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| WhatsApp Faces Potential Suspension in Nigeria Following Hefty Fine and Demands |
FCCPC's Demands and Potential Impact
One week after Nigeria's Federal Competition and Consumer Protection Commission (FCCPC) fined WhatsApp $220 million for data privacy violations, the commission's additional demands could lead to WhatsApp suspending its operations in the country. At least four insiders indicated that Meta is considering "withdrawing certain services" in Nigeria.
Stringent Requirements and WhatsApp's Response
In addition to the significant fine, FCCPC has mandated WhatsApp to cease sharing user data with other Facebook companies and third parties without explicit consent. The platform must also provide details about its data collection practices and restore user control over data usage.
A WhatsApp spokesperson stated via email to TechCabal, "We want to be really clear that technically, based on the order, it would be impossible to provide WhatsApp in Nigeria or globally." The spokesperson further added, "This order contains multiple inaccuracies and misrepresents how WhatsApp works. WhatsApp 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 Meta’s infrastructure. We are urgently appealing the order to avoid any impact on users."
Privacy Policy Controversies
Meta did not address the FCCPC’s claim that WhatsApp did not allow users to opt-out of the 2021 policy but asserted that the January 2021 Privacy Policy update does not include sharing user data. "While traditionally mobile carriers and operators store this information, we believe that keeping these records for two billion users would be both a privacy and security risk and we don’t do it," the privacy document reads.
Legal and Regulatory Scrutiny
Three privacy lawyers questioned the FCCPC’s reference to the National Data Protection Regulation (NDPR) as the basis for the fine. Enacted in 2019 by the , NDPR serves as Nigeria's primary data protection framework. Two lawyers, who requested anonymity, doubted that the NDPR would withstand scrutiny in court, questioning whether a government regulation could be authoritative in a matter as significant as privacy.
Financial and Economic Implications
Two government figures, also anonymous, expressed doubts about the proportionality of the $220 million fine levied by the FCCPC, stating that Meta is undoubtedly subject to regulatory oversight. An industry expert added, "We are too revenue-focused. What is the opportunity cost of $220 million in government coffers?" The suspension of WhatsApp operations in Nigeria would significantly impact individuals and small business owners, many of whom rely on WhatsApp, Instagram, and Facebook to reach their target customers.
Conclusion
If WhatsApp ceases operations in Nigeria over these demands, the FCCPC and the Nigerian government will have their answer, highlighting the complex balance between regulatory oversight and technological infrastructure.
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