- Meta Platforms Inc (NASDAQ:META) WhatsApp head warned the U.K. that moves to disable encryption in a relaunched online safety bill would threaten the security of the government's communications and encourage autocratic controls.
- In an interview with the Financial Times, Will Cathcart insisted on alternative techniques to protect children using the app without ditching the underlying security technology.
- The U.K’.s bill, which the government argues will make the internet safer, prompted global debate over whether to proactively force tech companies to remove harmful content on their networks.
- Tech companies claim it is not technically possible for encrypted messaging apps to scan for material such as child pornography without undermining the entire network's security.
- Cathcart said the U.K.'s ultimate position on the issue would have a global impact as governments worldwide will do precisely the same.
- "We're in an era on the internet where cyber attacks are going way up, especially from hostile nation-states. And so the idea that now is a moment to weaken security, I just think it's very, very wrong," he added.
- The report noted that the so-called "end-to-end" encryption, where only the sender and receiver can view the messages, has become a recurring issue between law enforcement and civil liberties campaigners from Washington and Brussels to New Delhi.
- Cathcart, credited for turning WhatsApp into a profitable business, sees further opportunities for monetization by allowing consumers to make payments to businesses.
- "There's a lot of countries in the world where there's more people using WhatsApp than there are people using a bank account," Cathcart said. "Our business is growing very, very quickly. I'm pretty optimistic about where it will be in a couple of years."
- The Big Tech companies, including Meta, Apple Inc (NASDAQ:AAPL), Amazon.com Inc (NASDAQ:AMZN), and Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL) Google are amid global regulatory scrutiny over throttling competition by their dominance.
- Additionally, cleaner contemporaries like non-profit-backed encrypted messenger app Signal and Facebook whistleblower Frances Haugen launched "Beyond The Screen" nonprofit are creating additional pressure on the Big Tech-owned social media platforms.
- Price Action: META shares traded lower by 0.38% at $134.18 in the premarket on the last check Wednesday.
