Italy’s Competition Authority (AGCM) has ordered Meta to suspend its recently implemented policy that prohibits third-party AI chatbots from being offered on WhatsApp through the platform’s business API. The decision comes after the authority found sufficient grounds to believe Meta may be abusing its dominant market position. In a statement issued on Wednesday, the AGCM said Meta’s conduct appears to constitute an abuse by potentially restricting competition in the AI chatbot services market. The authority warned that the policy could hinder innovation, limit market access, and harm consumers. It also emphasized that the ongoing investigation raises concerns about serious and irreparable damage to competition, particularly given the temporary nature of the ban while the inquiry continues. The AGCM expanded its investigation in November following Meta’s October policy update, which barred general-purpose AI chatbots—such as those from OpenAI, Perplexity, and Poke—from being distributed via WhatsApp’s API. The change is set to take effect in January. However, the restriction does not apply to businesses using AI for customer service or operational purposes. For example, a company using an AI-powered assistant to respond to customer inquiries on WhatsApp remains unaffected. Meta has defended the policy, arguing that its API is not intended as a distribution platform for AI chatbots and that users still have alternative ways to access third-party AI tools outside of WhatsApp. The company maintains that consumers retain choice and that its actions are consistent with protecting user privacy and platform integrity. The European Commission has also launched a separate investigation into the policy, expressing concerns that it could prevent third-party AI providers from offering their services through WhatsApp across the European Economic Area (EEA). The move underscores growing scrutiny of Big Tech’s control over digital platforms and their impact on competition in the rapidly evolving AI sector. Meta has not yet responded to requests for comment.