FCCPC condemns Meta’s exit threat over $220m fine, stands firm on data privacy ruling

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The Federal Competition and Consumer Protection Commission (FCCPC) has described Meta’s threat to exit Nigeria in response to the $220 million fine as an attempt to influence public opinion and coerce the commission to reverse its decision.

The FCCPC said that the fine against Meta Platforms Inc., the parent company of WhatsApp, Facebook, and Instagram, was justified and legitimate.

On July 19, 2024, the FCCPC imposed a $220 million fine on Meta for unauthorized appropriation of personal data without user consent and discriminatory practices against Nigerian users.

Despite planning to appeal the ruling, News Round The Clock reported that Meta, through WhatsApp, stated on Thursday that the penalty would impact its services and operations in Nigeria.

“WhatsApp relies on limited data to run our service and keep users safe, and it would be impossible to provide WhatsApp in Nigeria, or globally, without Meta’s infrastructure.

“This order contains multiple inaccuracies and misrepresents how WhatsApp works and we are urgently appealing the order to avoid any impact on users“, WhatsApp claimed.

In response to WhatsApp’s comments, the FCCPC stated through its official X account on Thursday that the firm engaged in discriminatory practices against Nigerian users compared to those in other jurisdictions and abused its dominant market position by imposing unfair privacy policies.

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The Commission emphasized that the order was a positive step towards a fair digital market and the sanitization of the sector.

The commission further required Meta Parties to comply with Nigerian law, cease exploiting Nigerian consumers, and adjust their practices to meet Nigerian standards and respect consumer rights.

Read the FCCPC’s full statement below

“WhatsApp’s claim that it may be forced to exit Nigeria due to FCCPC’s recent order appears to be a strategic move aimed at influencing public opinion and potentially pressuring the FCCPC to reconsider its decision.

The FCCPC investigated Meta Platforms and WhatsApp (jointly referred to as “Meta Parties”) for allegedly violating the Federal Competition and Consumer Protection Act (FCCPA) and the Nigeria Data Protection Regulation (NDPR). The Commission found that Meta Parties engaged in multiple and repeated infringements of the FCCPA and the NDPR.

These infringements included denying Nigerians the right to control their personal data, transferring and sharing Nigerian user data without authorisation, discriminating against Nigerian users compared to users in other jurisdictions and abusing their dominant market position by forcing unfair privacy policies.

The final order requires Meta Parties to take steps to comply with Nigerian law, stop exploiting Nigerian consumers, change their practices to meet Nigerian standards and respect consumer rights. To deter future violations and ensure accountability for the alleged infringements the FCCPC also imposed a monetary penalty of $220 million.

The FCCPC’s actions are based on legitimate concerns about consumer protection and data privacy and the order is a positive step towards a fairer digital market in Nigeria. Similar measures are taken in other jurisdictions without forcing companies to leave the market. The case of Nigeria will not be different.” the statement concluded.