The Federal Competition and Consumer Protection Commission (FCCPC) of Nigeria has fined Meta Platforms, Inc. and WhatsApp LLC a total of $220 million for violating the country’s Federal Competition and Consumer Protection Act (FCCPA) 2018, Nigeria Data Protection Regulation 2019 (NDPR), and other relevant laws.
The FCCPC’s investigation, conducted jointly with the Nigeria Data Protection Commission (NDPC), found that Meta and WhatsApp engaged in abusive and invasive practices against Nigerian consumers and data subjects. These practices included appropriating personal data without consent, discriminatory practices against Nigerian users, and abuse of dominant market position.
The FCCPC’s Final Order details Meta’s and WhatsApp’s specific violations, including:
- Denying Nigerian data subjects the right to self-determine: Meta and WhatsApp failed to provide Nigerian users with meaningful control over their personal data, including the ability to consent to or object to the collection, use, and sharing of their data.
- Unauthorized transfer and sharing of Nigerian data subjects’ personal data: Meta and WhatsApp transferred and shared Nigerian users’ personal data without their consent, including cross-border transfers in violation of Nigerian law.
- Discrimination and disparate treatment: Meta and WhatsApp treated Nigerian users differently from users in other jurisdictions, including by offering them fewer privacy protections.
- Abuse of dominance: Meta and WhatsApp used their dominant market position to impose unfair and exploitative privacy policies on Nigerian users.
- Tying and bundling: Meta and WhatsApp forced Nigerian users to accept their privacy policies in order to use their services, a practice known as tying or bundling.
The FCCPC has ordered Meta and WhatsApp to take steps to comply with Nigerian law and cease their exploitative practices. The companies must also pay a $220 million fine, the largest ever imposed by the FCCPC.
In a statement, the FCCPC’s Acting Executive Vice Chairman/Chief Executive Officer, Dr. Adamu Abdullahi, said, “The Commission remains committed to its respective mandates to protect the privacy of Nigerians under the Constitution and all data protection laws and regulations, as well as to ensure that consumer rights are respected, and the markets operate in a fair and transparent manner.”
Meta and WhatsApp have responded to the FCCPC’s $220 million fine with a vow to appeal the decision. In a statement, a Meta spokesperson expressed disagreement with both the ruling and the fine, emphasizing their intention to challenge the FCCPC’s findings.
A WhatsApp spokesperson also addressed the FCCPC’s central claim regarding user consent for business interactions on the platform. They stated, “In 2021, we went to users globally to explain how talking to businesses, among other things would work, and while there was a lot of confusion then, it’s actually proven quite popular. We disagree with the decision today as well as the fine, and we are appealing the decision.”
This development sets the stage for a legal battle between the tech giants and the Nigerian regulatory body, with the outcome likely to have significant implications for data protection and consumer rights in Nigeria.
Additional Information:
- The FCCPC’s investigation into Meta and WhatsApp began in May 2021.
- The FCCPC and NDPC conducted a joint investigation into Meta and WhatsApp’s conduct, privacy policies, and practices.
- The FCCPC issued a Final Order against Meta and WhatsApp on July 19, 2024.
- The Final Order details Meta and WhatsApp’s specific violations of Nigerian law.
- The FCCPC has ordered Meta and WhatsApp to take steps to comply with Nigerian law and cease their exploitative practices.
- Meta and WhatsApp have been fined $220 million, the largest ever imposed by the FCCPC.