BREAKING: WhatsApp Sets To Leave Nigeria
In the wake of a hefty $220 million fine imposed by Nigeria’s Federal Competition and Consumer Protection Commission (FCCPC) for a data privacy violation, WhatsApp is considering suspending its services in the country.
According to a report by PUNCH, this comes amid additional regulatory demands from the FCCPC.
According to insiders, Meta, the parent company of WhatsApp, is exploring the possibility of withdrawing certain services from Nigeria.
The FCCPC not only levied the significant fine but also mandated WhatsApp to stop sharing user data with other Facebook-owned entities and third parties without explicit user consent.
Furthermore, the commission has required WhatsApp to provide transparency about its data collection practices and improve user control over data usage.
A WhatsApp spokesperson told TechCabal via email, “Based on the FCCPC’s order, it would be technically impossible to offer WhatsApp in Nigeria or globally.”
The spokesperson criticized the commission’s order as flawed, claiming it misrepresents WhatsApp’s data handling practices and would necessitate extensive changes to the platform’s infrastructure.
Meta has yet to address the FCCPC’s claims regarding user opt-out options from the 2021 privacy policy update but insists that the update does not involve sharing user data. Meta’s privacy policy asserts, “We believe that storing this information for two billion users would be both a privacy and security risk, and we don’t do it.”
The potential suspension of WhatsApp could significantly impact individuals and small businesses in Nigeria, many of whom rely on WhatsApp, Instagram, and Facebook for customer interaction.
Some privacy lawyers have questioned the FCCPC’s reliance on the National Data Protection Regulation (NDPR) as the basis for the fine. The NDPR, established in 2019 by the National Information Technology Development Agency, serves as Nigeria’s main data protection framework.
Two anonymous lawyers expressed doubts about the NDPR’s authority in this matter, questioning whether a government regulation can be considered definitive in privacy disputes.
Additionally, two unnamed government officials have voiced concerns over the fairness of the $220 million fine. “We are too revenue-focused. What is the opportunity cost of $220 million in government coffers?” an industry expert asked.
If WhatsApp decides to halt its operations in Nigeria due to these regulatory demands, both the FCCPC and the Nigerian government will face significant scrutiny and potential consequences.
