Data conflict escalation! Meta threatened to pull products like Facebook out of Europe

Meta Platforms Inc. said in its 10-K statement to the U.S. Securities and Exchange Commission (SEC) that it would pull Facebook and Instagram out of Europe if it could not transmit user data back to the United States without legal guarantees.

European regulators are currently reformulating regulations on the transatlantic transfer of European data after the Privacy Shield Agreement with the United States was ruled invalid by the European Court of Justice in July 2020.

(Source: 10-K Report)

Meta wrote, "Without a new agreement that allows companies to transfer data, it may not be able to offer some important products and services in Europe, including Facebook and Instagram." ”

Meta is thought to be unlikely to pull its flagship out of the European market, but the response highlights the growing tension between the (former) social media company and lawmakers over ownership of user data.

Data method

The European Commission said monday it had gone deep into negotiations with the U.S. government, but they "need time because the issues discussed are complex and there needs to be a balance between privacy and national security." The spokesman added: "Only full compliance with the requirements set by the Court of Justice of the European Union can provide the stability and legal certainty expected by stakeholders on both sides of the Atlantic." ”

In 2011, an Austrian lawyer argued that Facebook had violated his private information and filed a complaint with Ireland's data protection commissioner. In 2020, the European Court of Justice ruled that the Privacy Shield was incompatible with the privacy rights of its citizens. This is known as the Schrems II decision that with the removal of the Privacy Shield and Safe Harbor, any company that relies on its authorization to transfer the personal data of EU citizens is illegal.

Patrick Van Eecke, partner and head of networking and data at law firm Cooley LLP, said data protection authorities are reviewing security remedies that allow companies to continue transferring data without new agreements. Van Eecke said: "I'm not surprised because there aren't many options right now. ”

For Meta, this isn't the first time it's threatened to take down its social media services. In 2020, Australia will require Facebook and Google to pay Australian media for news content, and Facebook, which did not change its name at the time, hit back in this way.