CAIT Objects to New Facebook-Jio Investment Deal

Confederation of All India Traders (CAIT) said that the new venture announced between Reliance Jio and Facebook should not use consumer data already available with Facebook and WhatsApp.

"In data sharing, Facebook has been known for violating laws globally. Therefore, the data already generated with Facebook or its allied organisation WhatsApp should not be used for this new venture else it will be backstabbing the people of the country," CAIT said in a statement.

Facebook and Jio are likely to transform JioMart and plans to bring millions of small traders online through the already available WhatsApp network.

Earlier in the day, Reliance Jio and Facebook announced the signing of binding agreements for an investment of Rs 43,574 crore by Facebook in Jio Platforms. Facebook’s investment will translate into a 9.99% equity stake in Jio Platforms on a fully diluted basis.

"Reliance Industries Limited, Jio Platforms Limited and Facebook, Inc. today announced the signing of binding agreements for an investment of Rs43,574 crore by Facebook into Jio Platforms," RIL said in a statement on Wednesday.

Reliance Jio and Facebook announced the signing of binding agreements for an investment of Rs 43,574 crore by Facebook in Jio Platforms. Facebook’s investment will translate into a 9.99% equity stake in Jio Platforms on a fully diluted basis.

Concurrent with the investment, Jio Platforms, Reliance Retail Limited (“Reliance Retail”) and WhatsApp have also entered into a commercial partnership agreement to further accelerate Reliance Retail’s New Commerce business on the JioMart platform using WhatsApp and to support small businesses on WhatsApp.