Why don't people use Facebook anymore
Soon no more Facebook and Instagram in Europe? Facebook puts pressure on
The exchange of data between Europe and the USA is subject to strict guidelines. Facebook and Instagram don't seem to like that at all, because now Mark Zuckerberg is putting pressure on leaving the European market. But is that even likely?
The Irish Data Protection Commission (DPC) has decided that for the time being no more European user data may be transmitted to the USA and evaluated there.
This ruling follows a ruling by the European Court of Justice, according to which the EU-US Privacy Shield, which served as the basis for a large part of data transfers from the EU to the USA, is invalid.
The background to this was, among other things, the concern that the US secret service could examine the Facebook user data. It is said that the data of EU citizens needs to be better protected.
However, Facebook and its subsidiary Instagram do not seem to be satisfied at all with the stricter regulation.
Irish Facebook data chief Yvonne Cunnane told the magazine Vice: "It is not clear how we could continue to provide the services of Facebook and Instagram in the EU under these circumstances."
Soon no more Facebook and Instagram in Europe?
The judgment of the European Court of Justice affected around 5,000 companies. However, Facebook criticizes the DPC's lawsuit for the fact that it is the only company that has really been confronted with the new regulation so far.
According to a spokesman, the fact that Facebook and Instagram want to withdraw from Europe for this reason should not be understood as a threat. It is only a question of a consideration and description of the technical situation.
Facebook has 410 million users in Europe
Whatever the motif, it is extremely unlikely that Facebook and Instagram will cease their services in Europe. After all, Facebook has 410 million users in the EU.
In addition, according to Facebook, European companies generated sales of 200 billion euros in 2019 via their own platform.
Cunnane also accused Irish data protection officer Helen Dixon of making the decision as an individual and thereby treating Facebook unfavorably.
So it seems that Facebook is doing everything it can to get the best possible conditions for European operations. Cunnane also complained that the DPC had informed the company too late about the upcoming decisions.
Facebook now has three weeks to react to the stricter data protection regulations.
This is how big the European market is in a global comparison
The 410 million European users make up a significant proportion in a global comparison. In total, around 1.8 billion people use Facebook and Instagram every day and 2.7 billion monthly.
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When the revenue of around a quarter of global users goes down, Facebook definitely notices. In the second quarter of 2020, Facebook generated a total of $ 18.6 billion in revenue. This corresponds to an increase of ten percent compared to the same period in the previous year.
Aside from the American home market, Facebook has the second most users in the Asia-Pacific region. Nevertheless, it is not in Facebook's interest to neglect the European market or even to give it up completely.
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