Amazon has received a fine of £500m from Luxembourg’s data regulator. It is the largest privacy fine company has ever received. For infringing the EU’s strict privacy law, known as GDPR, the CNPD fined the company €746 million ($888 million) on July 16th.
The company disclosed the ruling in a filing with the SEC on Friday in which it criticized the decision as baseless, adding that it plans to defend itself “vigorously.”
Amazon was hit with a record fine from EU privacy regulators of $888 million
According to Amazon, the company hasn’t experienced a data breach, nor have its customers’ records been exposed to third parties. “This is a fact that cannot be disputed. According to the CNPD, we strongly disagree with their ruling. Our firm plans to appeal the decision.
There is an Amazon EU headquarters in Luxembourg, with a local data regulator in charge of ensuring that the company stays in compliance with the law.
Several lawsuits were filed against big tech companies on behalf of 12,000 people following GDPR’s establishment in 2017, according to the French privacy group La Quadrature du Net.
In January, 2019, the CNIL regulator imposed a $57 million fine on Google for using Android, the largest GDPR fine ever levied against a company. Having failed to obtain legal consent for the data collection connected to its advertising targeting practices, the watchdog ruled the company violated the GDPR.
Amazon‘s European operations have come under heightened scrutiny amid the record penalty. A EU antitrust investigation is also focused on how that company uses data.
The federal government reached the preliminary determination in November that Amazon had broken competition rules by using seller data to put its own products on the front pages of third-party sites.
On the same day, a second investigation was underway into the alleged preferential treatment given to customers’ own products over those of their partners.