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WhatsApp exit threat an attempt to sway public opinion, says FCCPC

The Federal Competition and Consumer Protection Commission has described Metaโ€™s threat to exit the country in response to the $220m fine as a move to influence public opinion and coerce the commission into reevaluating its decision.

It affirmed that the ruling to fine Meta Platforms Inc., the parent company of WhatsApp, Facebook, and Instagram, followed legitimate concerns about consumer protection and data privacy policies contrary to stipulated laws.

Last week, the FCCPC ordered WhatsApp to stop sharing user data with Facebook companies and third parties without explicit consent, provide information on data collection, and restore user control over data usage.

The commission following a comprehensive 38-month investigation into its data privacy practices and market behaviour said Meta parties engaged in multiple and repeated infringements of the Federal Competition and Consumer Protection Act and the Nigeria Data Protection Regulation.

It, therefore, fined the parent company the sum of $220m for an unauthorised appropriation of personal data without user consent, discriminatory practices against Nigerian users.

Although, the ruling has been appealed, WhatsApp In an email message to The PUNCH on Thursday, said the imposed penalty may affect services rendered by messaging platform in the country.

This is because WhatsApp relies on limited data infrastructure from its parent company to run its service and keep users safe.

The response signed by a WhatsApp spokesperson read, โ€œWhatsApp relies on limited data to run our service and keep users safe, and it would be impossible to provide WhatsApp in Nigeria, or globally, without Metaโ€™s infrastructure.

โ€œThis order contains multiple inaccuracies and misrepresents how WhatsApp works and we are urgently appealing the order to avoid any impact to users.โ€

But reacting in a post on X (formerly Twitter) late Thursday night, the Consumer Protection Commission stated that the firm discriminated against Nigerian users compared to users in other jurisdictions and abused its dominant market position by forcing unfair privacy policies.

It added that the order is a positive step towards a fair digital market in Nigeria.

The statement read, โ€œWhatsAppโ€™s claim that it may be forced to exit Nigeria due to FCCPCโ€™s recent order appears to be a strategic move aimed at influencing public opinion and potentially pressuring the FCCPC to reconsider its decision.

โ€œThe FCCPC investigated Meta Platforms and WhatsApp (jointly referred to as โ€œMeta Partiesโ€) for allegedly violating the Federal Competition and Consumer Protection Act and the Nigeria Data Protection Regulation.

โ€œThe Commission found that Meta Parties engaged in multiple and repeated infringements of the FCCPA and the NDPR.

โ€œThese infringements included denying Nigerians the right to control their personal data, transferring and sharing Nigerian user data without authorisation, discriminating against Nigerian users compared to users in other jurisdictions and abusing their dominant market position by forcing unfair privacy policies.โ€

It added that, โ€œThe final order requires Meta Parties to take steps to comply with Nigerian law, stop exploiting Nigerian consumers, change their practices to meet Nigerian standards and respect consumer rights.

โ€œTo deter future violations and ensure accountability for the alleged infringements the FCCPC also imposed a monetary penalty of $220m.

โ€œThe FCCPCโ€™s actions are based on legitimate concerns about consumer protection and data privacy and the order is a positive step towards a fairer digital market in Nigeria. Similar measures are taken in other jurisdictions without forcing companies to leave the market. The case of Nigeria will not be different,โ€ the statement concluded.(Punch)

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