Facebook and Instagram threaten to shut down in Europe

This is Eléonore from Apparel Web, Global Marketing division. I work as a web marketer, SEO specialized and in charge of monitoring fashion Web-related global trends and news, more particularly in Europe.

Today, I will try to explain briefly and simply what is going on between Facebook and Instagram and the European Union commission.

Because restricted access to these two platforms is likely to be considered within the EU.

At the end of August, the Irish Data Protection Commissioner ordered the social network to suspend data transfer from European users to the United States. The American giant maintains that this request is technically unfeasible and could prevent it from exploiting Instagram and Facebook in Europe.

Standoff between Facebook and GDPR

Since GDPR (General Data Protection Regulation, which is the official EU data protection rules) has been voted, GAFAM and other Big Tech companies are in the sights of the European Union.

Social media are the first line of the EU commission: indeed, by virtue of its privacy policy, Facebook can in any way comply with rules imposed by GDPR.
Irish Data Protection Commission also strongly suggested to Mark Zuckerberg to suspend data transfer from Europe to American data centers.

Facebook and Instagram may not be able to provide their services in Europe without complying; however, if both social networks stop working, consequences will be tremendous.

Indeed, with 140 million users, both platforms will lose a significant market share and a major influence on the Old Continent.
And thus, for the EU, lack of safe and legal international data transfers would hurt the economy and also prevent data business development in Europe.

With the COVID-19 crisis, the use of data is at the heart of citizens' concern and even more in Europe.

Which alternative for Facebook?

The Californian firm finally decided to take the case to the High Court of Justice of Ireland, the case will be heard in November.

For now, the social platform is limited to two main solutions:

- Facebook and Instagram stop providing their services in Europe, with huge economic consequences;
- Services will still be provided within the European Union by changing privacy policy, and adopting other ways to deal with users' data. Even in this case, Facebook might risk a hefty bill worth $ 3 billion (4% of Facebook total revenue) by the European Commission for GDPR infringement.

However, since both parties are almost independent of each other, a straightforward and linear application of the law seems very complicated.

Verdict will likely fall in November.