[HN Gopher] Amazon Gets Record $888M EU Fine over Data Violations
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       Amazon Gets Record $888M EU Fine over Data Violations
        
       Author : Reventlov
       Score  : 317 points
       Date   : 2021-07-30 11:56 UTC (11 hours ago)
        
 (HTM) web link (www.bloomberg.com)
 (TXT) w3m dump (www.bloomberg.com)
        
       | neonate wrote:
       | https://archive.md/Uc2bg
        
       | betaby wrote:
       | Are those fines really collected? I know Russia has troubles
       | collecting fines say from Twitter. Google always successfully
       | "negotiate" them way down.
        
         | doikor wrote:
         | With the amount of physical assets and business Amazon has in
         | the EU it will be easy to enforce the collection. The other
         | option is to confiscate the warehouses and data centers and
         | sell those to pay the fine.
         | 
         | Also I'm not sure how Luxembourg laws work but here in Finland
         | the government would just declare that company bankrupt and
         | take all of their stuff to pay the fine. (Company not paying
         | their bills in time is grounds for bankruptcy).
         | 
         | This is also the easiest way to get a company to pay what they
         | owe you. Just send a notice of wanting to declare the company
         | bankrupt to the courts for not paying usually leads to the bill
         | getting paid in a day or two. This has actually happened to
         | some really large companies (mainly insurance companies that
         | did not want to pay after losing in court when disputing their
         | insurance decisions)
         | 
         | Twitter in Russia is very different as they do not have any
         | physical assets there.
        
           | eitland wrote:
           | > (Company not paying their bills in time is grounds for
           | bankruptcy).
           | 
           | Same here in Norway from what I hear:
           | 
           | Even if you can prove that you have the money tomorrow if
           | your taxes are due today and you don't pay they make you
           | bankrupt.
           | 
           | Simple as that, they rather take the loss and know that no
           | one "forgets".
        
         | whoknowswhat11 wrote:
         | These cases are often ridiculous political statements - so they
         | get appealed and the fines knocked way down.
        
       | sproketboy wrote:
       | Pocket change.
        
       | neals wrote:
       | That's one way of paying taxes ...
        
         | yourenotsmart wrote:
         | While from purely monetary perspective this seems like it tips
         | the scales more to a balance, from systematic perspective, this
         | is more corruption on top of corruption.
         | 
         | You have politicians colluding with businesses to save them a
         | billion in taxes, contrary to the intent of the law. Then you
         | have the same politicians colluding to basically go pirate and
         | surprise fine the same business a billion for some semi-
         | arbitrary violation out of nowhere.
         | 
         | There's no system here, no law, just both sides one-upping
         | themselves in being absolute fucking assholes.
         | 
         | The result is instability and environment not conductive to
         | businesses or the people that makes them up.
         | 
         | Think about it, how come everything is fine, and then out of
         | the blue you get sued for a billion? Was there a warning? Was
         | there a grace period, a chance to rectify things? No.
         | 
         | This is not law enforcement, this is law abuse. It's like the
         | US cops that stop random cars, and if the driver carries cash,
         | they just take it under bullshit pretense.
         | 
         | We're moving towards an anarchy, under the guise of justice.
        
           | p_j_w wrote:
           | >you have the same politicians colluding to basically go
           | pirate and surprise fine the same business a billion for some
           | semi-arbitrary violation out of nowhere.
           | 
           | Your wording here implies that you think this fine is not
           | justified and is nothing more than a shakedown against
           | Amazon. Am I misunderstanding here or is that really what
           | you're saying?
        
           | himinlomax wrote:
           | > n you have the same politicians colluding to basically go
           | pirate and surprise fine the same business a billion for some
           | semi-arbitrary violation out of nowhere.
           | 
           | I work for an online retailer that's not Amazon, we took GDPR
           | very seriously and have as a result stopped collecting a lot
           | of data and spent months implementing compliance. It seems
           | Amazon has done next to nothing compared to what we did and
           | chose instead to ignore the issue. It's absolutely no
           | surprise what's happening to them, it's precisely what our
           | legal department warned us about. Are you saying that Amazon
           | should be above the law?
        
           | einpoklum wrote:
           | > how come everything is fine
           | 
           | I doubt everything was considered to be "fine".
           | 
           | Also, the assumption that a grace period is due assumes that
           | such behavior is only marginally inappropriate. Suppose
           | Amazon was reading its customer's email; would you also argue
           | that it needs a "grace period" after a demand to stop doing
           | that before it actually stopped?
        
           | james_in_the_uk wrote:
           | It wasn't out of the blue. This complaint has been ongoing
           | for a long time. Regulators have been vocal about these
           | concerns for a while. Discussion of these issues,such as how
           | the ad industry is at odds with privacy activists and
           | increasingly regulators too, are common across various
           | academic and industry forums. Amazon will have taken expert
           | legal advice and likely have been involved in lobbying at all
           | levels. Regulators typically have carefully constructed
           | action policies which cover a range of measures, including
           | warnings, which may well be delivered privately. Not
           | everything that happens in the world makes the front page of
           | Hacker News :)
        
           | ectopod wrote:
           | Do you think Amazon wasn't using personal data contrary to
           | European data protection law?
        
             | saddlerustle wrote:
             | Do you think European data protection law actually prevents
             | much tangible consumer harm?
        
               | denton-scratch wrote:
               | Do you answer straight questions, or do you just keep
               | changing the subject?
        
               | chopin wrote:
               | The law presumably would if it was properly enforced.
        
               | yourenotsmart wrote:
               | Do you know what the phrase "throw the book at them"
               | means.
               | 
               | It means you have a rich set of laws, which punish
               | various offenses which look fine on paper, but in
               | practice everyone violates just to do their regular job,
               | so they're widely not enforced.
               | 
               | But if you want to fuck someone in particular, you can
               | easily find them in violation of a dozen or two of them,
               | and put them in jail for a long time or fine them
               | substantial amounts.
               | 
               | You threw the book at them.
               | 
               | This is basically what most of EU's data privacy, cookie
               | and so on laws are about, in practice.
               | 
               | It's interesting how you can take a collection of
               | seemingly or genuinely good-intentioned rules and use
               | them to basically rule as a king, but there you go.
               | 
               | And it's not a good thing.
        
               | mrweasel wrote:
               | That not really how, at least some, European countries
               | work. Laws are written and companies are generally
               | expected to follow them. We're try to catch up, going
               | from an society where rules are followed, without the
               | need for actual enforcement, to one where companies don't
               | follow the law unless the court makes it unprofitable.
        
               | yourenotsmart wrote:
               | Are companies expected to follow laws the day they get
               | signed, even if it might take over an year to implement
               | compliance? Think about it. Because here's what happened:
               | 
               | > The penalty is the result of a 2018 complaint by French
               | privacy rights group La Quadrature du Net, which filed
               | numerous lawsuits against Big Tech companies on the
               | behalf of 12,000 people shortly after the GDPR was
               | established that year.
               | 
               | This privacy group waited for the law to get signed, and
               | promptly sued every big company that clearly handles user
               | data.
               | 
               | Do you think finding everyone a billion or two would help
               | them come up with a time machine and go back in time to
               | implement a law before it exists so they're compliant by
               | the time it's signed? Curious.
        
