Facebook Fined $112 Million Over WhatsApp

Discussion in '[H]ard|OCP Front Page News' started by Kyle_Bennett, May 18, 2017.

  1. Kyle_Bennett

    Kyle_Bennett El Chingón Staff Member

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    The EU Commission is a bit pissed about Facebook apparently lying to it a few years ago when Facebook acquired WhatsApp. At the time Facebook explained that it did not have the technical capabilities to match up Facebook accounts with WhatApp account holders.

    When Facebook notified the acquisition of WhatsApp in 2014, it informed the Commission that it would be unable to establish reliable automated matching between Facebook users' accounts and WhatsApp users' accounts. It stated this both in the notification form and in a reply to a request of information from the Commission. However, in August 2016, WhatsApp announced updates to its terms of service and privacy policy, including the possibility of linking WhatsApp users' phone numbers with Facebook users' identities.

    The Commission has found that, contrary to Facebook's statements in the 2014 merger review process, the technical possibility of automatically matching Facebook and WhatsApp users' identities already existed in 2014, and that Facebook staff were aware of such a possibility.
     
  2. ir0nw0lf

    ir0nw0lf [H]ardness Supreme

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  3. Vader1975

    Vader1975 Limp Gawd

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    It would seem that they did this on purpose and just expected to pay some fine and didn't care.
     
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  4. Nukester

    Nukester Gawd

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    It's Zuckerberg, he stole the basis of Facebook from classmates, so he is a thief by nature.
     
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  5. Hypergreatthing

    Hypergreatthing [H]ard|Gawd

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    Why does the EU have the authority to fine american companies?
     
  6. dsmwookie

    dsmwookie Limp Gawd

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    Because the company wants to exist in EU telecommunications space. It's simple, don't want to get fined there, don't advertise and offer services there or prepare to be blocked on a continental level.
     
  7. Koolthulu

    Koolthulu Gawd

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    Wow Facebook managed to match phone numbers from one database to phone numbers from another? Who would have ever imagined such an impressive technical feat would ever occur in our lifetime? I take it the Commission doesn't actually have anyone with IT knowledge. I like their "well it wouldn't have changed our decision, but we're going to fine them anyway" excuse.
     
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  8. Hypergreatthing

    Hypergreatthing [H]ard|Gawd

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    Internet companies by default work on a global scale. If the EU wants to block US internet companies, then they're on par with China. I wouldn't put it past them, but honestly, the regulators would get more of a backlash than the company.
     
  9. B00nie

    B00nie [H]ardness Supreme

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    That'll teach them. A whopping 0,7% of the sales price and expected profits.
     
  10. NeoNemesis

    NeoNemesis [H]ard|Gawd

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    If you operate in a country you are bound by that countries laws. If Facebook opts to pull out of Europe then so be it, but as long as they operate in that market they have to pay their fines.
     
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  11. Lakados

    Lakados Limp Gawd

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    So it is a fine for the incorrect filing of paperwork, if they had simply added that they intended to look into the possibility of creating such a link in the future or had waited another 3 years or so more before making the change then there wouldn't be an issue. They could have said that upgrades done to the back ends of both systems made the automation process possible which then makes their original filing of the paperwork true. However, if all they are doing is an automated matching of phone numbers and those numbers were stored in both systems in 2014 than the capabilities did exist and they lied on the application form, hence fine. It's pretty cut and dry.
     
  12. dgz

    dgz 2[H]4U

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    You seem like a bright young man. No, wait. The other thing. Bitter old fool yelling at clouds
     
  13. tetris42

    tetris42 2[H]4U

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    Modern capitalism in action.
     
  14. Loose Nut

    Loose Nut Limp Gawd

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    Does the US do that to any European companies?
     
  15. krotch

    krotch 2[H]4U

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    Yes. European gambling sites.
     
  16. Koween

    Koween Limp Gawd

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    If a company wants to do business abroad, they have to abide the laws of that country.
    Otherwise every company would be registered in Bullshitistan and would do whatever they please.
     
  17. BulletDust

    BulletDust 2[H]4U

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    It's funny how they can fine them, but no one can seem to get them to pay any tax.
     
  18. kju1

    kju1 Gawd

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    My view of EU fines:

    EU Bean Counter: "Hey we need more tax money!"
    EU Politician: "Well Greece didn't pay their bills this month. Oh lets fine an American company for some anti-competitive practices or some other bullshit. I am sure we can make some shit up...I mean find some illegal activity"