Fiona Nanna, ForeMedia News

5 minutes read. Updated 8:34PM GMT Fri, 2August, 2024

Nigeria’s Federal Competition and Consumer Protection Commission (FCCPC) has firmly rejected WhatsApp’s attempts to sway public opinion regarding a substantial $220 million fine imposed on the social media giant. The FCCPC, Nigeria’s primary regulatory body for consumer protection, remains resolute in its enforcement of this significant penalty, despite WhatsApp’s claims that the fine could force the company to withdraw its services from the Nigerian market.

On Thursday, the FCCPC issued a statement on its official X handle, dismissing WhatsApp’s suggestion that the fine may compel the company to exit Nigeria as a strategic maneuver designed to influence public sentiment and apply pressure on the regulatory body. This response follows a recent report by TechCabal, which indicated that WhatsApp might be contemplating a withdrawal from Nigeria due to the regulatory demands.

In a detailed response, WhatsApp spokesperson stated, “We want to be really clear that technically, based on the order, it would be impossible to provide WhatsApp in Nigeria or globally.” The statement underscores WhatsApp’s position but does not alter the FCCPC’s stance on the matter.

The $220 million fine stems from a protracted three-year investigation into WhatsApp’s compliance with the Federal Competition and Consumer Protection Act (FCCPA) and the Nigeria Data Protection Regulation (NDPR). The investigation revealed multiple and repeated violations of these regulations, including the imposition of restrictive privacy policies on Nigerian users, unauthorized data transfers, and discriminatory practices compared to users in other regions.

The FCCPC’s final order mandates that WhatsApp, owned by Meta Platform Inc., rectify these breaches by aligning its practices with Nigerian laws, ceasing exploitation of Nigerian consumers, and respecting local consumer rights. The regulatory body emphasized that this action represents a significant step toward a more equitable digital marketplace in Nigeria.

The FCCPC has also highlighted that similar regulatory measures have been implemented in other countries without resulting in companies exiting those markets. For instance, in a recent U.S. lawsuit, Meta Platforms, WhatsApp’s parent company, agreed to a $1.4 billion settlement over allegations of illegal biometric data collection without user consent.

This case underscores the FCCPC’s commitment to upholding data privacy standards and ensuring accountability within the digital sector. The regulatory body remains steadfast in its efforts to enforce consumer protection laws and promote fair practices in Nigeria’s burgeoning digital economy.

For more information on this developing story, visit TechCabal and FCCPC.