               | denton-scratch wrote:
               | The GDPR was enacted two years before it came into force.
               | Companies trading in the EU had _plenty_ of time to come
               | into compliance.
               | 
               | LQDN didn't "wait for the law to get signed" - it was
               | signed ages ago. They waited until it was enforceable.
               | 
               | It's worth pointing out that the GDPR is an EU
               | "regulation". It doesn't have to be ratified by member
               | states, and they don't have to implement some kind of
               | compliant national legislation. This is very different
               | from the previous EU privacy legislation, which required
               | member states to enact suitable laws, which many of them
               | were apparently reluctant to do.
               | 
               | The GDPR came into force the day the regulation was
               | issued. It's just that "came into force" means that the
               | 2-year breathing-space provided for in the regulation
               | began at that time.
               | 
               | [Edit: changed 3 years to 2 years]
        
               | Symbiote wrote:
               | "The GDPR was adopted on 14 April 2016 and became
               | enforceable beginning 25 May 2018."
               | 
               | They had two years from when the law was made.
        
               | input_sh wrote:
               | If we're talking about GDPR, it came into effect on 25
               | May 2018, after being adopted by the European Parliament
               | on 14 April 2016.
               | 
               | That's two years, one month, and 11 days for
               | implementation. Those additional days are days after it
               | was published in the EU's Official Journal. It's not EU's
               | fault that companies waited until 2018 to give a fuck
               | about it.
        
               | ithinkso wrote:
               | You'd think that if this was a legit defense they would
               | use it in court, instead of "There has been no data
               | breach, and no customer data has been exposed to any
               | third party" clinging to anything irrelevant, as I'm sure
               | they don't hire incompetent lawyers waiting for an online
               | poster to come up with a solution
               | 
               | I think GDPR discussions are always heated on the 'EU vs
               | US' line because of different approach to trust in the
               | govt. In the EU people tend to (surprisingly maybe) trust
               | politicians more because they at least want to be re-
               | elected and distrust corporations/billionaires because
               | they want to increase profit. In the US, I think, it's
               | different, there is a distrust in the government because
               | they are here to get us and more trust (surprisingly
               | maybe) in corporations/billionaires because they are just
               | like me working hard to earn money
        
               | [deleted]
        
               | himinlomax wrote:
               | > Do you know what the phrase "throw the book at them"
               | means.
               | 
               | It's perfectly reasonable to throw the book at them,
               | because unlike their competitors they don't seem to have
               | made even a token effort to begin compliance.
               | 
               | If they didn't have the book thrown at them, people would
               | complain that the law is toothless.
               | 
               | I've worked for two companies that had to implement GDPR,
               | in both cases the legal departments were extremely
               | serious about it and we had to do a lot of work to
               | comply. Why should Amazon get a pass?
        
             | shuntress wrote:
             | I think the parent's point is that in a more well-
             | functioning system Amazon would be given notice and time to
             | rectify their presumably mistaken wrong-doing which they
             | would then appropriately rectify in good faith or to avoid
             | penalties.
             | 
             | The parent is pointing out how the current system
             | incentivizes "surprise" fines as an alternative to up-front
             | tax and how this dynamic trends towards fines being seen as
             | a simple cost-of-business rather than a true
             | penalty/punishment.
        
               | abeppu wrote:
               | Why are they '"surprise" fines'?
               | 
               | GDPR was published and companies had time to get ahead of
               | it before it went into effect. There were special recital
               | sessions where guidance was given for what parts of it
               | meant. Many companies put into place a lot of changes to
               | comply. Yes, parts of GDPR could be a little ambiguous,
               | but as with every law, a company can be more or less
               | conservative in making sure they're above reproach.
               | 
               | Why should violations be "presumably mistaken" if a
               | company has a legal department and the resources to
               | comply with the law? If the speed limit is posted, I
               | don't expect a cop to give me a warning when I've
               | exceeded it under the assumption that it was inadvertent,
               | and give me a reasonable period to come into compliance.
        
               | himinlomax wrote:
               | Yeah that's not how GDPR is written, there's no provision
               | for notices, that's the law and it's available to
               | everyone to read.
               | 
               | All of Amazon's competitors, including my employer, have
               | spent a lot of money and energy to comply. Why Amazon
               | decided to just ignore what everyone else knew was a big
               | deal is beyond me.
        
               | shuntress wrote:
               | > this dynamic trends towards fines being seen as a
               | simple cost-of-business rather than a true
               | penalty/punishment
               | 
               | I'm sure they ignored it because they thought they would
               | make more money that way.
               | 
               | Edit: Also, to be clear, by "system" here I mean the
               | overall environment not specifically the EU or the GDPR.
        
             | cblconfederate wrote:
             | We could broaden the conversation and also ask who are the
             | people who got harmed to the tune of $1B, and how they will
             | be redressed for that harm
             | 
             | The point is not the legal matter at hand but the nature of
             | the law itself and how it came to be. As much as i like
             | that we don't get spam calls anymore in the EU, the problem
             | was pushed under the rug, not solved (all the spam calls
             | are now from UK numbers). The bigger problem is that while
             | the legislators legislate for putting restrictions on eu
             | businesses, they have not legislated an equal amount that
             | would be conductive to business in the eu.
        
         | AmericanChopper wrote:
         | In reality, it's one way of implementing a tariff.
        
           | ithinkso wrote:
           | As long as fines are priced into the cost of doing shady
           | business they'll be paid. Hopefully they will rise enough so
           | that it's no longer profitable to risk them - we'll see then
           | if the 'tariffs' as you call them will continue or will they
           | stop
        
             | AmericanChopper wrote:
             | They will never stop, because the regulations are written
             | so broadly that essentially any business could be found in
             | breach of them.
             | 
             | The EU's service sector is massively uncompetitive, and
             | most of its regulation of this sector has been designed as
             | either a tariff or just a general barrier to trade. In
             | every GDPR related thread people complain that the law is
             | not achieving its objectives (which you're almost doing
             | here also, with your "maybe it will eventually work"
             | comment), but the law is doing exactly what it's designed
             | to do. It's implementing trade barriers (a generally
             | unpopular type of policy), and generating popular support
             | for them (by dressing them up as privacy regulations).
        
