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AMERICANS, GET JEALOUS: META THREATENS TO SHUT DOWN FACEBOOK AND INSTAGRAM IN
EUROPE

OK, do the U.S. now!
By Rachel Kraus  on February 6, 2022

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> Tech > Tech Industry

Man do Europeans have it good.

Buried in Meta's dense annual report for the Securities and Exchange Commission,
filed Thursday, is a surprisingly stark sentence laying out a scenario in which
The Company Formerly Known as Facebook might have to entirely stop operating
Instagram and Facebook in Europe. Yep, no Instagram, no Facebook, for all
Europeans. 



To which we as Americans can only say: Luckyyyyyyyyyy!!!!

At issue are European data regulations that prevent Meta from ingesting
Europeans' data on American servers. Basically, Meta says the ability to process
user data in between countries is crucial for its business both operationally
and for ad targeting. European laws meant to protect user privacy by keeping
users' data within the EU's jurisdiction have invalidated previous systems. So,
because the EU and the U.S. have been unable to reach new data sharing
agreements, Meta said it might have to walk away from the continent with
Facebook and Instagram.

" If we are unable to transfer data between and among countries and regions in
which we operate, or if we are restricted from sharing data among our products
and services, it could affect our ability to provide our services, the manner in
which we provide our services or our ability to target ads," the statement
reads. Then, Meta clarifies that it thinks it will be able to reach new
agreements in 2022, but if it does not, "we will likely be unable to offer a
number of our most significant products and services, including Facebook and
Instagram, in Europe."

The London financial newspaper CityAM reached out to Meta to see if they were,
uh, reading that right. Meta responded with a statement from the company's
illustrious VP of Global Affairs, Nick Clegg, who attempted to connect the
plight of a billion-dollar international conglomerate Meta with struggles small
businesses could face.

"We urge regulators to adopt a proportionate and pragmatic approach to minimise
disruption to the many thousands of businesses who, like Facebook, have been
relying on these mechanisms in good faith to transfer data in a safe and secure
way,” Clegg told CityAm.

SEE ALSO: Why Zuckerberg DGAF about losing Facebook users

Frankly not being able to access Facebook or Instagram — just poof, gone —
sounds like a dream. But, for better or worse, many businesses rely on Facebook
and Instagram ads to connect with customers and sell their products. Because of
the impact the platforms' removal would have on European businesses, a continent
without these main social media players is probably unlikely. An SEC annual
statement's job is to lay out the challenges and opportunities in a company's
financial outlook — but it's also a convenient way to send a message. 

360p 720p HD 1080p HD Auto (360p) About Connatix V149146 Closed Captions About
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THIS DAY IN HISTORY

Paid Content by Connatix

So for European lawmakers, the scenario seems like a threat. But for us regular
folks wishing there was something that could untether us from mindless
scrolling? C'mon, Meta, make that threat a promise.

UPDATE: Feb. 7, 2022, 12:00 p.m. PST Meta refutes the characterization of its
disclosure as a "threat," and wrote in an email to Mashable that making the SEC
aware of the scenario was not an indication of future business plans. Meta has
included similar guidance in past filings. “We have absolutely no desire and no
plans to withdraw from Europe, but the simple reality is that Meta, and many
other businesses, organisations and services, rely on data transfers between the
EU and the US in order to operate global services," Dina El-Kassaby, Meta Policy
Communications Manager, said over email. "Like other companies, we have followed
European rules and rely on Standard Contractual Clauses, and appropriate data
safeguards, to operate a global service. Fundamentally, businesses need clear,
global rules to protect transatlantic data flows over the long term, and like
more than 70 other companies across a wide range of industries, we are closely
monitoring the potential impact on our European operations as these developments
progress.” Additionally, a previous version of this article stated that Meta had
not reached data sharing agreements. These agreements are brokered between
countries, not businesses, so Mashable has clarified in this article that the EU
and the U.S. have not reached this agreement.

More in Privacy, Meta

--------------------------------------------------------------------------------


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