Meta to face record privacy fine of at least Rs 6,770 crore over Facebook data transfer

Meta, the parent company of Facebook, is expected to face a significant fine from the European Union (EU) in relation to the transfer of data belonging to Facebook's EU users to US servers. This fine comes as Meta failed to comply with a warning issued by a top EU court. According to sources familiar with the matter, the penalty is anticipated to surpass the previous record fine of $821 million (Rs 6,770 crore) imposed on Amazon.

Both Meta and relevant authorities have refrained from commenting on the issue.

The European Union, led by Ireland's Data Protection Commissioner Helen Dixon, has been finalising a ban on the legal tool utilised by Facebook to transfer user data within Europe. This action stems from concerns regarding potential access by U.S. intelligence agencies to this information.

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In April, EU regulators announced that the Irish DPC had one month to issue an order prohibiting Facebook's transatlantic data flows. This ban could come into effect by mid-May.

The decision to ban the data transfer tool comes after Europe's highest court declared an EU-US data transfer agreement invalid in 2020, citing concerns over surveillance activities.

In response, Meta cautioned last year that if an order to ban the data transfer mechanism used by the company from Europe to the United States were implemented, it might be compelled to suspend Facebook services within Europe.

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