               | frockington1 wrote:
               | The EU's service sector will continue its downward spiral
               | as these regulations increase. They are building an ever
               | widening mote for US Tech giants and calling it a win for
               | the people
        
               | ithinkso wrote:
               | > In every GDPR related thread people complain that the
               | law is not achieving its objectives (which you're almost
               | doing here also, with your "maybe it will eventually
               | work" comment), but the law is doing exactly what it's
               | designed to do.
               | 
               | I think you might be misinterpreting those comments. It's
               | not that hard to follow GDPR, what's hard is to work
               | around it. If you want to do exactly what you did before
               | but you want to weasel your way around GDPR it's not
               | impossible, unfortunately, but harder.
               | 
               | And people are complaining about it not achieving its
               | objectives precisely because you can weasel your way
               | around and that's why we have those stupid 'Accept all
               | cookies' huge buttons and 'Change settings' small ones,
               | that later change to another big 'Accept all' and even
               | smaller 'reject'.
               | 
               | Stop selling user's data without their consent and GDPR
               | is a breeze to be complaint with. Try still selling it,
               | eliciting the consent via dark patters, and complain how
               | hard and complicated it is.
        
               | AmericanChopper wrote:
               | > Stop selling user's data without their consent and GDPR
               | is a breeze to be complaint with. Try to still sell that,
               | eliciting the consent via dark patters, and complain how
               | hard and complicated it is.
               | 
               | So it should be safe to entirely dismiss your comment on
               | the basis that Amazon in this case hasn't even been
               | accused of providing data to a 3rd party, let alone
               | selling it?
        
               | ithinkso wrote:
               | Selling/collecting - I'm glad that GDPR seems to treat
               | them at almost equal footing, even harder to prosecute if
               | you leave a huge backdoor
               | 
               | It's my data - fuck off, I'm interested in the business
               | you're offering, not increasing your bottom-line at the
               | expense of my privacy and especially I don't want to have
               | a profile of me created just because you can. If I
               | haven't consented to it, you won't do that - simple as
               | that
        
               | AmericanChopper wrote:
               | It hasn't been accused of the wrongful collection of data
               | either. Not that hard to follow for sure...
        
         | amelius wrote:
         | > That's one way of paying taxes ...
         | 
         | But the EU hasn't figured out how to apply this technique to
         | Apple yet ...
        
         | frankfrankfrank wrote:
         | Ironically, you may not realize how accurate that is because
         | the amount that will end up being paid is far far less after
         | all the bribing and court cases and buying off/buttering up
         | politicians and judges, etc.
         | 
         | It would be worth it for some government accountability group
         | to track just how much the difference is between the fine
         | levied and the amount paid. It's literally never the amount
         | published so the people are assuaged.
        
           | ithinkso wrote:
           | > you may not realize how accurate that is because the amount
           | that will end up being paid is far far less after all the
           | bribing
           | 
           | Sources? (Actually curious if there is some published
           | statistics)
           | 
           | Bureaucracy with all it's faults still has quite a lot of
           | checks and balances that have to add up so I wonder how many
           | appeal results are there that are not as interesting as the
           | first fines reported
        
       | high_byte wrote:
       | as stock owner I can still safely lol at this.
        
         | wutwutwutwut wrote:
         | At what? Amazon having to pay a large fine for illegal
         | activities?
        
           | high_byte wrote:
           | large for once but insignificant at the same time.
        
             | qwertox wrote:
             | >large for once but insignificant at the same time.
             | 
             | This is beside the point.
        
             | wutwutwutwut wrote:
             | Laughing because the company you invested in has committed
             | illegal activities and has to pay $888M seems strange to
             | me. Not a high standard to set for your investments.
        
               | high_byte wrote:
               | amazon is a good investment and remains so. it does not
               | derogate from the two facts, 1. karma and 2. the world
               | isn't fair, as in this is a few days profits. comparable
               | to you getting few thousand dollars fine for breaking the
               | law.
        
               | dcow wrote:
               | That doesn't matter. As a shareholder there is absolutely
               | no way this helps your stock price. While you may not be
               | crying it doesn't make any sense to "lol" at it either.
        
             | bildung wrote:
             | Are you aware that the fines continue to grow until Amazon
             | complies?
        
       | afrcnc wrote:
       | Non-paywalled report: https://www.politico.eu/article/amazon-
       | fined-e746m-for-viola...
        
       | EthOptimist wrote:
       | Interesting to compare this to the $3B anti monopoly fine against
       | Alibaba recently
        
       | cpufry wrote:
       | eh, tips scales towards balance and onwards we go.
        
       | BurningFrog wrote:
       | To me, these fines feel really arbitrary, and like the EU taxing
       | US tech giants "through other means".
       | 
       | What's the clearest evidence I am wrong?
        
         | PedroBatista wrote:
         | The evidence that you're wrong starts by the fact you already
         | started from the "We" are the winners and "They" are the
         | losers, so "They" are playing dirty and "We" are the real
         | victims here.
         | 
         | If you haven't read the investigation documents and ruling ( as
         | I didn't ), the most we can do is having a hunch and googling
         | Amazon's past and track record in everything from business
         | tactics to employee policies, I think no one is surprised they
         | have problems with the law.
         | 
         | And speaking of law, each place has their own laws, customs and
         | views on how society should look.
        
         | igorkraw wrote:
         | Usually the burden of proof is with those making the
         | accusations
        
         | richwater wrote:
         | Why do you think EU tech companies are nonexistent?
        
           | laurent92 wrote:
           | Because they have mild success only. DailyMotion is great as
           | #2, but Youtube is about 1000x bigger. Other startups exist,
           | but are far from Apple-style success. Who would let any
           | company own a campus anyway.
        
             | bildung wrote:
             | If "tech giant" equals "web advertising platform", then
             | sure. But there are quite a few big physical tech companies
             | within the EU. Bosch and Facebook have about the same
             | revenue, for example. ZF Friedrichshafen, a company noone
             | has heard of, has double the revenue of Youtube.
        
               | frockington1 wrote:
               | I wouldn't call making dishwashers tech. I'm not
               | disparaging, I love how quiet my Bosch is, but I would
               | classify it as an industrial company not a technology
               | company
        
               | borodi wrote:
               | You should probably read more about the other things
               | Bosch does i.e the entire automotive part of it.
        
               | valenceelectron wrote:
               | They do more than that, e.g. IoT and PaaS stuff:
               | https://developer.bosch-iot-suite.com/ Also, when
               | googling I found this: https://tpl.informatik.uni-
               | stuttgart.de/wp-content/uploads/2...
               | 
               | Don't know how successful these endeavors are.
        
               | bildung wrote:
               | Bosch is quite big, they are also a major supplier of the
               | things e.g. a Tesla is made off, e.g. of the hardware
               | behind the self driving functionality. And health tech
               | like germ detection.
        
           | denton-scratch wrote:
           | ARM Holdings.
        
             | mritun wrote:
             | ARM holdings is owned by a Japanese fund and being sold to
             | a US corporation.
             | 
             | European salaries are paltry in comparison to US and the
             | businesses are either stagnant (Bosch) or dying off except
             | for a few successful ones that are being sold off to either
             | Chinese conglomerates (Volvo) or USA/Japan (ARM holdings)
        
         | mpweiher wrote:
         | The EU's focus on data protection, particularly the German
         | view, which is to a large extent that which now prevails at the
         | EU level (though the others were very similar), predates the
         | existence of these tech companies. By a huge amount.
         | 
         | In Germany, it is considered a "Grundrecht", a "basic right" of
         | constitutional rank.
         | 
         | https://de.wikipedia.org/wiki/Datenschutz#Deutschland
        
         | bildung wrote:
         | It's actually pretty easy to see the pattern, isn't it? The US
         | tech giants' business models most often are based on data usage
         | that is inherently incompatible with GDPR (Most are
         | esssentially advertisers). And apparently most of these
         | companies continued that practice despite the GDPR.
         | 
         | Most EU tech giants are B2B and mostly don't have this problem
         | in the first place.
        
