Regulators Are Figuring Out How to Make Google and Facebook Sweat
Fines go only so far, but something bigger is taking shape
The Wild West era may be drawing to a close for tech corporations like Facebook and Google. New scrutiny from regulators abroad — and some closer to home — is resulting in fines that portend more substantial changes on the horizon. Soon, your data may rest a bit more squarely in your control.
Last month, Google became one of the first U.S. companies to be punished under Europe’s General Data Protection Regulation, a sweeping consumer privacy and data protection law. The French regulator, the Commission Nationale de l’Informatique et des Libertés (CNIL), fined Google $57 million for breaching the law’s provisions on user consent. Per CNIL, Google failed to adequately disclose how a person’s information was used to serve advertisements.
The $57 million fine it isn’t much to the tech giant. (It amounts to roughly 0.15 percent of Google parent company Alphabet’s multibillion-dollar revenue in the most recent quarter alone.) But to the regulator, the fine was substantial. It was the largest-ever penalty for data privacy and was inflicted, CNIL said, due to the “severity of the infringements” and “continuous breaches of the regulation.”
