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EU Privacy Regulator Fines Meta 251 Million Euros for 2018 Data Breach

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Meta has been fined 251 million euros ($263.5 million) by the Data Protection Commission (DPC), the lead European Union data privacy regulator, for a 2018 security breach that exposed the personal data of 29 million users on Facebook.

Details of the Breach

The breach occurred after cyber attackers exploited a vulnerability in Facebook’s “View As” feature, which allowed users to see how their profile appeared to others. This vulnerability led to the exposure of sensitive personal data, including users’ full names, contact details, location, place of work, date of birth, religion, gender, and in some cases, children’s personal information.

According to Graham Doyle, Deputy Commissioner at the DPC, the breach posed a significant risk for the misuse of this data. Although the breach affected 29 million accounts globally, 3 million of those were in the EU and the European Economic Area (EEA).

Meta’s Response and Penalty

Meta addressed the issue shortly after the breach was discovered and took action to remedy the vulnerability. Despite this, the DPC imposed a fine under the EU’s General Data Protection Regulation (GDPR), which has led to significant penalties for Meta in recent years. To date, Meta has been fined almost 3 billion euros for breaches under GDPR, including a record 1.2 billion euros fine in 2023 related to data privacy violations, which Meta is currently appealing.

Meta’s Appeal

Meta has announced its intention to appeal the fine and reiterated its commitment to protecting users’ privacy. A company spokesperson stated, “We took immediate action to fix the problem as soon as it was identified, and we proactively informed people impacted as well as the Irish Data Protection Commission.”

Broader Context

The DPC oversees the majority of large U.S. internet companies operating in the EU, as these firms have their European operations based in Ireland. This fine marks another chapter in the EU’s ongoing efforts to enforce data protection regulations under the GDPR, which was introduced in 2018 to strengthen privacy rights across the region.

 

Meta Hit with EUR 798 Million Fine by EU for Abuse of Classified Ads Market Dominance

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Meta Platforms Inc. has been fined €798 million ($841 million or approximately ₹7,100 crore) by European Union regulators for violating antitrust laws, marking the tech giant’s first-ever penalty for EU antitrust violations. The fine stems from Meta’s practice of tying its Facebook Marketplace service to its broader social media platform, Facebook. This decision is a significant step in the EU’s ongoing efforts to regulate big tech companies and ensure fair competition in the digital marketplace.

The European Commission’s ruling requires Meta to cease its practice of forcing users to access Facebook Marketplace through the Facebook platform, thereby eliminating unfair advantages over competing online classified ad services. The decision also mandates that Meta stop imposing trading conditions that hinder other classified ad platforms, effectively allowing more competition in the second-hand goods market. EU antitrust chief Margrethe Vestager emphasized that Meta’s actions had harmed rivals and restricted consumer choice.

In her statement, Vestager stated, “Meta tied its online classified ads service Facebook Marketplace to its personal social network Facebook and imposed unfair trading conditions on other online classified ads service providers.” The Commission found that Meta used its dominant position in social media to promote Facebook Marketplace, disadvantaging competitors in the online classified ads space. This move, according to the EU, unfairly benefited Facebook Marketplace at the expense of rivals, such as eBay and other local classified ad platforms.

This fine highlights the European Union’s commitment to regulating the behavior of large technology companies, particularly when it comes to market dominance and anti-competitive practices. Meta now faces the challenge of restructuring its Marketplace service to comply with the EU’s ruling and avoid further penalties. As the case continues to evolve, the EU’s regulatory approach may serve as a precedent for similar investigations into other tech giants with a significant market presence.

Meta to Challenge India Antitrust Order on WhatsApp Data Sharing

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Meta Disagrees with India’s CCI Ruling and Plans Legal Action

Meta Platforms (META.O) has announced its intention to mount a legal challenge against an order from India’s Competition Commission (CCI), which imposes restrictions on data-sharing between WhatsApp and other Meta-owned applications. The CCI’s decision, which also includes a $25.4 million fine, stems from antitrust violations linked to WhatsApp’s 2021 privacy policy update.

CCI’s Restrictions and Fine

The CCI directed WhatsApp to cease sharing user data for advertising purposes with other Meta-owned platforms for five years. This decision follows an investigation that began in March 2021 into WhatsApp’s privacy policy, which allowed data sharing between WhatsApp and other Meta services. The policy update sparked significant global concern, leading to the antitrust investigation.

The CCI’s ruling prohibits Meta from making user data sharing a condition for accessing WhatsApp services in India.

Meta’s Response

Meta has strongly disagreed with the CCI’s ruling. A spokesperson for the company clarified that the 2021 privacy policy update did not alter the privacy of users’ personal messages on WhatsApp. Furthermore, Meta assured that no users would lose access to their accounts or the functionality of WhatsApp as a result of the update. Meta plans to challenge the CCI’s decision in court.