           | mpweiher wrote:
           | Yes, in the EU a company whose business model is violating
           | its users' privacy rights (and those existed pre GDPR) would
           | never have gotten off the ground.
        
             | jefftk wrote:
             | https://en.wikipedia.org/wiki/Criteo ?
        
       | whitepaint wrote:
       | How are the size of these fines determined?
        
         | mhitza wrote:
         | > How much can an organization be fined for a GDPR violation?
         | The GDPR allows the EU's Data Protection Authorities to issue
         | fines of up to EUR20 million ($24.1 million) or 4% of annual
         | global turnover (whichever is higher).
        
           | eitland wrote:
           | Importantly however they'll often first contact the company
           | to ask them to fix the problem first instead of going
           | straight to fines.
        
           | theshrike79 wrote:
           | And the best part is that the fine is calculated according to
           | the parent company, so you can't create a subsidiary to
           | handle all the iffy GDPR stuff and have it work with 0
           | turnover.
           | 
           | So if any of Google's properties F's up, the fine is
           | calculated from Alphabet's annual turnover.
        
         | vdfs wrote:
         | Usually in way that doesn't hurt the company or make it change
         | it's behavior
        
       | mpweiher wrote:
       | Begun the GDPR wars have.
       | 
       | Popcorn ready.
       | 
       | But seriously, the industry has largely been in a Wil-E-Coyote
       | moment ever since GDPR came into force, because most of the
       | "standard practices", and for companies like Facebook and Google
       | their business model, became illegal at that moment.
       | 
       | The industry reaction has been to mostly ignore it and carry on
       | as always, running on air and making sure not to look down. Oh,
       | and trying to their best to annoy users by running nasty and also
       | mostly illegal "consent popups", in an attempt to do a repeat of
       | the very successful campaign against the cookie directive.
       | 
       | I don't think it will work this time around, because the EU
       | learned from their earlier mistake, and specifically came up with
       | fines that will really, really sting.
       | 
       | As far as I know, cases against Facebook are currently making
       | their way through the system (not sure about Google, but they are
       | also guilty as can be), but haven't resulted in a ruling and fine
       | yet.
       | 
       | Immovable business model, meet irresistible regulation.
       | 
       | Popcorn ready.
        
         | singlow wrote:
         | The EU is not going to get into a war because it doesn't have
         | any countries capable of fighting a war. The GDPR is not
         | powerful because as much as they think they can extract revenue
         | from a multinational company, the pacifist EU countries don't
         | have the power to enforce it at scale. China, Russia and the
         | U.S. aren't going to help them enforce the GDPR. If the
         | companies don't like it they will just ignore it and exclude
         | the EU from the world economy.
         | 
         | The EU will moderate its enforcement to a degree that is
         | tolerable by the companies to avoid any major conflicts.
        
           | denton-scratch wrote:
           | What's this about war? Who mentioned war? The EU is not
           | fining a nation-state with an army; it's fining a corporation
           | with EU subsidiaries and assets.
           | 
           | If you want to trade in a place, you either obey the laws of
           | that place, or you shut down operations there, or you get
           | fined.
           | 
           | Are you suggesting the USA might use armed force to prevent
           | the EU fining Faceache? I don't think I've heard even
           | nativist nuts suggesting anything remotely like that.
        
             | singlow wrote:
             | The post I replied to:
             | 
             | > Begun the GDPR wars have.
        
               | denton-scratch wrote:
               | Oh, OK - I read the OP as referring to _HN_ , so I didn't
               | get your satire!
        
       | winrid wrote:
       | I guess they are Stanley Parable fans.
       | 
       | https://youtu.be/oV-nDRkhgvk
        
       | grumblenum wrote:
       | >$ _888_ M
       | 
       | Google, is that you?
        
         | hu3 wrote:
         | Haha. Is that a reference to Google's DNS 8.8.8.8?
         | 
         | https://developers.google.com/speed/public-dns
        
           | grumblenum wrote:
           | Exactly!
        
       | talentedcoin wrote:
       | As long as GDPR exists, a European tech company than can
       | challenge FANG dominance will never emerge.
        
         | pyrale wrote:
         | There are many other reasons why large tech companies have a
         | hard time emerging in Europe. One could argue that none of the
         | really big tech companies that emerged in the US is recent
         | either.
         | 
         | So it makes sense, if companies can't be helped, for EU to at
         | least try to protect the consumers.
        
           | adventured wrote:
           | > One could argue that none of the really big tech companies
           | that emerged in the US is recent either.
           | 
           | That can't be reasonably argued. The US has dozens of large
           | tech companies that have emerged more recently than the
           | classic big tech giants. The EU, or Europe more broadly, has
           | exceptionally few.
           | 
           | More recently, for large tech companies, is the past ~20
           | years. It typically takes a long time to become worth $20
           | billion or $50b or $100b. That time frame _excludes_
           | Microsoft, Apple, Google, Amazon, Netflix, Adobe, Cisco,
           | Intel, Oracle, Nvidia, AMD, Dell /Emc, Vmware, Salesforce,
           | PayPal, Applied Materials, Texas Instruments, Qualcomm,
           | Broadcom, Verisign, Intuit, IBM, HP, Autodesk, eBay, Booking,
           | Expedia, Cadence, Marvell, Micron, Lam, KLA, Western Digital,
           | Seagate, among many others.
           | 
           | So what exists from the past 20 years for the US?
           | 
           | Facebook, Zoom, Tesla, SpaceX, Workday, Twilio, DataDog,
           | Cloudflare, Splunk, DocuSign, ServiceNow, Snowflake, Square,
           | Coinbase, Stripe, Airbnb, Uber, Lyft, Roku, MongoDB,
           | Pinterest, Twitter, Snapchat, CrowdStrike, Palo Alto
           | Networks, Zscaler, Okta, The Trade Desk, Teladoc, Veeva
           | Systems, Dropbox, DoorDash, Unity Software, Etsy, DraftKings,
           | Palantir, Proofpoint, Zillow, Qualtrics, Roblox, Robinhood,
           | HubSpot, Five9, Zendesk, Coupa Software, Sofi, AppLovin (and
           | I've probably missed a few)
           | 
           | Most of these companies have solid growth profiles and will
           | be far larger in ten years than they are today. Beyond that
           | are dozens of single digit billion dollar tech companies born
           | in the past 20 years that will join that list.
           | 
           | The EU should also be asking itself why Atlassian and Shopify
           | didn't originate there instead of Australia and Canada. Why
           | didn't UiPath move its HQ to Berlin or Paris instead of NY?
           | Why didn't Elon Musk start SpaceX or Tesla in the EU? Why did
           | the Collisons build Stripe in California? Why is the EU
           | competition for AWS companies like Hetzner, OVH and Scaleway
           | (which are actually DigitalOcean peers)? One may not like
           | Bezos, however he's going to push tens of billions of dollars
           | into attempting to build up Blue Origin, where's the EU
           | comparable by one of their zillionaires? All the biggest US
           | fortunes are first generation and in technology, except for
           | Buffett. The biggest EU fortunes are in fashion, cosmetics,
           | retail. That's representative of the EU being left behind,
           | stagnant.
           | 
           | The US badly beat Europe in the IBM-HP-Fairchild era. The US
           | badly beat Europe in the Apple-Microsoft-Intel era. The US
           | badly beat Europe in the early Internet & Web era (Google,
           | Amazon, Netflix, Nvidia, Cisco). The US is badly beating
           | Europe in the cloud era.
           | 
           | And that's understating things. It's not a race. The EU isn't
           | even participating, they're stretching on the sidelines,
           | watching the US and China compete to see who can build the
           | largest tech companies (China's tech companies are largely
           | locked inside of China, and that's about to get worse, so the
           | US will win that contest). There's no indication that the
           | Europeans have figured out how to compete, how to scale
           | quickly through their own markets and then rapidly push
           | globally to win markets before the US companies do. So far
           | all they've come up with is top down command schemes whereby
           | countries like France think they can will an AWS competitor
           | into existence magically, or alternatively they scheme to use
           | regulatory capture to entirely avoid having to compete.
        
