Does Facebook threaten Europe on Meta?
Mark Zuckerberg and his group are considering shutting down Facebook and Instagram in Europe if Meta is unable to process Europeans' data on US servers
No more Instagram and Facebook in Europe.
Mark Zuckerberg and team consider closing Facebook and Instagram in Europe if Meta (new Facebook group name) is unable to process Europeans' data on US servers
CityAM was the first to report it. The London financial daily found a surprising sentence in Meta's annual report for the Securities and Exchange Commission (Sec) – a US government body in charge of stock exchange supervision – filed on Thursday.
The company claims it may have to completely stop running Instagram and Facebook in Europe. The cause is the European data regulations that prevent Meta from transferring the data of Europeans to American servers. For the group, the ability to process user data across countries is critical to both its business and ad targeting (underlying its business model).
But European laws aimed at keeping user data within EU jurisdiction have invalidated previous systems. In July 2020, the EU Court of Justice canceled the so-called "Privacy Shield" agreement, the key agreement between the US and the EU used to transfer Europeans' personal data across the Atlantic for commercial use. Since then, Brussels and Washington have been working on a new or updated version of the treaty.
In addition to the Privacy Shield, Meta also uses the Standard Contractual Clauses (SCC), as the primary legal basis for the processing of European user data on American servers. But even these agreements are under scrutiny in Brussels and other parts of the EU.
Since Meta has not reached new data sharing agreements, the company threatens to shut down Instagram and Facebook on the Old Continent.
All the details.
WHAT IS WRITTEN IN THE DOCUMENTATION FILED WITH THE SEC
"If we are unable to transfer data between and between the countries and regions in which we operate, or if we are prevented from sharing data between our products and services, this could affect our ability to provide our services. , the way in which we provide our services or our ability to target ads ", reads Meta's annual report filed with Sec.
THE WISH TO SIGN NEW AGREEMENTS ON THE TRANSFER OF PERSONAL DATA THROUGH THE ATLANTIC
Therefore, the Menlo Park group makes it clear that they think they can reach new deals in 2022.
THE WORST SCENARIO
However, if we don't, “we probably won't be able to offer some of our most significant products and services, including Facebook and Instagram, in Europe”.
As Mashable commented, "The purpose of an annual SEC statement is to define the challenges and opportunities in a company's financial prospects, but it's also a convenient way to send a message." And that of the former Facebook (now Meta) would seem loud and clear. Without agreement on the transfer of European user data, no more Facebook and Instagram in Europe.
THE REPLICA OF THE MENLO PARK GROUP
CityAM contacted Meta to ask for clarification on the subject.
Meta responded with a statement from the company's vice president of global affairs, Nick Clegg. The latter warned that "the lack of safe, secure and legal international data transfers would harm the economy and hinder the growth of data-driven businesses in the EU". “The impact would be felt by companies large and small, across multiple sectors,” he added. "Businesses need clear and global rules, backed by a strong rule of law, to protect transatlantic data flows in the long term."
THE HOPE
Therefore, “while policy makers are working towards a long-term sustainable solution, we urge regulators to take a proportionate and pragmatic approach” concluded the Meta manager. So as to "minimize disruption to the many thousands of companies that, like Facebook, have relied on these mechanisms in good faith to transfer data in a safe and secure way."
THE POSITION OF GOAL
“We have absolutely no desire and no plan to withdraw from Europe, simply Meta, like many other companies, organizations and services, relies on the transfer of data between the EU and the US in order to offer global services. Like other companies, to provide a global service, we follow European rules and rely on Standard Contractual Clauses and adequate data protection measures. Businesses fundamentally need clear and global rules to secure long-term data flows between the US and the EU, and like more than 70 other companies across a wide range of industries, as the situation evolves, we are closely monitoring the potential impact on our European operations ”- a spokesperson for Meta.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/innovazione/facebook-minaccia-europa/ on Mon, 07 Feb 2022 10:35:40 +0000.