The Irish Data Protection Commission (DPC), which acts on
behalf of the European Union, said the European Data Protection Board (EDPB)
had ordered it to collect "an administrative fine in the amount of EUR 1.2
billion".
The DPC has been investigating Meta Ireland's transfer of
personal data from the EU to the United States since 2020.
It found that Meta, which has its European headquarters in
Dublin, failed to "address the risks to the fundamental rights and
freedoms of data subjects" that were identified in a previous ruling by
the Court of Justice of the European Union (CJEU).
The CJEU interprets EU law to make sure it is applied in the
same way in all member states.
In response, Meta said it was "disappointed to have
been singled out" and the ruling was "flawed, unjustified and sets a
dangerous precedent for the countless other companies".
"We intend to appeal both the decision's substance and
its orders including the fine, and will seek a stay through the courts to pause
the implementation deadlines," Meta president of global affairs Nick Clegg
and chief legal officer Jennifer Newstead said in a blog post.
"There is no immediate disruption to Facebook in
Europe," they added.
Fourth Fine
Initially, the DPC had wanted to force Meta to suspend the
offending data transfers, saying that a fine "would exceed the extent of
powers that could be described as being 'appropriate, proportionate and
necessary'".
But its peer regulators in the EU, known as Concerned
Supervisory Authorities (CSAs), disagreed.
"All four CSAs took the view that Meta Ireland should
be subject to an administrative fine," said the DPC.
With no hope of consensus, the DPC referred the objections
to the EDPB, which ruled that Meta Ireland suspend future transfer of personal
data to the United States and pay a fine.
In a blog, Clegg and Newstead said the EDPB decision to
overrule the DPC "raises serious questions".
"No country has done more than the US to align with
European rules via their latest reforms, while transfers continue largely
unchallenged to countries such as China," they added.
EU regulators have already hit Meta with fines of hundreds
of millions of euros over data breaches by its Instagram, WhatsApp and Facebook
services.
It is the third fine imposed on Meta so far this year in the
EU, and the fourth in six months.
In 2021, Amazon was fined EUR 746 million (nearly Rs. 6,685
crore) in Luxembourg for infringing the EU's General Data Protection
Regulation.