Meta Threatens to Close Facebook and Instagram in Europe, What's Up?


 Meta threatens to shut down Facebook and Instagram services in Europe. This is revealed from their annual report for the US Securities and Exchange Commission (SEC).

The issue stems from the rules that Meta uses to transfer and store user data from Europe to servers in the United States. This is regulated in a rule called Privacy Shield and a model agreement or Standard Contractual Clauses.


But the Privacy Shield rule was overturned by the European Court of Justice in July 2020 for data protection violators. Since then, the EU and the US have said they are working on a new version of the agreement.


Meta also emphasizes that the ability to transfer and process data between countries and regions is critical to its business, both from an operational perspective and for targeting ads.


If the new rules aren't passed and Meta can't use their current or alternative agreements, they may not be able to offer their essential products and services in the European Union, including Facebook and Instagram.



Meta's VP of Global Affairs and Communication Nick Clegg said the absence of a secure and legal international data transfer agreement could hinder the growth of the European Union's data-driven economy and business.


"The impact will be felt by large and small businesses, in several sectors," said Clegg in his official statement, as quoted by City AM, Monday (7/2/2022).


"We urge regulators to adopt a proportionate and pragmatic approach to minimize disruption to the thousands of businesses that, like Facebook, have relied on these mechanisms to transfer power in a safe and secure manner."



Meta said they hope a new agreement on data transfer issues can be finalized this year. But if they don't, they will no longer be able to present their main products and services, such as Facebook and Instagram in Europe.

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