The popular messaging app, WhatsApp, owned by Facebook’s parent company, Meta Inc., has threatened to withdraw its services from Nigeria over a fine imposed on it by the Federal Competition and Consumer Protection Commission (FCCPC) for alleged data privacy violations. The FCCPC, after a comprehensive 38-month investigation into WhatsApp’s data privacy practices and market behaviour said Meta parties engaged in multiple and repeated infringements of the Federal Competition and Consumer Protection Act and the Nigeria Data Protection Regulation. It, therefore, imposed a $220 million fine on the company for an unauthorized appropriation of personal data without user consent, discriminatory practices against Nigerian users.
Although, the ruling has been appealed, WhatsApp said the imposed penalty may affect services rendered by messaging platform in the country because it services rely on limited data infrastructure from its parent company to run its service and keep users safe.
“WhatsApp relies on limited data to run our service and keep users safe, and it would be impossible to provide WhatsApp in Nigeria, or globally, without Meta’s infrastructure.
“This order contains multiple inaccuracies and misrepresents how WhatsApp works and we are urgently appealing the order to avoid any impact to users,” the company’s spokesperson said in a statement.
Responding to WhatsApp’s claim, the FCCPC on X (formerly Twitter) late Thursday night, stated that the firm discriminated against Nigerian users compared to users in other jurisdictions and abused its dominant market position by forcing unfair privacy policies.
It added that the order is a positive step towards a fair digital market in Nigeria.
The statement read, “WhatsApp’s claim that it may be forced to exit Nigeria due to FCCPC’s recent order appears to be a strategic move aimed at influencing public opinion and potentially pressuring the FCCPC to reconsider its decision.
“The FCCPC investigated Meta Platforms and WhatsApp (jointly referred to as “Meta Parties”) for allegedly violating the Federal Competition and Consumer Protection Act and the Nigeria Data Protection Regulation.
“The Commission found that Meta Parties engaged in multiple and repeated infringements of the FCCPA and the NDPR.
“These infringements included denying Nigerians the right to control their personal data, transferring and sharing Nigerian user data without authorization, discriminating against Nigerian users compared to users in other jurisdictions and abusing their dominant market position by forcing unfair privacy policies.”
It added that, “The final order requires Meta Parties to take steps to comply with Nigerian law, stop exploiting Nigerian consumers, change their practices to meet Nigerian standards and respect consumer rights.
“To deter future violations and ensure accountability for the alleged infringements the FCCPC also imposed a monetary penalty of $220m.
“The FCCPC’s actions are based on legitimate concerns about consumer protection and data privacy and the order is a positive step towards a fairer digital market in Nigeria. Similar measures are taken in other jurisdictions without forcing companies to leave the market. The case of Nigeria will not be different,” the statement concluded.
