Nigeria’s Federal Competition and Consumer Protection Commission (FCCPC) has fined Meta Platforms, the parent company of Facebook and Instagram, $220 million for violations related to data privacy and consumer protection. The fine is part of a broader effort to ensure Meta complies with Nigerian laws governing data protection and consumer rights.
The FCCPC’s order follows an extensive 38-month investigation, conducted jointly with the Nigeria Data Protection Commission (NDPC), which found multiple violations by Meta. These violations include concerns over the unauthorized transfer and sharing of personal data, particularly cross-border data storage, and practices that were deemed discriminatory and exploitative of Nigerian consumers. The commission also cited the abuse of Meta’s dominant market position and the bundling of services that restricted consumer choice.
The investigation, which covered the period from May 2021 to December 2023, examined Meta’s compliance with the Federal Competition and Consumer Protection Act 2018 (FCCPA) and the Nigeria Data Protection Regulation 2019 (NDPR). The inquiry specifically focused on the privacy policy update implemented by WhatsApp in May 2021, which was found to impose terms that were not aligned with the fair consent standards required under Nigerian law. The commission raised concerns that Nigerian users were provided with less data protection than European users and that the policy lacked transparency regarding data handling practices.
In its response, Meta provided the requested documents and engaged with the FCCPC, most recently meeting with the commission on April 4, 2024. However, the FCCPC found that Meta had not fully complied with the requirement to engage a Data Protection Compliance Organization or submit necessary audit reports for two years, despite the large number of social media users in Nigeria.
The fine and regulatory order come amid a growing emphasis on data protection in Nigeria, which has seen an increase in internet and social media usage, with 103 million internet users and 36.75 million social media users. The introduction of the Nigeria Data Protection Act 2023, which establishes a legal framework for personal data protection and creates the Nigeria Data Protection Commission, marks a significant shift in the country’s approach to safeguarding consumer information. The new law aims to ensure data processing is conducted transparently, with a focus on individual rights and remedies for breaches.
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