Meta threatens Facebook, Instagram shutdown in Nigeria over $290m fines

Meta threatens Facebook, Instagram shutdown in Nigeria over $290m fines
The warning follows a failed attempt by Meta to challenge the penalties in the federal high court in Abuja. PHOTO/Leadership Newspaper
In Summary

The warning follows a failed attempt by Meta to challenge the penalties in the federal high court in Abuja.

Nigerians could soon lose access to Facebook and Instagram after Meta said it may shut down the services in the country due to what it called "unrealistic" demands and large fines from Nigerian authorities.

Meta, the parent company of Facebook and Instagram, said in court papers that it is considering stopping operations of both platforms in Nigeria to avoid enforcement measures linked to recent regulatory actions.

"The applicant may be forced to effectively shut down the Facebook and Instagram services in Nigeria in order to mitigate the risk of enforcement measures," the company said.

The warning follows a failed attempt by Meta to challenge the penalties in the federal high court in Abuja.

The court upheld fines of more than $290 million (Sh37.5 billion) imposed on the tech firm by three Nigerian agencies over alleged violations of competition, advertising, and data privacy laws.

The court has ordered Meta to pay the full amount by the end of June.

Meta also owns WhatsApp, which is widely used in Nigeria, but the messaging app was not mentioned in the company’s statement or court submissions.

The three fines issued in July last year were as follows:

  • The Federal Competition and Consumer Protection Commission (FCCPC) fined Meta $220 million for alleged anti-competitive practices.

  • The advertising regulator imposed a $37.5 million fine over unapproved advertising.

  • The Nigerian Data Protection Commission (NDPC) fined Meta $32.8 million for alleged data privacy breaches.

Adamu Abdullahi, chief executive of the FCCPC, said investigations carried out with the data commission between May 2021 and December 2023 uncovered "invasive practices against data subjects/consumers in Nigeria."

However, he did not give specific details about the practices.

Meta stated in court that its main concern was with the NDPC, which it accused of “misinterpreting” Nigeria’s data protection laws.

A key issue is the commission's demand that Meta must seek prior approval before transferring any personal data out of Nigeria. Meta described this condition as "unrealistic."

The data commission also required Meta to provide an icon linking to educational videos on data privacy.

These videos must be created with the help of government-approved schools and non-profit groups.

The videos are expected to explain the dangers of "manipulative and unfair data processing," which the NDPC said could expose users to health and financial risks.

Meta argued that the demands are not workable and accused the commission of failing to “properly interpret the laws guiding data privacy.”

Facebook is the most widely used social media platform in Nigeria and serves tens of millions of users.

It is a major source of communication and news for individuals and plays a key role in the operations of small businesses.

So far, Meta has not publicly announced its next steps.

The BBC reached out to the company for clarification, but no response had been received at the time of reporting.

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