According to the FCCPC, Meta’s failure to comply with regulatory obligations pertaining to data privacy and consumer protection has given rise to legitimate concerns, which are addressed by the penalty.
After deciding to punish the tech giant $220 million, the Federal Competition and Consumer Protection Commission (FCCPC) has accused Meta of trying to influence public opinion.
According to the FCCPC, Meta’s threat to leave Nigeria is a calculated tactic meant to put pressure on the commission to reevaluate its decision.
The parent company of Facebook, Instagram, and WhatsApp, Meta Platforms Inc., was fined for serious infractions of data privacy and consumer protection laws.
According to the FCCPC, Meta’s failure to comply with regulatory obligations pertaining to data privacy and consumer protection has given rise to legitimate concerns, which are addressed by the penalty.
Last week, the FCCPC issued directives to WhatsApp, mandating that it cease sharing user data with Facebook companies and third parties without explicit consent.
The company was also required to provide transparency about data collection practices and restore user control over data usage.
The commission’s decision followed a thorough 38-month investigation into Meta’s data privacy practices and market behavior. The investigation revealed multiple and repeated breaches of the Federal Competition and Consumer Protection Act as well as the Nigeria Data Protection Regulation.
As a result, the FCCPC imposed a $220 million fine on Meta for unauthorized use of personal data without user consent and discriminatory practices against Nigerian users.
Reacting in a post on X (formerly Twitter) on Thursday, the FCCPC stated that the firm discriminated against Nigerian users compared to users in other jurisdictions and abused its dominant market position by forcing unfair privacy policies.
It added that the order is a positive step towards a fair digital market in Nigeria.
The statement read, “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 and the Nigeria Data Protection Regulation.
“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 $220m.
“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.”