Amazon accused of violating EU privacy regulations or fined $425 million

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Tencent technology news on June 10, a person familiar with the matter disclosed on Thursday that an EU privacy regulator has proposed to impose a fine of more than $425 million on Amazon. The fine could be the biggest one imposed on businesses under EU privacy laws.
According to people familiar with the matter, the Data Protection Commission of Luxembourg (CNPD) has made a draft decision to impose penalties on Amazon’s privacy practices and propose that the national data protection agencies of the 26 member states of the European Union impose fines on Amazon. The Data Protection Commission of Luxembourg is Amazon’s main privacy regulator in the EU, as Amazon’s EU headquarters are located in Luxembourg.
According to people familiar with the matter, the Luxemburg case involves alleged violation of the European general data protection regulation (gdpr), which is related to Amazon’s collection and use of personal data, but has nothing to do with its cloud computing business. The person declined to elaborate on the specific charges against Amazon.
So far, Amazon has not commented on the report. The company has previously said that the privacy of its customers is a priority and that it abides by the law in all countries where it does business. A spokesman for the Data Protection Commission of Luxembourg said the regulator was not allowed to comment on the case.
Effective agreement from other EU privacy regulators is required before the draft decision of the Data Protection Commission of Luxembourg becomes final. This process may take several months and lead to substantial changes in the results, including more or less fines.
The fines proposed by the Data Protection Commission of Luxembourg account for about 2% of Amazon’s $21.3 billion net profit in 2020 and 0.1% of its $386 billion revenue. According to the Data Protection Commission of Luxembourg, regulators can fine up to 4% of the company’s annual revenue for certain violations.
Another person familiar with the matter said Luxembourg’s regulators had received opposition from some of their peers to its draft decision, with at least one saying the fine should be higher. Luxembourg can resolve objections amicably, or reject them, and trigger debates and votes in all EU privacy regulators of the European Data Protection Commission´╝ł Compiled by Tencent technology / Wuji)