WhatsApp Threatens Nigerian Exit Over $220m Fine as Nigerians, Experts React
Samuel Mobolaji
WhatsApp has issued a warning that it may exit the Nigerian market if the federal government does not reverse its $220 million fine against it.
WhatsApp, in a report by Techcabal, expressed concerns about the feasibility of complying with these requirements without compromising users’ experience and privacy, while threatening to exit the Nigerian market, if both parties cannot reach a common ground.
The potential move has however sparked widespread debate as Nigerians and experts weighed in by expressing their views on the matter.
For instance, Dr Abdulfatah Bashir, a X user, applauded the federal government for this brave move, while appealing to the government not to succumb to the pressure by Nigerians. “Please don’t be pressured to reconsider. Sensible Nigerians stand with you on this,” he stated.
A 300-level student of the University of Lagos (UNILAG), who spoke anonymously said, “The same allegation was laid against WhatsApp in the United States (US) and they paid $1.2 billion. This is a violation against Nigerians, WhatsApp should face the law.”
Others beg to differ, as they claim the potential exit of the platform would lead to disruption in daily life and economic activities.
For instance, an X user with the handle @KenWiwa4 said, “Millions will lose their sources of revenue. Does this mean anything to @fccpcnigeria ? There are many consumer-related issues that you should address whether you’re going after a tech firm that’s providing so much service for Nigerians to cut off that service.
“Dear @bosuntijani please address this with FCCPC. WhatsApp is a business and communication platform for many Nigerians. Forcing them to exit the Nigerian market will hurt many young people. At a time of high unemployment, the government cannot take actions that exacerbate the situation.”
In reply to her tweet, Ezinne Amarachi said, “You are doing exactly what Meta wants you to do. These tech companies have paid billions in fines to the European Union for violating the same data and privacy laws. If you doubt it, do a quick Google search. Do you know what Meta does with your data?”
Speaking on this development, a Science, Technology, and Innovation (STI) policy advisor and founder, of Jidaw.com, Jide Awe, explained that, “WhatsApp is now widely used for peer-to-peer transactions, mobile banking, and other financial services. These services would be disrupted by the platform’s possible exit, which would impede attempts to promote financial inclusion and worsen poverty. In addition to the financial ramifications, the social fallout from WhatsApp’s withdrawal is also cause for concern.
“The platform has also proven to be an invaluable resource for community organisation, information distribution, and crisis help. Lack of it would result in a communication void that would have serious effects on social cohesiveness and public safety.”
In its reaction, the FCCPC said WhatsApp’s claim that it may be forced to exit Nigeria due to its recent order appears to be a strategic move aimed at influencing public opinion and potentially pressuring the FCCPC to reconsider its decision.
The FCCPC via its X handle added that it investigated Meta Platforms and WhatsApp (jointly referred to as “Meta Parties”) for allegedly violating the Federal Competition and Consumer Protection Act (FCCPA) and the Nigeria Data Protection Regulation (NDPR).
“The Commission found that Meta Parties engaged in multiple and repeated infringements of the FCCPA and the NDPR. These infringements included denying Nigerians the right to control their data, transferring and sharing Nigerian user data without authorisation, discriminating against Nigerian users compared to users in other jurisdictions and abusing their dominant market position by forcing unfair privacy policies.
“The final order requires Meta Parties to take steps to comply with Nigerian law, stop exploiting Nigerian consumers, change their practices to meet Nigerian standards and respect consumer rights. To deter future violations and ensure accountability for the alleged infringements the FCCPC also imposed a monetary penalty of $220 million.
“The FCCPC’s actions are based on legitimate concerns about consumer protection and data privacy and the order is a positive step towards a fairer digital market in Nigeria. Similar measures are taken in other jurisdictions without forcing companies to leave the market. The case of Nigeria will not be different.”
Meanwhile, the NDPC had stated that it is rounding up its investigation, adding that, “Discussions are on with META, and we will issue our statement very soon.”
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