News ID: 315146
Published: 0117 GMT July 31, 2021

Amazon hit with $887m fine by European privacy watchdog

Amazon hit with $887m fine by European privacy watchdog

Amazon was issued with a fine of 746 million euros ($887 million) by a European privacy watchdog for breaching the bloc’s data protection laws.

The fine was issued two weeks ago by Luxembourgs privacy regulator, according to CNBC.

The Luxembourg National Commission for Data Protection said Amazons processing of personal data did not comply with the EUs General Data Protection Regulation (GDPR).

It has ordered Amazon to revise certain undisclosed business practices.

Amazon, which has its European headquarters in Luxembourg, denied that there had been any kind of breach that would violate the GDPR rules.

Maintaining the security of our customersinformation and their trust are top priorities,” an Amazon spokesperson told CNBC.

There has been no data breach, and no customer data has been exposed to any third party,” the spokesperson added.

These facts are undisputed. We strongly disagree with the CNPDs ruling, and we intend to appeal. The decision relating to how we show customers relevant advertising relies on subjective and untested interpretations of European privacy law, and the proposed fine is entirely out of proportion with even that interpretation.”

CNPDs investigation reportedly commenced in 2018 after French privacy rights group La Quadrature du Net filed a complaint against Amazon.

La Quadrature du Net did not immediately respond to comment but Bastien Le Querrec, a member of La Quadratures litigation team, cautiously welcomed the decision, according to Bloomberg.

Its a first step to see a fine thats dissuasive, but we need to remain vigilant and see if the decision also includes an injunction to correct the infringing behavior,” he said.

Under the GDPR, data protection watchdogs in Europe have the ability to fine companies as much as 4% of their annual global sales.

While the Amazon fine is in the hundreds of millions, its relatively small in the grand scheme of things.

Amazon posted its third $100 billion quarter in a row on Thursday, with revenue growing by 27% year over year to $113.08 billion.

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