NEW DELHI, Jan 23 (Reuters) - An Indian appeals tribunal

on Thursday put on hold the antitrust authority's five-year data

sharing ban between WhatsApp and owner Meta Platforms' ( META )

other applications such as Facebook and Instagram for

advertising purposes.

Meta is seeking to quash the Competition Commission of

India's (CCI) November directive that imposed a five-year ban on

WhatsApp on sharing data with Meta entities for advertising

purposes, arguing it would have a negative impact on its

business in the country.

The National Company Law Appellate Tribunal (NCLAT)

ordered a suspension of the ban while it hears a challenge by

Meta and WhatsApp to the antitrust order.

The ban "may lead to a collapse" of WhatsApp's business

model, the appeals tribunal noted.

In its challenge to the ban, Meta told the appeals tribunal

that WhatsApp may have to "roll back or pause" some features in

India and curb its ability to offer users personalised ads on

Facebook and Instagram.

A Meta spokesperson said it welcomed the interim ruling and

"will evaluate next steps." The Competition Commission of India

did not immediately respond to a request for comment on the

ruling.

Under the order on Thursday, WhatsApp will have to provide

an opt-out option to users from a 2021 privacy policy update in

line with the November antitrust order.