       | 908B64B197 wrote:
       | It seems to be popular for European bureaucrats to bash on "evil
       | foreign tech giants".
       | 
       | I suppose if you can't grow tech at home, the next best thing is
       | to regulate and tax it as much as possible.
        
         | nolok wrote:
         | There is a law. You respect it, otherwise there is a fine.
         | 
         | Are you saying european companies that are leaders in their
         | fields should not be fined by the US if they disregard its law
         | when doing business there ? If yes, you should inform the US.
         | If not, then you're being an hypocrite.
        
         | boudin wrote:
         | So, according to you, european countries should not be able to
         | have laws and apply those? Companies like Amazon, Apple,
         | Facebook and Google should not be regulated? They should be
         | able to do whatever they want to do? Still seeing people in
         | support of such imperialism is quite sad to be honest..
        
       | stacker8888 wrote:
       | Just forwarded this news to my executive team who held up my
       | attempts at getting us GDPR and CCPA compliant for 8 months last
       | year. They said the laws were 'toothless'. Happy to be proven
       | correct!
        
       | londons_explore wrote:
       | Unpopular opinion:. It should be illegal to _not_ use purchase
       | history to make better ad placements.
       | 
       | Forcing companies to not use all the information at their
       | disposal to make business decisions leads to worse decisions. It
       | would be like a superstore not being allowed to see the
       | demographics of the area the store is located when deciding if
       | they should stock more types of toys or false teeth. Clearly the
       | families will likely be interested in toys, while the retirees
       | want false teeth. Forcing families to hunt through aisles of
       | false teeth is wasting their time, reducing the businesses
       | revenue, and is bad all round.
       | 
       | "We're just taking money from the megacorps" isn't true - you're
       | also forcing every user of a website to get a worse experience,
       | sometimes severely to their detriment.
        
         | simion314 wrote:
         | You are clearly uninformed, This companies need to ask
         | permission.
         | 
         | So a few Google, Ms, Amazon devs could put their brains to
         | work, create a standard for people like you to get a beaut full
         | experience, you could give them permissions to watch your
         | browsing, access your health data, listen to your microphone,
         | scan your files, data mine your images and social posts. You
         | could even help this nice companies by filling a form where you
         | tell them what kind of ads you want to see, what things you
         | like, what you hate.
         | 
         | The only problem is that either there are few people like you
         | that want to give permissions, the giants don't want to share
         | the profits and for sure don't care about your experience, or
         | this giant devs are incompetent or are focusing on easy
         | projects like throwing some npm modules to some source
         | code/social posts/images and prentend they made an AI
         | developer/writer/artist etc.
         | 
         | TLDR GDPR asks for permissions, you can just click Accept ALL ,
         | after you clicked Accept All and the ads are still garbage then
         | is not EU fault that Amazon devs that work on ads are
         | incompetent or are optimizing for the thing you don't care.
        
         | inetknght wrote:
         | > _Unpopular opinion_
         | 
         | Very.
         | 
         | > _It should be illegal to not use purchase history to make
         | better ad placements._
         | 
         | I'm not sure about legality but I think your argument should be
         | made to stock regulators. I don't agree with it but I can
         | certainly see your argument, on the face of it, has merit. I
         | also think it's distasteful and wrong and I don't care to
         | elaborate on that.
         | 
         | > _Forcing companies to not use all the information at their
         | disposal to make business decisions_
         | 
         | There are plenty of laws which force companies to not use all
         | of the information at their disposal. Privacy laws, for
         | example, are set to help _people_ (not necessarily _customers_
         | ) have a better life. Corporations don't have a right to profit
         | from people who don't wish to be profited from.
         | 
         | > _you 're also forcing every user of a website to get a worse
         | experience, sometimes severely to their detriment._
         | 
         | I fully disagree. I don't believe that using customers'
         | purchase history guarantees in any way that the customer's
         | experience will be better. The only thing it's likely to
         | guarantee is a more profitable company. The two metrics may be
         | correlated but they're not causal.
        
         | eitland wrote:
         | Seing how unreasonably bad Googles ad quality was the first
         | decade after buying DoubleClick I don't buy this.
         | 
         | For a decade Google threw away information about what I
         | searched for or what website I visited and presented generic
         | "dumb male age 20 - 40" ads to me. They still do sometimes if I
         | browse without adblocking enabled.
        
       | pjc50 wrote:
       | Well, that's not chicken feed, even for Amazon. Still a bit light
       | on detail?
       | 
       | The original complaint is linked from
       | https://www.laquadrature.net/en/personnal-data/ - it's in French
       | https://gafam.laquadrature.net/wp-content/uploads/sites/9/20...
       | 
       | The lack of publicity or even publicly available copy of the
       | ruling is odd. I guess the choice of Amazon to reside in one of
       | the secretive tax haven jurisdictions of Europe has the side
       | effect that it also has a really secretive information
       | commissioner.
        
         | thepangolino wrote:
         | In most European countries court rulings are quite hard to get
         | a hold off.
        
           | doikor wrote:
           | Not they are not. They are public records in most. Luxembourg
           | is one of the few exceptions.
           | 
           | They might not be available online but can be ordered from
           | the court clerk (which is the case here in Finland for
           | example) but the 2 largest EU countries (Germany and France)
           | has them online for free.
           | 
           | Though as most European countries are not using a case law
           | system the actual value of getting these is not that
           | important for lawyers etc.
        
