Meta (formerly Facebook) does not rule out that Facebook and Instagram services will be shut down in Europe. One such scenario is described in the company’s annual report filed with the US Securities and Exchange Commission last week.
According to the new European legislation, residents’ data must be localized on the European continent. And the Facebook and Instagram services use servers in the US and Europe to store and process data.
Meta claims that the ability to process user data across continents is critical to its business, both for operations and for ad targeting.
“If we cannot transfer data between the countries and regions in which we operate, or if we are prohibited from sharing data between our products and services, it may affect our ability to provide services, the way we deliver our services, as well as our ability to target ads.” says the document.
European user privacy laws require user data to be stored within EU jurisdiction. And since Meta has not yet been able to conclude new data-sharing agreements with the EU, she sees no other way out than to prevent Facebook and Instagram from working here.
“We urge regulators to take a proportionate and pragmatic approach to minimize disruption to the many thousands of companies, like Facebook, who, in good faith, rely on these mechanisms to transmit data securely and reliably.” Nick Clegg, the company’s vice president of global policy and communications, to CityAM, a London-based financial newspaper.