Meta’s intermediary status under review, no decision

Inc42 reported on 16 September that government sources have questioned whether Meta should keep intermediary status under Section 79 of the Information Technology Act, 2000, the provision titled exemption from liability of intermediary in certain cases. That is the safe harbour covering Facebook, Instagram and WhatsApp. The reporting runs through PTI, which attributed it to unnamed government sources. No order, notification or amendment has been issued and no formal decision has been announced.

The attributable content is narrow. Sources told PTI that Meta may no longer be treated as a “simple intermediary” because its algorithms amplify content and influence what users see, and that the company may have to carry greater responsibilities as a service provider. That is a view being described by people who were not named, not a finding by a court, a ministry or a regulator. Several headlines on the same wire read as though the status has already changed. It has not.

What prompted it is child safety. The scrutiny covers Meta’s handling of child sexual abuse material, deepfakes, Instagram advertisements allegedly linked to CSAM, and the part recommendation algorithms play in amplifying harmful content. On 15 September Meta agreed to report child safety matters directly to the cybercrime portal managed by the Indian Cyber Crime Coordination Centre, and Meta India executives appeared that week before the National Commission for Protection of Child Rights. A Meta spokesperson said protecting children on its platforms is a priority and that the company is committed to working with the government.

Why a commerce audience should track it at all. Section 79 is conditional, not absolute. The exemption applies where the intermediary’s function is limited and where it observes due diligence and the guidelines the Central Government prescribes. If the reading of those conditions tightens for Meta’s surfaces, the first thing brands feel is process rather than liability: slower and stricter ad review, more creative rejections, heavier documentation on claims and catalogue in shop surfaces and WhatsApp commerce flows.

There is nothing to restructure today. Until an instrument exists with a number and a date attached, there is nothing to plan against. The useful move is measurement. Log ad rejection rates, appeal turnaround and account actions from now, so that if policy does move you can tell a real shift from ordinary noise.