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Meta fined record $1.3 billion and ordered to stop sending European user data to US

The European Union slapped Meta with a record $1.3 billion privacy fine Monday and ordered it to stop transferring usersB次元官网网址 personal information across the Atlantic by October, the latest salvo in a decadelong case sparked by U.S. cybersnooping fears .

The European Union slapped Meta with a record $1.3 billion privacy fine Monday and ordered it to stop transferring usersB次元官网网址 personal information across the Atlantic by October, the latest salvo in a .

The penalty of 1.2 billion euros is the biggest since the EUB次元官网网址檚 strict data privacy regime took effect five years ago, surpassing in 2021 for data protection violations.

Meta, which had previously warned that services for its users in Europe could be cut off, vowed to appeal and ask courts to immediately put the decision on hold.

The company said B次元官网网址渢here is no immediate disruption to Facebook in Europe.B次元官网网址 The decision applies to user data like names, email and IP addresses, messages, viewing history, geolocation data and other information that Meta B次元官网网址 and other tech giants like Google B次元官网网址 use for targeted online ads.

B次元官网网址淭his decision is flawed, unjustified and sets a dangerous precedent for the countless other companies transferring data between the EU and U.S.,B次元官网网址 Nick Clegg, MetaB次元官网网址檚 president of global affairs, and chief legal officer Jennifer B次元官网网址tead said in a statement.

ItB次元官网网址檚 yet another twist in a legal battle that began in 2013 when Austrian lawyer and privacy activist Max Schrems filed a complaint about FacebookB次元官网网址檚 handling of his data following former National Security Agency contractor of electronic surveillance by U.S. security agencies. That included the disclosure that Facebook gave the agencies access to the personal data of Europeans.

The saga has highlighted the over the differences between EuropeB次元官网网址檚 strict view on data privacy and the comparatively lax regime in the U.S., which lacks a federal privacy law. The EU has been a global leader in reining in the power of Big Tech with a series of regulations and protect usersB次元官网网址 personal information.

An agreement covering EU-U.S. data transfers known as the by the EUB次元官网网址檚 top court, which said it didnB次元官网网址檛 do enough to protect residents from the U.S. governmentB次元官网网址檚 electronic prying. MondayB次元官网网址檚 decision confirmed that another tool to govern data transfers B次元官网网址 stock legal contracts B次元官网网址 was also invalid.

last year on a reworked Privacy Shield that Meta could use, but the pact is awaiting a decision from European officials on whether it adequately protects data privacy.

EU institutions have been reviewing the agreement, and the blocB次元官网网址檚 lawmakers , saying the safeguards arenB次元官网网址檛 strong enough.

The IrelandB次元官网网址檚 Data Protection Commission handed down the fine as MetaB次元官网网址檚 lead privacy regulator in the 27-nation bloc because the Silicon Valley tech giantB次元官网网址檚 European headquarters is based in Dublin.

The Irish watchdog said it gave Meta five months to stop sending European user data to the U.S. and six months to bring its data operations into compliance B次元官网网址渂y ceasing the unlawful processing, including storage, in the U.S.B次元官网网址 of European usersB次元官网网址 personal data transferred in violation of the blocB次元官网网址檚 privacy rules.

In other words, Meta has to erase all that data, which could be a bigger problem than the fine, said Johnny Ryan, senior fellow at the Irish Council for Civil Liberties, a nonprofit rights group that has worked on digital and data issues.

B次元官网网址淭his order to delete data is really a headache for Meta,B次元官网网址 Ryan said. If the company has to scrub data for hundreds of millions of European Union users going back 10 years, B次元官网网址渋t is very hard to see how it will be able to comply with that order.B次元官网网址

If a new transatlantic privacy agreement does take effect before the deadlines, B次元官网网址渙ur services can continue as they do today without any disruption or impact on users,B次元官网网址 Meta said.

Schrems predicted that Meta has B次元官网网址渘o real chanceB次元官网网址 of getting the decision materially overturned. And a new privacy pact might not mean the end of MetaB次元官网网址檚 troubles, because thereB次元官网网址檚 a good chance it could be tossed out by the EUB次元官网网址檚 top court, he said.

B次元官网网址淢eta plans to rely on the new deal for transfers going forward, but this is likely not a permanent fix,B次元官网网址 Schrems said in a statement. B次元官网网址淯nless U.S. surveillance laws gets fixed, Meta will likely have to keep EU data in the EU.B次元官网网址

Schrems said a possible solution could be a B次元官网网址渇ederatedB次元官网网址 social network, where European data stays in MetaB次元官网网址檚 data centers in Europe, B次元官网网址渦nless users for example chat with a U.S. friend.B次元官网网址

Meta warned in its latest earnings report that without a legal basis for data transfers, it will be forced to stop offering its products and services in Europe, B次元官网网址渨hich would materially and adversely affect our business, financial condition, and results of operations.B次元官网网址

The social media company might have to carry out a costly and complex revamp of its operations if itB次元官网网址檚 ultimately forced to stop the transfers. Meta has a fleet of 21 data centers, according to its website, but 17 of them are in the United States. Three others are in the European nations of Denmark, Ireland and Sweden. Another is in Singapore.

Other social media giants are facing pressure over their data practices. about the Chinese-owned short video sharing appB次元官网网址檚 potential cybersecurity risks with a $1.5 billion project to store U.S. user data on Oracle servers.

Kelvin Chan, The Associated Press

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