             | corty wrote:
             | In Germany you do not get all the cases, just the ones the
             | courts deem important enough. E.g. if the ruling is
             | different from earlier ones in some aspect, if it is a
             | higher court or if the case was of particular public
             | interest.
        
               | xxpor wrote:
               | Is this a them being lazy thing or a German privacy
               | thing?
        
               | isbvhodnvemrwvn wrote:
               | It's not just a _German_ privacy thing. There is little
               | reason for the vast majority of lawsuits to be public.
        
             | starik36 wrote:
             | > can be ordered from the court clerk
             | 
             | I would classify that as hard to get.
        
         | Anthony-G wrote:
         | Thanks for providing relevent details. I first came across this
         | story on local media (syndicated from Reuters) and they were
         | similarly light on detail. I then checked the News page for the
         | Luxembourg National Data Protection Commission1 but there was
         | no mention of this case.
         | 
         | 1. https://cnpd.public.lu/en/actualites.html
        
         | throwawinsider wrote:
         | The EU is doing politics, trying to capture population
         | resentment at big tech, with a disproportionate fine for
         | breaking rule 29.6.4.23.iv, while european companies have
         | gotten away for decades with national monopolies.
         | 
         | EU has many problems of acceptance among the population, so
         | they will play dirty as a marketing campaign (see case against
         | AstraZeneca and anything british)
        
         | ElKrist wrote:
         | Summarized conclusions of the original complaint [1]:
         | 
         | 2.2.3.1 claims that Amazon does not disclose anything proving
         | they intend to get consent from their users to process their
         | behavoural data for ad targeting purposes
         | 
         | 2.2.3.2 is a rebuttal against one potential line of defense
         | from Amazon. This defense is "We have to collect/use data
         | because this is precised in our contract with our users and so
         | we need to respect this contract". The rebuttal is that the
         | main goal of the contract is a marketplace to buy/sell goods.
         | Ad targeting is not essential to fulfill this goal and it is
         | not something that can be considered as reasonable user
         | expectations
         | 
         | 2.2.3.3 It says that Amazon does not explicitly states that
         | it's in its legitimate interest to process data and do ad
         | targeting. It then refers to section 2.1.3 which shows that
         | Amazon could not claim legitimate interest anyway. Section
         | 2.1.3 is too complicated for me as it quotes a lot of precedent
         | rulings in European law to prove it can't be legitimate
         | interest
         | 
         | Please keep in mind that it is the complaint, I don't have
         | details on the ruling of today
         | 
         | [1] https://gafam.laquadrature.net/wp-
         | content/uploads/sites/9/20...
        
           | [deleted]
        
         | fmajid wrote:
         | At least the Luxembourg DPA is doing its job, unlike the Irish
         | DPA that seems to think it is a division of the Irish
         | Industrial Development Agency charged with shielding
         | multinationals from accountability.
        
           | ElKrist wrote:
           | That's also the reaction [1] of "La Quadruature du Net", the
           | association that brought the complaint
           | 
           | "(...) this historical fine shows even more blatantly the
           | complete resignation of the Irish authority for data
           | protection, which in 3 years hasn't been able to process any
           | of the 4 other claims we made against Facebook, Apple,
           | Microsoft and Google."
           | 
           | it also goes after the French authority for data protection
           | (CNIL) to say basically: you used to be one of the best in
           | Europe, now you're a mere shadow of your former self
           | 
           | [1] https://www.laquadrature.net/2021/07/30/amende-
           | de-746-millio...
        
           | [deleted]
        
         | za3baec wrote:
         | TL;DR: LQDN claims Amazon used their users' data for targeted
         | advertising without their consent
         | 
         | The interesting bit is section 2.3 page 17 and is very short.
        
           | whoknowswhat11 wrote:
           | Which is an absolute joke because everyone using amazon to
           | actually purchase anything signs their terms and data
           | collection is clearly part of those terms (as one would
           | expect for an online retailer).
           | 
           | In addition, they run Amazon Marketplace and a well known
           | recommendation engine and clearly allow sellers to advertise.
           | 
           | This always seems to be more about posturing than anything
           | else. Or rely on weird logic loops.
        
             | freeone3000 wrote:
             | The ruling states their EULA doesn't actually say that they
             | are using the data they're collecting in order to
             | advertise. Collecting data doesn't mean you're allowed to
             | use that data for advertising without explicit, revocable
             | consent.
        
             | isbvhodnvemrwvn wrote:
             | Consent is only valid if it's informed and specific. More
             | than that the data minimization applies - you can't require
             | using personal data if it's not necessary.
             | 
             | https://gdpr.eu/article-4-definitions/
             | 
             | https://ico.org.uk/for-organisations/guide-to-data-
             | protectio...
        
               | whoknowswhat11 wrote:
               | They run a marketplace and make $20 billion in ad revenue
               | (or more) per year.
               | 
               | Obviously - targeting ads helps them make this money -
               | how is this not a legit business purpose?
        
               | isbvhodnvemrwvn wrote:
               | Legitimate business purpose is another basis for
               | processing personal data, but it can't override interests
               | of the data subject:
               | 
               | https://gdpr-info.eu/art-6-gdpr/
               | 
               | It's like asking why a doctor can't sedate you and
               | transplant your kidney, you have another one so you don't
               | need it and they'll make a ton of money.
        
               | HelloMcFly wrote:
               | If the statement "collecting this data without consent so
               | we can more effectively sell ads helps us make money, so
               | it's a legitimate business interest" was considered a
               | valid argument, would that make much of GDPR toothless?
        
             | einpoklum wrote:
             | In many jurisdictions, even if consent is informed and
             | specific, a contract which is not the result of actual
             | negotiations but is standard - e.g. between a client and a
             | large company - can often have clauses nullified by the
             | courts, either for being unfair/detrimental to the client,
             | or for their presence being detrimental to public interest.
        
             | bosie wrote:
             | Is it reasonable to assume I can agree (as a non-lawyer) to
             | terms and conditions that are 50 pages (wild guess) long?
             | Especially since they are written in legalese?
        
               | whoknowswhat11 wrote:
               | They are very long because of things like the GPDR.
               | 
               | That said, amazons are pretty darn clear.
               | 
               | "We receive and store any information you provide in
               | relation to Amazon Services. "
               | 
               | "We use your personal information to display interest-
               | based ads for features, products, and services that might
               | be of interest to you"
        
               | bosie wrote:
               | TC have always been long and legalese and it wasn't
               | because of GPDR. I can't find your examples in the T&C,
               | it seems to be about 'privacy notice'.
               | 
               | Am i supposed to read that too and keep up to date? I
               | signed up in 2003, do you mind showing me what i agreed
               | to?
               | 
               | And out of genuine curiosity, 'any information' seems to
               | be a superset of 'personal information', isn't it? what
               | is "any information"? and are you saying amazon is only
               | using personal information (which is what, exactly?) to
               | display ads?
        
