim measure, the General Superintendence ordered the suspension of the new WhatsApp terms while the authority conducts a more detailed assessment of the alleged violations. This preventive measure aims to preserve existing competitive conditions and ensure the effectiveness of the ongoing investigation until CADE reaches a substantive conclusion.
Following the opening of the inquiry, the companies under investigation will be formally notified and invited to submit their explanations. The General Superintendence will also gather information from market participants and other stakeholders to evaluate evidence of potential harm to competition and the economic order.
At the conclusion of the inquiry, CADE may decide either to initiate a full administrative proceeding or to close the case if no infringement is established.
CADE noted that issues involving the abuse of dominant positions in digital markets—particularly those linked to the deployment and integration of artificial intelligence tools—have attracted growing scrutiny from competition authorities worldwide. These concerns remain a priority for enforcement authorities in Brazil and internationally, reflecting broader regulatory attention to the competitive implications of AI-driven ecosystems.