Meta Platforms Inc., the parent company behind Facebook, Instagram, and WhatsApp, has been slapped with a $220 million fine by the federal government due to violations of data privacy regulations.
The fine was announced on Friday by the Federal Competition and Consumer Protection Commission (FCCPC). The commission’s statement revealed that Meta was penalized for improperly using personal data without user consent, discriminating against Nigerian users, and misusing its dominant market position.
This decision followed an extensive investigation conducted by the FCCPC in collaboration with the Nigeria Data Protection Commission (NDPC). Over a period of 38 months, the investigation thoroughly examined Meta’s data privacy practices and market behavior, uncovering numerous and persistent breaches of Nigerian laws.
Between May 2021 and December 2023, the probe scrutinized Meta’s privacy policies and practices, finding multiple violations of the Federal Competition and Consumer Protection Act and the Nigeria Data Protection Regulation.
As part of the final order, the FCCPC has mandated several corrective actions for Meta to align with Nigerian laws. These actions include ensuring Nigerian users’ rights to control their own data, halting unauthorized data transfers, and ending discriminatory practices.
The fine of $220 million underscores the seriousness of Meta’s violations. The FCCPC emphasized the significant evidence against the company and noted that Meta had been given ample opportunity to present its defense. The final order details the specific misconduct, the relationship between Meta entities, and the breaches, particularly concerning:
– Denial of Nigerian users’ rights to data control.
– Unauthorized data transfers and sharing, including cross-border storage, in violation of the law.
– Discrimination and unfair treatment.
– Abuse of market dominance, including tying and bundling practices.
The final order also specifies the corrective steps Meta must take to comply with the law, cease exploiting Nigerian consumers, and stop market abuse. Meta is also required to avoid future practices that do not meet national standards and that undermine consumer rights.
The penalty of $220 million is consistent with the Federal Competition and Consumer Protection Act of 2018 and the Federal Competition and Consumer Protection (Administrative Penalties) Regulations of 2020.
