“Big-Tech” Giant Meta Gets Hit with Massive Fine for Data Violations

Written by Julio Rivera on . Posted in Guest Articles

Most people can attest to performing a web search and seeing ads for the same product or service when they open apps like Twitter, Facebook, or TikTok. It seems that everywhere you look, there are advertisements tailored to your searches appearing on social media platforms.

The incredible amount of data that technology giants possess can be a cause for concern for many. Nowadays, the applications, websites, and devices we use on a daily basis all serve as instruments of surveillance, almost as if they were an extension of ourselves. In this digital age, our every move is being tracked and monitored.

The idea of data being collected and stored by app makers and websites can be concerning for those who prioritize their privacy. Thus, the issue arises: How do we differentiate between the necessary data collection to optimize user experience and what is considered irresponsible exploitation?

For individuals living in Europe, the General Data Protection Regulation (GDPR) is a highly important piece of legislation that ensures data security and privacy. Despite some high profile tech companies struggling to adhere to its requirements, it remains an essential framework for establishing responsible practices when handling personal data.

The European Union recently imposed a massive penalty of 390 million euros on tech giant Meta for not adhering to the General Data Protection Regulation (GDPR). This sanction was determined after France's competition authority conducted an extensive investigation into how the company utilized customer data.

The Ireland Data Protection Commission (IDPC) levied two substantial fines on Meta totaling €390 million (approximately $414 million) in connection with their targeted advertising practices based on user online behaviors. While Meta intends to dispute the penalties, a ruling is expected soon concerning its WhatsApp messaging service in India that could significantly alter the company's business model. It remains to be seen what consequences this will have.

Meta has been heavily scrutinized due to its lack of protection for user privacy and the collection of substantial amounts of personal information that it obtains without asking users for consent. This enabled Meta to get access to sensitive details like age, gender, and political views which would be nearly impossible to attain through conventional means. These actions have generated questions about the legality of their operations and raised doubts regarding the safety of their customers' data. Such practices have brought up moral concerns concerning tailored advertising and its effects on consumer privacy.

The landmark fine imposed on Meta was a clear warning to other companies that any violations of data protection laws and regulations will not be tolerated. It serves as an important reminder for businesses to prioritize user privacy and ensure responsible handling of customer information. This penalty sets a precedent for authorities to take action against any companies found in breach of data protection protocols, demonstrating the seriousness with which GDPR is taken by regulators. 

Despite initially denying any wrong-doing, Meta eventually agreed to pay the fine and has since put measures in place to ensure that user data is only collected with permission from the user. This sends a strong message to firms that attempting to gain an advantage over competitors through unethical means such as collecting personal data without permission will not be accepted.  

In response to the rampant exploitation of user data by "Big-Tech" companies, an advocacy group known as AppEsteem has created a set of standards - which they have termed "Ad Pollution Indicators" –intended to help detect when these companies have gone too far with their data collection.  According to Dennis Batchelder, President of AppEsteem, such practices are not acceptable and should not be tolerated in any business. He asserted: “Facebook’s advertisements are personalized without first obtaining explicit, informed user consent. AppEsteem believes that explicitly crosses the boundaries of what should be considered acceptable business practices. Sure, everyone wants to make money, but not at the price of sacrificing privacy regarding consumer data.” 

Personalized advertisements can be a breach of privacy, as companies may track an individual's online behavior and collect data from their device. This can lead to ads tailored to the person's interests or browsing history, which may appear useful but also intrusive and unwanted. Additionally, some services will collect personal details such as name, address, phone number and email address that could be misused or sold to third parties. Companies may also use this data to create detailed profiles for targeted advertisements and services in an effort to increase profits - known as surveillance capitalism.

The hefty fines imposed on Meta demonstrate an impending shift in the stance of "Big-Tech" towards protecting user privacy and creating a more comfortable atmosphere for social media. With a steadily increasing portion of people worldwide relying on these services for communication, one can anticipate that by 2023 this aggressive data collecting approach will be eliminated and users can have greater assurance while browsing the web. This would result in a noteworthy enhancement to the usability and security of using social media for all people.

 

Julio Rivera is a business and political strategist, Editorial Director for Reactionary Timesand a political commentator and columnist. His writing, which is focused on cybersecurity and politics, has been published by many of the most heavily trafficked websites in the world.