Meta, that owns Facebook, was slapped with a penalty of €450m for mis-handling data related to children. The financial implication was announced on Instagram that is used by adults to share videos and images.
Ireland’s Data Protection Commission (DPC) found several discrepancies in the way Instagram was handling information related to children and so slapped a penalty for allowing children to run business accounts.
As per the general guidelines, all adults who are above the age of 18 are asked to open or manage business accounts. But Instagram not only allowed minors(aged between 13-17) to use the platform, but also exposed their contact information such as phone numbers and email addresses, putting them to severe risks.
Helen Dixon, the official spokesperson for DPC, pronounced the statement and confirmed the inclusion of €450m penalty. However, Meta, the owner of Insta, could appeal against the penalty within 7 -15 days.
Sources from Meta say that the social media giant was supportive all throughout the investigation, but was against the decision on how the penalty was calculated and levied.
Just FYI, in July 2021, Amazon received a penalty of €756m for breaching the GDPR laws.
So, the decision to slap a penalty against Meta by the Irish Watchdog stands to be for the first time after the new GDPR obligations came into effect.
NOTE- Meta’s legal panel has a lot of experience in dealing with such lawsuits driven penalties and is working on either lessening the fine or striking it off on the wholesome note.