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Facebook must pay $100.000 to Norway each day for violating our right to privacy

tutanota.com

59 points by hammadmajid 3 years ago · 75 comments

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jsnell 3 years ago

Dupe (on both the primary sources and real reporting, rather than this content marketing with a clickbait headline):

https://news.ycombinator.com/item?id=36756101

https://news.ycombinator.com/item?id=37045185

imiric 3 years ago

> $100,000 per day for a country with ~5.4 million people is a lot. If even 20 percent used Facebook regularly, then that would still be 10 cents per user per day. It's unlikely that Meta is generating so much profit per user - every day.

TFA underestimates the value of user data.

From [1]:

> by the end of 2022, Meta’s [average revenue per user] worldwide was $10.86. While in US & Canada, it was $58.77; in Europe, it was $17.29; in Asia, $4.61 and in the rest of the world, it was $3.52.

$17.29 ARPU, per quarter, comes out at about 19 cents per day. Sure, revenue, not profit, but this is still way above 10c/day.

And this is only in Europe, and it doesn't account for all revenue user data can generate. Once adtech has user data, it can sell it in perpetuity on data broker markets, which is likely where the long tail revenues come from. Long after the user stops using FB, or even if they don't use FB at all (shadow profiles).

So this fine from a small country is just the cost of doing business for Meta. If every EU country did this, and the fines were incremental, then it _might_ cause Meta to rethink their strategy in the EU.

[1]: https://fourweekmba.com/facebook-arpu/

sixhobbits 3 years ago

> The small country of Norway is taking on the tech giant. Will David be able to bring down Goliath?

Kind of interesting that here the *country* is david while the *business* is goliath..

  • vidarh 3 years ago

    Given Norways sovereign wealth fund alone has twice the market cap of Facebook, it's also not very accurate.

  • beardyw 3 years ago

    It's downright insulting. Norway is a country not a mere here today gone tomorrow company.

    • croisillon 3 years ago

      Some companies lasted longer than some countries

      • beardyw 3 years ago

        Norway was established in 872. A bit before Facebook then. If Facebook lasts over 1,000 years I'll buy you a pint.

      • boxed 3 years ago

        Some insects lasted longer than some countries :P

      • NoZebra120vClip 3 years ago

        Cool offhand factoid!

        In 1885 he helped found and lead the Provisional Government of Saskatchewan on land traditionally inhabited by Métis people. After a series of battles that spring, the Provisional Government was defeated by Canadian troops. The country had been in existence for just 62 days. Riel was subsequently captured, convicted and hanged.

petecooper 3 years ago

>$100.000 each day

For clarity & comment skimmers:

TFA uses $100,000 in the subheading and beyond. Some European countries use `.` as a thousands separator, so it's not "a hundred dollars a day".

  • boxed 3 years ago

    I have experienced this pain, and wrote an article about it: https://kodare.net/2021/04/04/safe_number_parsing.html

  • vidarh 3 years ago

    Norway being one of those.

    • anilakar 3 years ago

      Nobody should use punctuation as thousands separator regardless of which side you are on.

      • Filligree 3 years ago

        Commas are punctuation too... so what are you proposing?

        • registeredcorn 3 years ago

          At a guess

          100000

          My personal preference would be: 100000 (monetary symbol), but, I also understand that others might prefer the symbol before the numeric (i.e. $100000), even though you would not say "Dollars one hundred thousand" in English.

        • vidarh 3 years ago

          The closest you get to an international standard (that not many use) is the International Bureau of Weights and Measures recommending (ideally thin) spaces (so "10 000")

        • bondant 3 years ago

          Could use a space or an underscore:

          100 000

          100_000

          • registeredcorn 3 years ago

            Interesting! Do you know of any countries that use the underscore? I believe I've seen France(...?) use spaces as a separator, but I've never come across the underscore.

            Personally I would like some means of breaking up units of triplets that could be used universally. It's frustrating that there isn't a standard across the globe for such crucial means of expression. It wasn't until fairly recently that I learned that the comma wasn't the universal standard.

            • bondant 3 years ago

              I am not aware of any country using the underscore to separate multiple of thousands, I just thought of it because it can be used for that purpose in some programming languages. Ans if it's true that no country is using it, then I guess it could be used as a 'neutral' way of doing it.

          • downvotetruth 3 years ago

            Spaces cause ambiguity with separate values like 123 456. Underscores are ambiguous with missing values due to the common use of a line segment to indicate where to fill out form values in addition to the same separate values issue as spaces.

          • rphln 3 years ago

            How about U+202F NARROW NO-BREAK SPACE?

            1 000 (Narrow nbsp)

            1 000 (Regular nbsp)

            (Assuming HN even allows it.)

          • GhostWhisperer 3 years ago

            why not '

          • jacquesm 3 years ago

            Now you have two problems.

  • veave 3 years ago

    No one uses 3 digits to represent cents, so nobody is going to interpret this as a hundred dollars a day.

adhesive_wombat 3 years ago

Make the fine 1 krone, but double it every day.

