At Menlo Park the voice is raised again towards Europe, given that the latest report that Meta submitted to the SEC – in which every aspect of the giant is analyzed – once again raises the possibility that products like Facebook and Instagram could leave the Old Continent, only to correct the game with a new official declaration that softens the tone.
The threat, as you will have understood, is not new and follows exactly the same critical issues that more than a year ago led the then Facebook to bring to the table the hypothesis of a farewell to Europe, caused by the impossibility of continuing their own operations as it has always been done in the past.
The reason for this change concerned – and still concerns today – the entry into force of the GDPR and all the mechanisms to protect the data of European users that prevent multinationals from exporting this information to economic areas that do not offer the same level of protection. which exists in Europe.
The latest report submitted to the SEC returns to beating on this issue and once again launches the same warning: if Meta can no longer count on the transfer of user data – permanently KOed by the Privacy Shield block in July 2020 – and on the possibility of exchanging the same between its various services.
The company will no longer be able to offer its products, including targeted advertising and more. The report, in fact, explicitly mentions the impossibility of continuing to provide Facebook and Instagram in Europe, should a solution not be found.
FACEBOOK AND INSTAGRAM AT RISK IN EUROPE
Meta confirms that this choice would have extremely negative repercussions on its entire business and its finances , suggesting that this would be only the last move to resort to if there were no alternatives. The whole matter sounds like a request for help from Meta towards the US authorities, almost as if to say this is the situation: if you do nothing we just have to proceed in this way, damaging a US company.
In fact, the report also cites other examples of activities that could further damage Meta’s already precarious position, including the application of a regulation capable of blocking the collection of data relating to minors – which would make it even less effective the distribution of targeted ads and the ability to offer services to this audience – and the fact that Meta continues to be the target of monitoring actions by many authorities in the areas of the world (including Europe and the USA) that have protection of personal data.
META ASKS FOR HELP: WILL SOMEONE ANSWER?
In short, Meta wants to find a system that allows it either to legally circumvent the constraints imposed by the increasingly stringent protection laws – an aspect it is working on – or that new agreements are signed that can guarantee exemptions and the freedom of action required for continue to operate the way it always has, without damaging its business.
Unfortunately for Meta, this request for help may not find acceptance by anyone , as the United States is also beginning to pay more and more attention to the issues already treated by Europe. Even the threat to remove Facebook and Instagram from the Old Continent seems to sound in vain, as it is quite clear that an exit from this market would mean giving up huge gains, even net of the existing limitations, not to mention that it would create a vacuum of incredibly attractive market for many alternatives ready to take the place of Meta’s social networks.
THE META ANSWER
Meta officially communicated its position on the issue and stated that it has no desire or plan to withdraw from Europe, as confirmed by a company spokesperson, but reiterated how global rules are needed to regulate the flow of data.
“We have absolutely no desire and no plan to withdraw from Europe, simply Meta, like many other companies, organizations and services, relies on the transfer of data between the EU and the US to be able to offer global services.
Like other companies, to provide a global service, we follow European rules and rely on Standard Contractual Clauses and adequate data protection measures. Businesses, fundamentally, need clear and global rules to protect their data in the long term.
Data flows between the US and the EU, and like more than 70 other companies in a wide range of sectors, as the situation evolves, we are closely monitoring the potential impact on our European operations ” – a spokesperson for Meta.