The EU has fined social media and work platform LinkedIn 310 million euros ($335 million) for violating the EU’s data privacy rules.
Ireland’s Data Protection Commission fined the platform over concerns related to “lawfulness, fairness and transparency” of its processing of personal user data for advertising purposes.
The Irish Commission is LinkedIn’s regulator in Europe because that is where the social media platform bases its European headquarters. Additionally, the Irish Data Protection Commission said it carried out an investigation showing that LinkedIn did not have a legal right to gather data targeting its users with online advertisements.
This is a breach of privacy rules known as the General Data Protection Regulation, and LinkedIn has already been ordered to comply with European Union regulations.
LinkedIn answered to the EU
The social media platform already replied to the fine imposed by the European Union. LinkedIn has said it believes it has been in compliance with EU regulations but certifies it is “working to ensure its ‘ad practices’ meet the requirements” imposed by the bloc.
Graham Doyle, the EU’s deputy commissioner, also commented on LinkedIn’s fine. Regarding the right to data protection in the European Union, Doyle said that companies’ processing of personal data “without an appropriate legal basis is a clear and serious violation” of EU laws.
Why do platforms like LinkedIn engage in these types of practices? Personal data collection from platforms like LinkedIn allows the platforms to further optimize the ads users are shown, allowing them to increase their own revenue for successful advertising.
Regulators around the world, especially in the European Union, have been attempting to regulate tech giants such as LinkedIn, Apple, and Google in terms of user data matters for quite some time, but this has proven to be an extremely challenging task.
EU regulators use fines to attain compliance
Irish regulators especially have put their foot down and have used fines as a “mechanism of defense” for social media users as well as a way for ensuring companies comply with regulation.
But why has Ireland in particular gotten so involved? The fact is the island hosts several tech giants in Europe. Some of the bigger names that base their operations in Ireland are Microsoft, Apple, Google, Meta, and of course, LinkedIn.
This has allowed Irish regulators to impose a series of fines against some of the largest companies in the world. For instance, in September 2024, the EU fined Meta 91 million euros for failing to protect user’s password data and taking too long to report the issue to the EU.
The European Union has had trouble successfully imposing certain fines. For instance, an EU court recently scrapped a 1.49 billion euro fine imposed by the bloc against Google for its dominance in online advertising. We should expect the EU to impose more fines like that on LinkedIn as it keeps investigating dubious tech giant practices.