       | saddlerustle wrote:
       | It's sad this article makes absolutely no attempt to describe
       | what, exactly, Amazon did wrong.
        
         | shakeitlikea wrote:
         | Maybe it is the fact that their pseudoanonymisation is simply a
         | sha256 hash with the same salt for every user, which is "salt"?
        
         | fmajid wrote:
         | Essentially using your Amazon purchase and browsing history to
         | target you on its ad network.
        
           | londons_explore wrote:
           | I am reasonably certain that they earned more than $1B by
           | using this targeting information... Their ad network is quite
           | small as just $28 billion annually, but it seems unlikely
           | that purchase history wouldnt uplift value more than 4%.
        
             | saddlerustle wrote:
             | It's impossible they _earned_ more than $1B _from
             | europeans_ , since Amazon's entire international retail
             | business still hasn't turned a profit overall.
        
               | high_byte wrote:
               | just because the profits are deferred to some time in the
               | future does not mean these actions did not help the
               | company expand, establish monopoly and devour other
               | businesses in the meantime.
        
               | saddlerustle wrote:
               | To me it doesn't make much sense for a fine to be based
               | on money a company _might_ make in the future.
        
               | MikeUt wrote:
               | They're not being fined for making too much money, but
               | for the harm they've caused the market or consumers
               | through anti-competitive practices.
        
               | saddlerustle wrote:
               | This is entirely tangential, but I'm interested to hear
               | how, exactly, you think consumers have been harmed?
        
               | CogitoCogito wrote:
               | You seem to be changing the subject. In your post here
               | you seem to be arguing that the fines should somehow be
               | related to profits:
               | 
               | https://news.ycombinator.com/item?id=28007958
               | 
               | Frankly that argument doesn't really make sense. If I ran
               | a car stealing gang and didn't turn a profit (say due to
               | costs related to my underlines), then my punishment
               | wouldn't just go away because I made no profits. The
               | punishment would be related to the total value of the
               | cars that were stolen.
               | 
               | A similar line of reasoning here would show that Amazons
               | profits are irrelevant. It does't matter if they have
               | zero profits today due to magic accounting or due to
               | future strategy or due to monopoly building or anything
               | else because the profits don't matter at all.
               | 
               | Of course you're correct that if there's not damage
               | caused by Amazon (equivalently that Amazon did nothing
               | illegal), then they wouldn't have to pay any fines, but
               | in that case you're changing the subject and arguing
               | something than than your original point. The EU however
               | seems to believe the actions to have been illegal which
               | makes profit irrelevant to the discussion.
        
               | MikeUt wrote:
               | I was stating what was probably the court's opinion, not
               | necessarily my own.
               | 
               | But to answer your question, consumers can be harmed
               | through loss of choice, as Amazon forces out other
               | businesses.
               | 
               | I'd also caution against focusing exclusively on harm to
               | consumers. The harm to businesses is just as real, and
               | something governments are justified in trying to prevent.
               | Their citizens, business-owner and consumer alike, will
               | not thrive in an environment where a handful of companies
               | dominate, crushing or absorbing any competitors through
               | underhanded means. Businesses and consumers do not live
               | in separate worlds.
        
               | james_in_the_uk wrote:
               | Privacy is a fundamental right in the EU. Data protection
               | law is not consumer protection law, and thf. "consumer
               | harm" is the wrong lens.
               | 
               | I don't read French and so haven't read the complaint,
               | but I am a data lawyer, so I can make a fair guess. The
               | harm alleged to have been suffered is likely to be that
               | persons have been tracked and profiled without their
               | consent, in breach of their legal right not to be, and so
               | have suffered an unwarranted intrusion into their private
               | life.
               | 
               | To those from countries whose legal systems treat privacy
               | as a consumer or constitutional right, this may seem
               | anti-intuitive. Even within the EU, there is plenty of
               | controversy around some of the legal points at issue in
               | these types of cases/complaints. Regulators are not
               | always immune from doctrinal thinking.
               | 
               | It will be interesting to read the full findings of this
               | specific regulator when available.
        
               | corty wrote:
               | It actually isn't.
               | 
               | The fine is based on last annual turnover, not profit and
               | certainly not future profit. Even if Amazon were taking a
               | loss, they still would be fined this amount.
        
               | mytherin wrote:
               | So because Amazon is taking their immense revenue and
               | expanding they should be immune from fines/consequences
               | for their actions? Clearly they are receiving tons of
               | revenue from their European operations.
        
               | kube-system wrote:
               | No but it does make sense to fine them based on how big
               | their operations are
        
               | CogitoCogito wrote:
               | Aren't these sorts of fines usually based on revenue and
               | not profit? The revenue is the money taken from Europeans
               | and not the profit. Basing the fines directly on profit
               | doesn't really make much sense.
        
               | dybber wrote:
               | It's based on their global revenue.
        
               | CogitoCogito wrote:
               | Thanks for the clarification. This makes a lot of sense.
        
               | jjcon wrote:
               | I'm pretty tired of this line - the way Amazon is
               | choosing to use their revenues for tax purposes means
               | they aren't turning profits but they are certainly
               | profitable
        
               | saddlerustle wrote:
               | It isn't a tax dodge, it's a simple matter of Amazon's
               | international retail business still growing quickly and
               | so needs a lot of capital. Happy to look at any evidence
               | otherwise.
        
               | [deleted]
        
             | whazor wrote:
             | But they also have to fix it otherwise they will risk more
             | fines.
        
             | Bjartr wrote:
             | Isn't that the point though? That violating the
             | restrictions has negative return taking the fine into
             | account?
        
               | doytch wrote:
               | I believe they're saying that it _doesn't_ have negative
               | returns. The fine is under 1 billion dollars, and the
               | poster you replied to is saying they're "reasonably
               | certain that [Amazon] earned more than $1B by using this
               | targeting information."
               | 
               | So the poster is saying that they believe it was worth it
               | for Amazon to break the law and pay an $888 million fine.
        
               | benjaminjosephw wrote:
               | But, of course, the fine isn't a price point for unlawful
               | behaviour but a penalty levied in judgement of the fact
               | that the company violated the social contract. Seeing
               | fines simply as a business cost would be a serious
               | distortion of the way society should function. Could
               | people in boardrooms actually entertain that kind of
               | reasoning in good conscience? I really hope not.
        
               | threatofrain wrote:
               | It's a principle in western law that punishments be
               | specified ahead of time so that a person could choose to
               | break the law if they felt it was worthy. In such a
               | framework punishments cannot be so extreme that you would
               | never consider breaking the law.
               | 
               | IMO the dismay at this idea is coming from those who
               | consider law as part of morality, in which case, it may
               | be immoral to even develop a calculus for ignoring
               | morality when the material returns are good enough.
        
               | hobs wrote:
               | Genuinely - are you being sarcastic or just a rube?
               | 
               | People in boardrooms dont entertain reasoning in good
               | conscience because conscience doesn't come into it - just
               | "Does this make us more money?"
        
