Startups & Funding

After Europe, WhatsApp will let rival AI companies offer chatbots in Brazil

Meta will charge $0.0625 per AI message after Brazil's regulator forced the platform open.

Deep Dive

Meta is opening WhatsApp to rival AI chatbots in Brazil, a day after confirming a similar policy for Europe, following a decisive ruling from Brazil's antitrust regulator CADE. The regulator rejected Meta's appeal against an order to suspend its policy change that sought to bar third-party AI services from the platform. CADE's ruling cited WhatsApp's dominant market position and found that restricting competitors would cause 'competitive harm' and was disproportionate. In response, Meta stated it will allow third-party AI providers to use its WhatsApp Business API for a fee in regions where it is legally required, framing the move as a compliance measure rather than a voluntary opening.

Meta will implement a pricing structure of $0.0625 per 'non-template message' in Brazil starting March 11. The company has maintained that its API was not designed for AI chatbots and that they strain its systems. This policy reversal stems from an October 2023 announcement that spurred antitrust probes, particularly concerning Meta's own AI chatbot, Meta AI, being integrated into WhatsApp. While developers like Zapia, which filed the initial complaint, welcomed the competitive opening, they express hesitation due to the high costs imposed by Meta's new fees. The case sets a significant precedent for platform openness in Latin America, with Zapia vowing to challenge similar restrictions across the region.

Key Points
  • Brazil's CADE regulator forced Meta to open WhatsApp to third-party AI chatbots, citing anti-competitive harm.
  • Meta will charge AI companies $0.0625 per 'non-template message' via the WhatsApp Business API starting March 11.
  • The policy reversal follows antitrust investigations into Meta restricting rivals while promoting its own Meta AI chatbot.

Why It Matters

Sets a precedent for forcing dominant messaging platforms to open up to third-party AI innovation, impacting competition across Latin America.