Norwegian Regulator Imposes Hefty Fine on Meta: $100,000 per Day Until Privacy Breaches Are Resolved

Norwegian Regulator Imposes Hefty Fine on Meta: $100,000 per Day Until Privacy Breaches Are Resolved

Norway’s data protection authority has issued a strong warning to Meta Platforms, the parent company of Facebook and Instagram, stating that it will face a daily fine of $100,000 (approximately Rs. 82 lakh) if it fails to address privacy breaches. The authority’s action comes as a response to alleged violations of data privacy regulations by the social media giant.

If Meta does not take appropriate remedial measures to rectify these breaches, the fines will be imposed as a deterrent. This decision by Norway’s data protection authority could potentially set a precedent for other European countries, signaling a stricter approach toward data privacy enforcement within the region.

Norway’s data protection authority, Datatilsynet, has clarified that it will impose a daily fine of $100,000 (approximately Rs. 82 lakh) on Meta Platforms starting from August 4 until November 3, unless the company takes appropriate actions to address the privacy breaches. As part of the corrective measures, Meta is prohibited from collecting user data in Norway, including their physical locations, and using it for targeted advertising, commonly known as behavioral advertising, a prevalent business model employed by major tech companies.

This regulatory action aims to safeguard the privacy rights of users in Norway and serves as a significant warning to Meta and other tech giants about compliance with data protection laws in the region.

In response to the regulatory action, Tobias Judin, the head of Datatilsynet’s international section, emphasized the urgency of intervening due to the clear illegality of Meta’s data harvesting practices. Meta Platforms, on the other hand, stated that it will review Datatilsynet’s decision.

The company also mentioned that there would be no immediate impact on its services as a result of the fine, but it remains to be seen how Meta will address the privacy concerns raised by the data protection authority. The situation could have broader implications for how tech companies handle user data and comply with data protection regulations in Europe and beyond.

Datatilsynet has taken its actions a step further by referring the matter to the European Data Protection Board, seeking their agreement to make the fine permanent and potentially expanding its reach to other European territories. If the European Data Protection Board agrees, this could further increase the pressure on Meta Platforms, pushing the company to address the privacy issues more comprehensively and potentially leading to more stringent regulations across Europe.

The move reflects the growing concern among European authorities about the privacy practices of tech giants and their efforts to ensure compliance with data protection laws.

Datatilsynet’s decision to impose a daily fine on Meta Platforms for privacy breaches aligns with recent actions taken by the European Union’s top court, which ruled against Meta’s data harvesting practices for behavioral advertising. Additionally, the data regulator in Ireland, where Meta’s European headquarters are located, had previously ordered the company to cease such practices in December.

These actions by various European authorities reflect a growing scrutiny and determination to enforce data protection laws and ensure that tech companies comply with privacy regulations to safeguard users’ rights and data. The collective efforts of European regulators signal a unified approach to holding tech giants accountable for their data practices and reinforcing privacy protections for individuals across the region.

Meta’s response indicates their willingness to engage with the Irish Data Protection Commission (DPC) to address the issues raised and comply with its decision on data harvesting for behavioral advertising. They acknowledge the ongoing debate and regulatory challenges surrounding the legal bases for data processing, highlighting the need for more clarity and certainty in this area for businesses.

This statement suggests that Meta is open to finding common ground with regulators and working towards aligning their practices with the evolving privacy regulations in the European Union. However, the situation also reflects the complexity and sensitivity surrounding data privacy issues, as tech companies grapple with navigating the evolving regulatory landscape and ensuring their practices are in line with the EU’s stringent data protection requirements.

Norway, though not a member of the European Union, is part of the European single market. The regulatory action taken by Datatilsynet against Meta Platforms, with the potential fine and referral to the European Data Protection Board, is specific to Norway’s data protection laws and its authority as a member of the European single market.

This demonstrates the significance of data protection and privacy regulations across Europe, with individual countries taking decisive action to uphold their citizens’ data privacy rights, even if they are not EU members. Norwegian broadcaster NRK was the first to report the news.