SigmundurM 3 years ago

For those who think Norway is small compared to facebook, heres Norway's Wealth Fund in real time: https://www.nbim.no/

o_x 3 years ago

So 36M USD per year? I wonder how that stacks against the profits they make from that market.

  • jacquesm 3 years ago

    Think of it as a starting point. I'm all for applying network algorithms to fines like this: if you don't back off we'll double the fine. Every time it is levied.

    https://en.wikipedia.org/wiki/Exponential_backoff

    And if the company can't pay then the execs are on the hook, everybody with a C-level title or a board seat. I would happily wager this would get even the largest entities into compliance within days, weeks at most.

    • Stranger43 3 years ago

      The doubling of fines was tried successfully against microsoft back in the web 1.0 when they refused to acknowledge the antitrust fine.

      Basically the EU(or even Norway) is way to big a market for advertisements for the industry to just ignore so sooner of later adtech will fold and play nice.

  • icegreentea2 3 years ago

    Meta makes (revenue) ~25 billion a year from EU. Very crudely compensating for Norway vs EU population (~5 vs 450 million), you'd estimate ~250-300 million revenue per year from Norway.

    36M USD per year then works out to like 10-15% of yearly revenue. Meta reports overall operating margin in the 20-30% range, so 10-15% revenue loss is significant, but not immediately deadly... which seems to match the stated intent of Norwegian authorities.

DiabloD3 3 years ago

So what stops Facebook from just banning Norwegian users?

  • retrac 3 years ago

    Getting banned in multiple western countries (this won't be the last case like this I suspect) for refusal to comply with their democratically-valid laws is a great way to end up a corporate pariah.

    Facebook is in a similar showdown right now with the EU, appealing a 1 billion EUR fine: https://www.ctvnews.ca/business/meta-fined-record-us-1-3-bil...

    Their disagreement with the Canadian government is coming to a head too: https://www.ctvnews.ca/business/all-news-in-canada-will-be-r...

    If they choose to only operate in markets which let them operate entirely as they see fit, they may find themselves soon with no markets left to operate in.

    • betaby 3 years ago

      Not related like at all Canadian one. Beside the fact 'governments are not happy.'

  • viraptor 3 years ago

    Money from advertising. Sure, they can cut off everyone who tried to sue them... but won't last long that way. Also they could be still sued for the past non-compliance instead.

  • gmerc 3 years ago

    Google taking the advertising cake.

  • throw5555788o 3 years ago

    Or simply not complying. After all what can Norway do about it? Lol

    It reminds them of the Canada govt trying to make FB pay for news. Ehh... NOPE.

    • jacquesm 3 years ago

      Lol indeed: throw their execs in jail when they transit through a country with which they have an extradition agreement (plenty of precedent for that), freeze or seize their assets, block them at the ISP level (ISPs would have to play ball unless they themselves would want to be come a target).

      The idea that some crap company outranks a nation state with millions of citizens is ridiculous.

      Also: even though Norway isn't part of the EU (though it is in Schengen) they could bring a case in the EU courts and have Meta's assets in Ireland seized. That would really hurt if the court allowed it.

      • throw5555788o 3 years ago

        Trust me, if was a Facebook exec I wouldn't lose ANY sleep over it. Norway has 5 millon people, it doesn't have any leverage and it's largely irrelevant.

        Not to disrespect Norway bros, but it's the truth.

        • jacquesm 3 years ago

          I'm not going to trust you. The EU has shown time and again that it is perfectly capable of dealing with asshole companies and Norway, even though it isn't in the EU has enough standing with the Union and the Nordics separately to get them to take this serious.

          There is probably a reason that you are not a Facebook exec, and no disrespect to you but you are clueless about how large companies interact with the law. They'll scream, they'll sue, they'll haggle and they will delay but ultimately they fold. The same has already happened to big telco's, many large IT companies, industrial giants etc, FB is no exception.

    • gmerc 3 years ago

      I love you one causally goes about “can’t they just violate the law”

      Fuck around and find out Facebook.

    • hdjjhhvvhga 3 years ago

      They can freeze their assets. They can basically do everything you can do against a company that doesn't obey the law.

    • markdown 3 years ago

      They can block FB in their country.

      • XorNot 3 years ago

        They don't have to, is the thing. If Facebook can't operate as a business in their country, then they can't collect advertising revenue there, can't run FB marketplace, etc.

        Facebook has always had the option to not operate as a business in a country, that they do is because it's profitable to do so.

        • Stranger43 3 years ago

          It's worth noting that not paying fines in one country is a serious enough deal for the entire European Economic Area that it can escalate to that company not being allowed to do any trade in the entire EEC.

          And this fine will increase if Facebook dont comply, it's been done before to even bigger targets like Microsoft(back when windows/office was still relevant) so just being big wont save Facebook here.

1vuio0pswjnm7 3 years ago

It's relatively common IME to see cynical, anti-government sentiment from HN commenters. Perhaps these comments are aimed at the US. But stories like this out of Norway show that not all national governments are useless. Some national governments are trying to address the problem of so-called "tech" companies.

quadral 3 years ago

I find it interesting that the _smaller_ countries imposes these restrictions and fines as their way of generating revenue. $100,000 a day I can imagine is a fair bit for Norway.

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