Amazon slammed with $887 million fine by EU privacy regulators
Luxembourg's privacy regulator has found Amazon in violation of laws related to privacy and advertising, issued a record $887 million fine.
Amazon hit with record GDPR fine
The specific reasons for the fine were not disclosed, however Amazon says the decision was made without merit and it would appeal in court. The CNPD, Luxembourg's privacy regulator, ordered Amazon to revise its business practices and pay the fine.
The Wall Street Journal reports that the record high fine was made in line with the General Data Protection Regulation introduced three years ago. The previous highest fine was against Google, for $59 million in 2019.
Cross-boarder privacy cases require other EU privacy regulators to weigh in on the fine and adjust it accordingly. At least one complaint has already been issued suggesting that the fine isn't high enough.
Amazon responded to the fine, stating it was out of proportion with the law. "The decision relating to how we show customers relevant advertising relies on subjective and untested interpretations of European privacy law, and the proposed fine is entirely out of proportion with even that interpretation," the company said in a statement.
The fine comes after the EU announced new legislation in December that would incur even larger fees if tech companies couldn't comply with antitrust and privacy regulations. Apple's own advertising segment may be next on the chopping block as French regulators have already begun a probe into the business.
Read on AppleInsider
Amazon hit with record GDPR fine
The specific reasons for the fine were not disclosed, however Amazon says the decision was made without merit and it would appeal in court. The CNPD, Luxembourg's privacy regulator, ordered Amazon to revise its business practices and pay the fine.
The Wall Street Journal reports that the record high fine was made in line with the General Data Protection Regulation introduced three years ago. The previous highest fine was against Google, for $59 million in 2019.
Cross-boarder privacy cases require other EU privacy regulators to weigh in on the fine and adjust it accordingly. At least one complaint has already been issued suggesting that the fine isn't high enough.
Amazon responded to the fine, stating it was out of proportion with the law. "The decision relating to how we show customers relevant advertising relies on subjective and untested interpretations of European privacy law, and the proposed fine is entirely out of proportion with even that interpretation," the company said in a statement.
The fine comes after the EU announced new legislation in December that would incur even larger fees if tech companies couldn't comply with antitrust and privacy regulations. Apple's own advertising segment may be next on the chopping block as French regulators have already begun a probe into the business.
Read on AppleInsider
Comments
That said though, I will always cheer when someone takes a bite out of Amazon. The more the better.
Margaret Thatcher
Just for giggles tho, what are these nefarious (wicked) ways you imagine your Google profile is used? It's already a known fact, even if maybe not to you, that they don't sell it.
It’s a long way before the fines and regulation make operating in the EU unprofitable. The overhead for smaller companies operating into the EU is a different matter though.
It is a fine imposed by Luxembourg's data privacy agency under the EU's GDPR data protection laws and following a compliant from a French digital rights group.
And what is nefarious about the data collection itself? That's like asking someone why they need privacy. Trying to turn the onus on the user to prove what theoretically a company might do with it. Lame. Regardless, to answer the question of "nefarious", the very breadth and depth of the numerous categories of private data collection is in itself something to raise a 'nefarious' eye too. Also, it's called Jigsaw, Google's Jigsaw. (yep, we know about that too)
But if it'll make you feel any better, all companies, ALL, should be looked at with at least a modicum of a skeptical eye when they want to record your data points that are clearly outside of the individual app and clearly categories that are being the focus of that app's usage. Apple is by far the winner in the privacy category but that does not give them free pass. Their ToS should be scrutinized too when they speak of collecting user data.
a line separating two political or geographical areas, especially countries
I think this is largely true. Good chance it is a regulatory shakedown. As gov regulators don't pay for the pursuit of these fines, taxpayers do. Amazon pays for their own mighty expensive defense (that Amazon can afford it or that some don't like Amazon is irrelevant in application of law or regulation). Ultimately if they can get Amazon to agree to pay something and change an Amazon action on the peripery, the particular gov people/politicians win -- they get their name in the media and a chance to move up the political ladder.
With that said, little IMHO is actually being done about the massing of private data. On that front the EU has done more -- not a lot but more. But what makes it suspect is they seem overly eager to go after United States companies regarding private data amassing. The reality is EU companies are just as guilty but don't have as big a share of markets.
Regarding France going after Apple, if France can show Apple has actually gathered private data outside explicit ToS? Apple deserves it. Apple sets the bar, a high one, for data privacy protection, so holding them to the standard is good. But Apple gathers little data, make's very little off monetizing data, and blocking what data they gather is readily available in iPhone(and explains fairly good what is gathered). There can't be much there for France other than headlines for a politician. And if France goes after Google or Facebook? If the fine is commensurate with the amount of data gathered? That's gonna be one massively huge fine (as much as I don't like the surveillance capitalism industry that FB and Google lead, it would be a grossly unfair to them).
You should be glad EU makes sure there are mechanisms implemented to protect privacy, it may come in handy once you get your legislators to work for you (and not for the highest bidding lobbyist).
If it was legal to sell the data (in any form that's individually identifiable), those requirements couldn't be implemented -- but, i know there are exceptions, eg to maintain basic credit ratings.