WhatsApp faces major setback in India after government warning

India has asked WhatsApp to suspend the rollout of its planned username feature and explain its implementation, citing concerns that the new system could increase online fraud, phishing and impersonation scams, according to a government letter reviewed by Reuters.

The July 1 letter directed WhatsApp to respond within three days and instructed the company not to launch the feature in India until consultations with the government are completed.

Earlier this week, Meta-owned WhatsApp announced the phased global rollout of usernames, allowing users to reserve unique usernames and eventually communicate without sharing their phone numbers. The company said the feature would be introduced gradually later this year, including in India.

India, WhatsApp's largest market with more than 500 million users, has intensified scrutiny of global technology platforms in recent months. The latest move follows temporary restrictions imposed on Telegram and previous disputes with X over content moderation orders.