Facebook Inc (NASDAQ:FB) regulators from Europe were hoping to close a deal with the U.S. Company to authorize sharing of data from the Whatsapp messaging app.
The deal explained
Facebook acquired Whatsapp in 2014. The European Union’s 28 data protection authority had made a request to Whatsapp to stop sharing its users’ data with Facebook. This was due to queries raised on the validity of users consent.
Helen Dixon, the Data Protection Commissioner in Ireland is also the lead EU regulator on the private issues for Facebook. This because the company’s European Headquarters are based in Dublin. She stated that she hopes a final resolution is arrived at before the end of summer.
Dixon said, “I think we are in agreement with the parties – WhatsApp and Facebook – that the quality of the information provides to users could have been clearer.” She added that this could have been more transparent and expressed in much simpler terms. The regulators are working to find a solution for the queries in the next few months.
Concerns behind WhatsApp sharing data with Facebook
WhatsApp sharing users’ data with Facebook is an issue the EU addressed last year after requesting Whatsapp to stop sharing their European users’ data with Facebook over private concerns.
There has been growing concerns over the privacy and user data in the last few years. It is therefore not too surprising that the EU has expressed their displeasure in the sharing of data between Facebook and Whatsapp.
Agreement between Facebook and its EU regulators
Facebook and Europe regulators are working to achieve a plan that will benefit both parties. However, it is not yet clear how that is going to affect users or if it is going to stay that way until the end of summer.
The agreement may be finalized sometime between June and the end of August. Both parties are expected to continually work on a possible solution. Users concerned about the privacy of their data may rest a little easier in the coming couple of months after a plan is enacted.
Facebook stock closed in at $139.58 after declining with $0.34 or 0.24%.
