It was recently reported that Meta might shut down Facebook and Instagram across Europe due to data regulations.
Indeed, European data regulations might be preventing Meta from transferring, storing, and processing Europeans’ data on US-based servers. The US Securities and Exchange Commission warned Meta that if no new framework was adopted, then the company wouldn’t be able to use the current model of agreements. As processing user data between countries is vital for business, it would be very harmful to the company.
Meta is then working on a new agreement in the year but if not, it will be unable to provide its products and services, including Facebook and Instagram, in Europe. The company has also stated that it was following European rules and relying on Standard Contractual Clauses and data safeguards as well as closely monitoring the potential impact on European operations.
At the moment, the priority is to secure a new arrangement for safe transatlantic data flows between Meta and its US partners. Negotiations are thus underway between Commissioner Reynders and the US Secretary for Commerce, Gina Raimondo.