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WhatsApp’s Exit Threat is a Strategy to Influence Public Opinion, Says FCCPC

In recent developments, the Federal Competition and Consumer Protection Commission (FCCPC) has asserted that WhatsApp’s threat to exit Nigeria is a strategic maneuver aimed at influencing public sentiment and pressuring the regulatory body to reconsider its stance. This statement follows the FCCPC’s imposition of a hefty $220 million fine on Meta, the parent company of WhatsApp, Facebook, and Instagram, for various data privacy infringements.

Background on the Fine

On July 19, the FCCPC announced its decision to penalize Meta, citing multiple violations of Nigerian data privacy laws. According to the FCCPC, the investigation into Meta and its platforms revealed serious breaches of the Federal Competition and Consumer Protection Act (FCCPA) and the Nigeria Data Protection Regulation (NDPR). The specific allegations included:

  1. Denial of Data Control: Nigerian users were reportedly denied the right to control their personal data.
  2. Unauthorized Data Sharing: Meta allegedly transferred and shared Nigerian user data without proper authorization.
  3. Discrimination Against Nigerian Users: Nigerian users faced discrimination compared to users in other jurisdictions, with less favorable terms and conditions.
  4. Abuse of Market Dominance: Meta was accused of leveraging its dominant market position to enforce unfair privacy policies on Nigerian consumers.

WhatsApp’s Reaction

In response to the fine, a WhatsApp spokesperson stated that the demands imposed by the FCCPC were unfeasible, making it impossible to continue providing services in Nigeria. The spokesperson further argued that the FCCPC’s order contained multiple inaccuracies and misrepresented the operational mechanics of WhatsApp. They indicated that an urgent appeal was underway to prevent any adverse impact on users.

FCCPC’s Counter-Statement

Reacting to WhatsApp’s claims, the FCCPC emphasized that the exit threat seemed to be a deliberate strategy to sway public opinion and exert pressure on the commission. The regulatory body elaborated on its findings and the rationale behind the fine:

  1. Compliance with Nigerian Law: The order mandates Meta to align its practices with Nigerian laws, ensuring that consumer rights are respected.
  2. Ending Exploitation: Meta is required to cease any exploitative practices and treat Nigerian users fairly.
  3. Deterrent Measure: The $220 million fine serves as a deterrent against future violations, holding Meta accountable for its actions.

The FCCPC maintained that its actions were driven by legitimate concerns over consumer protection and data privacy. The commission highlighted that similar measures are common in other jurisdictions and do not typically force companies out of the market. Therefore, Nigeria’s case should be no different.

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