Record-breaking Fine Imposed on Meta by EU Regulator for Data Privacy Violations

Helen Dixon, the Data Protection Commissioner for Ireland, defended the decision to impose a record-setting 1.2 billion euro fine on Meta (formerly Facebook) for violating the EU's General Data Protection Regulation (GDPR). Dixon emphasized that she had to enforce the law based on existing regulations and the EU-U.S.data transfers framework. The fine is the largest to date under the GDPR, which has been in effect since May 2018 and governs data protection for firms in the EU.

The Irish Data Protection Commission, responsible for overseeing Meta's operations in the EU, accused the company of breaching the GDPR by continuing to transfer personal data of European citizens to the U.S. despite a 2020 ruling by the European Court of Justice invalidating the Privacy Shield mechanism. As a result, Meta was prohibited from sharing data on Europeans with the U.S.,potentially forcing the company to store and process European data locally in the EU.

Various mechanisms for legally transferring personal data between the U.S. and the EU have faced legal challenges. Privacy Shield, the most recent iteration, was struck down in 2020. EU and U.S. officials have been working on a replacement framework, with reports suggesting a possible approval by the summer. Meta claims that such an agreement would allow the company to continue sharing data on EU citizens with its U.S. facilities as usual.

Dixon explained that she made the decision based on the law as it stood at the time of her investigation, noting that the pending European Data Privacy Framework was not yet on the horizon. The decision to fine Meta follows previous significant fines imposed on major U.S. tech companies under the GDPR, such asan $887 million fine on Amazon in Luxembourg and a $267 million fine on WhatsApp in Ireland.

Meta plans to appeal the decision and the fine. This ongoing case highlights the challenges and importance of data privacy regulation in the EU, as well as the efforts to establish a robust framework for data transfers between the EU and the U.S.

To read the article from  CNBC, please follow the link below: https://n9.cl/l3qjd

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