When the GDPR came into force in 2018, Europe became a pioneer in digital regulation and privacy protection. This regulation, which obliges sites, for example, to seek the consent of the Internet user before collecting data, is often considered as an example from which the United States should draw inspiration.
But while the regulation has been in place for years, European regulators still continue to pin down violators. Moreover, for GDPR fines, 2021 was a record year!
This is what is revealed by an article published recently by Bloomberg, relaying a report by the firm DLA Piper. Indeed, GDPR fines in 2021 totaled €1.1 billion in 2021, compared to just €158.5 million in 2020. In essence, total fines increased sevenfold.
But how is this done? In reality, if GDPR fines have exploded in 2021, it is because regulators have attacked tech giants. Last year, the Luxembourg regulator fined Amazon a record 746 million euros. As Bloomberg notes, it’s the largest fine ever imposed since the regulations came into force.
Up to 4% of worldwide turnover
For its part, the Irish regulator imposed a fine on WhatsApp for having lacked transparency concerning the processing of data: 225 million euros.
If the fines can be so high, it is because they are calculated according to the income of the companies. As the CNIL website explains: “With the GDPR (General Data Protection Regulation), the amount of financial penalties can be up to 20 million euros or in the case of a company up to 4% of annual turnover. global. » And given the size of companies such as Meta or Amazon, it is logical that we could have fines of several hundred million euros.
New regulations for tech giants
Determined to regulate digital players, including the American giants, the European Union does not intend to stop at the GDPR, intended to protect the privacy of European Internet users. Indeed, other regulations are currently under study, such as legislation that could force all smartphone manufacturers (including Apple) to adopt USB-C, or the DMA (Digital Markets Act) and the DSA ( Digital Services Act). The DMA, for example, must allow regulation of digital markets that limits the power of tech giants and ensures healthy competition in the EU.