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Nation / Fri, 07 Aug 2026 CNBC

The 72-hour crisis that could upend Meta’s business in India as firm risks losing legal protection

Tensions are high between Meta Platforms and Indian regulators after the company came under fire in the country twice in short succession. While it later said the restriction was due to an "error," initially the post reportedly indicated the content was blocked due to a "legal request." They added, however, that India would need to amend the broader legal framework to remove the safe harbor rights of the platform. Meta, though, is keen to assuage concerns of the regulators, especially those around Modi's post. Meta did not comment on the authenticity of these claims in the official statement shared with CNBC.

Tensions are high between Meta Platforms and Indian regulators after the company came under fire in the country twice in short succession.

The tech behemoth briefly restricted a Facebook post by Prime Minister Narendra Modi addressing students during the Gen Z protests in July, just days after regulators summoned the company over concerns about child-abuse content. While it later said the restriction was due to an "error," initially the post reportedly indicated the content was blocked due to a "legal request."

A parliamentary panel on Wednesday demanded an apology from Mark Zuckerberg within three days for the restriction on Modi's post — failing which it recommends revoking the social media giant's safe harbor immunity in the country. This would make Meta liable for the user-generated content on its platform.

India is a key market for Meta, with the largest user bases for WhatsApp, Instagram, and Facebook, and legal experts told CNBC that it would become almost impossible for Meta to operate in the country if the safe harbor protection is withdrawn.

They added, however, that India would need to amend the broader legal framework to remove the safe harbor rights of the platform.

Meta, though, is keen to assuage concerns of the regulators, especially those around Modi's post.

Joel Kaplan, Meta's chief global affairs officer, who was in a meeting with India's Information Technology Minister Ashwini Vaishnaw on Wednesday, said he "apologized" to the minister "for the error restricting PM Modi's post," the company said in a press statement.

But local media reports the same day, quoting government sources, said that it was Meta's founder and CEO Zuckerberg who made the apology for the presence of child abuse content, deepfake material and errors in operating the platform.

Meta did not comment on the authenticity of these claims in the official statement shared with CNBC.

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