As A Result Of Not Being Open About How To Share Data With Facebook, WhatsApp Was Fined By The European Union IDR 3.8 Trillion

Whatsapp appeals the fine imposed by the European Union. (photo; aarn giti/unsplash)

JAKARTA - WhatsApp has been fined 225 million euros (IDR 3.8 trillion) for violating European Union data privacy laws by not telling its users how they share data with its parent company, Facebook.

One of the largest fines relating to the General Data Protection Regulation (GDPR), the Irish Data Protection Commission (DPC) imposed a sentence of more than four levels on WhatsApp, after coming under pressure from other European countries.

A key principle of GDPR is, entities that process people's data must be clear, open and honest with the person about how their information will be used. The DPC's decision concluded that WhatsApp failed to meet the standards required by the GDPR.

However, WhatsApp did not accept the fine that had to be paid, the company claimed to have met the transparency requirements in 2018.

“We do not agree with today's decision regarding the transparency we gave people in 2018 and the punishment is wholly disproportionate. We will appeal this decision", WhatsApp said as quoted by TechCrunch, Friday, September 3.

WhatsApp was heavily criticized earlier this year for requiring its users to agree to share their personal data, including phone numbers, with Facebook. In July, the European Data Protection Council called for WhatsApp's data-sharing practices with its parent company to be investigated as a priority.

DPC has more than two dozen ongoing investigations into major technology companies. In its ruling following a two-year investigation from 2018, Ireland also ordered WhatsApp Ireland to take action to bring its data sharing with Facebook in line with the GDPR.

At first, the DPC only asked WhatsApp to pay a fine of 50 million euros for violating the GDPR, but under pressure from other data protection agencies, the DPC immediately implemented a tougher sentence.

In addition to releasing a sizable financial penalty, the DPC also ordered WhatsApp to immediately take a number of actions to increase the transparency it offers to users and non-users alike.

Mark Zuckerberg's messaging service was given a three-month deadline to make all the changes the DPC wanted. It should be noted that the scope of the DPC investigation is only limited to looking at WhatsApp's transparency obligations.

WhatsApp's ruling comes after Luxembourg fined Amazon as much as 746 million euros in July for violating the GDPR, and the DPC fined Twitter 450 million euros in December last year for not notifying regulators of the data leak within 72 hours. But like WhatsApp, Amazon will also appeal the fine.