The EDPB issued an urgent binding decision that essentially bans Meta from using personal data for behavioral advertising in the entire European Economic Area (EEA).
The EDPB issued an urgent binding decision that essentially bans Meta from using personal data for behavioral advertising in the entire European Economic Area (EEA).
It helps a lot that that’s revenue and not profit, so it ignores other expenses. Of course, I don’t know how much that matters, but it is still enough to hurt.
I’d say that’s a huge problem actually.
For a normal company, abusing data is a small part of their business and profit is a few percent of revenue, so such a fine would be devastating.
For some tech companies, profit is in the double digit percent of revenue and half of it comes from breaking the law, so the 4% are a tax they can happily pay and still be more profitable than if they followed the law.
Depends. It’s up to 4% of the yearly revenue per court ruling. And not necessarily once per year. If you were to continue to ignore these rulings and continue abusing the data, that can rack up fast. Pay once - that may or may not be a problem. Pay monthly - there goes up to 48% of your yearly revenue.
It’d be great if that was how it works, unfortunately it seems like the penalties are closer to once every 3-5 years than monthly, skewing the balance even further to “screw the law, just pay the fee”:(