               | benjaminjosephw wrote:
               | Boardroom greed might follow a logical rational but this
               | behaviour isn't reasonable in the long run. Disregard of
               | fairness and civil conduct won't be worth the eventual
               | cost of a society that becomes increasingly opposed to
               | the system itself.
               | 
               | Break the law once, shame on you - pay a fine. Break it
               | twice, well, we might rewrite the law so the fine is
               | enough to actually deter you. Break it three times and
               | shame on us for letting you trade at all.
        
               | hobs wrote:
               | There's no long term strategic plan - people are mortal
               | and time out of boardrooms just in time for their golden
               | parachutes to open.
        
               | adventured wrote:
               | With Amazon there has been a long-term strategic plan.
               | Bezos had been operating Amazon at a high level for a
               | quarter of a century and most of his personal wealth is
               | tied up in the stock. Your golden parachute premise
               | doesn't apply in this case. There was a strategic plan,
               | Bezos wasn't counting the seconds waiting on a golden
               | parachute. Amazon is largely commanded by long-serving
               | execs that notoriously take a long-term strategic view,
               | not executives looking to bail out at any moment. Jassy
               | for example has been there since 1997.
               | 
               | Amazon's ad business has extraordinary margins and is
               | growing fast. They knew they could afford speed bumps
               | between the starting block and where they plan to end up
               | (one of the world's largest ad networks, reliably
               | printing $30 billion per year in operating income).
        
               | hobs wrote:
               | That's one company, and the long term you are discussing
               | is for their own benefit, not to the long term benefit
               | the poster was discussing, so you prove my point.
               | 
               | Long term view is something like 1,000 years TO START. A
               | 20-50 year viewpoint is a baby.
        
               | thereare5lights wrote:
               | > Boardroom greed might follow a logical rational but
               | this behaviour isn't reasonable in the long run.
               | 
               | We already see that boards don't care about the long run
               | in the US. Companies chase short term gains at the
               | expense of everything else all the time.
               | 
               | > Disregard of fairness and civil conduct won't be worth
               | the eventual cost of a society that becomes increasingly
               | opposed to the system itself.
               | 
               | This is true but it doesn't matter if the people running
               | things are short sighted and selfish.
        
         | miohtama wrote:
         | It is not public yet. Amazon had to disclose ongoing
         | investigation to the shareholders.
        
       | markus_zhang wrote:
       | I wonder whether these mega fines ever get paid in full?
        
         | pdimitar wrote:
         | Was always wondering the same. How much weight does "you have
         | been fined $10M" have? Do they pay them in like 100
         | installments over the course of 5-10 years?
        
           | isbvhodnvemrwvn wrote:
           | I don't know about other countries, but in Poland the fine
           | has interest - no less than 8%, it's tied to the economic
           | indicators. It's at the minimum of 8% right now due to covid.
        
       | wongarsu wrote:
       | > the Luxembourg data protection authority slapped Amazon with
       | the record fine in a July 16 decision that accused the online
       | retailer of processing personal data in violation of the EU's
       | General Data Protection Regulation, or GDPR. Amazon disclosed the
       | findings in a regulatory filing on Friday, saying the decision is
       | "without merit."
       | 
       | >"There has been no data breach, and no customer data has been
       | exposed to any third party," Amazon said in a statement, adding
       | that it plans to appeal. "These facts are undisputed. We strongly
       | disagree with the CNPD's ruling."
       | 
       | That sounds like Amazon saying "as long as we don't expose data
       | we can do whatever we want with it", which isn't how the GDPR
       | works at all.
        
         | Jyaif wrote:
         | When a company uses unrelated facts to try to steer the
         | opinion, it means they have nothing else to defend themselves
         | with.
         | 
         | It still makes financial sense for them to fight this ruling
         | even if they have 0 basis for it: simply delaying the paiement
         | of a 800M euro fine cover the lawyers' fees.
         | 
         | There should be interests on fines to account for this.
        
         | whoknowswhat11 wrote:
         | Dude, there has been no data breach.
         | 
         | When you sign up with amazon you agree to their terms. These
         | are pretty darn clear.
         | 
         | The decision rests on a whole complicated series of make
         | believe facts. That users were not told their data would be
         | collected (false) or that they weren't told or aware that
         | amazon used ads or targeting (despite amazon recommends stuff
         | on literally every page or similar customers bought xxx).
         | 
         | The idea that this is a data leak is crazy - amazon is doing
         | stuff in-house there is no sale to third parties here.
        
           | shawabawa3 wrote:
           | Nobody is saying it's a data leak
           | 
           | The fine is for not getting explicit consent to use data in
           | targeted ads. Maybe they ruled that something buried in a
           | huge T&C document doesn't count as consent
        
             | whoknowswhat11 wrote:
             | God, this is why these terms and conditions are so long.
             | 
             | 1) Yes - they say they will use your data in this and other
             | ways.
             | 
             | 2) The T&C's and the presence or absence of this statement
             | in them is NOT meaningful to any ordinary users - these
             | things have had to get so long they are not useful anymore.
             | 
             | 3) The ads and suggestions targeting you are obvious on
             | these sites. There is no secret.
             | 
             | Note - their T&C says the following:
             | 
             | "We receive and store any information you provide in
             | relation to Amazon Services. "
             | 
             | "We use your personal information to display interest-based
             | ads for features, products, and services that might be of
             | interest to you"
             | 
             | This is as clear as can be.
        
           | robin_reala wrote:
           | All the information you need to read and understand to sign
           | up to Amazon (in English) is 12k words, or an hour and a half
           | of average reading time. What percentage of users to you
           | think spend an hour and a half to read and comprehend the
           | terms. 1%? 0.1%? 0.01%?
           | 
           | In addition, under GDPR consent has to be separate from terms
           | and conditions, it has to be opt-in, and the explanation of
           | what you opt in to has to be clear and concise.
        
             | whoknowswhat11 wrote:
             | And this is why folks hate the GDPR. AS soon as we have to
             | jump through 10 more screens to do anything people are
             | going to be even more annoyed at the cookie and now GDPR
             | wall you have to fight through to use websites.
        
       | aminozuur wrote:
       | Considering Amazon's revenue of $443 billion (last twelve
       | months), this fine is less than one day's worth of revenue.
        
         | whitepaint wrote:
         | Revenue != net profit; how on earth so many people are
         | continuously mistaking it?
        
           | [deleted]
        
           | thrwyoilarticle wrote:
           | Not the person you're replying to? They said revenue.
        
             | triactual wrote:
             | They said revenue but they don't understand what it means.
             | Only a few percent of that revenue is actually profit -
             | perhaps there is no profit depending on the market. It's an
             | especially tiresome thing to point out since probably more
             | than half of HN readers are paid a salary out of these kind
             | of revenue figures.
        
               | thrwyoilarticle wrote:
               | It's unfair to assume they don't know what revenue is.
               | Comparing it to the revenue is perfectly valid. Amazon
               | famously didn't make a profit for many years, does that
               | mean that they couldn't afford any fine during that
               | period? I think it implies that the profit of a company
               | is a poor indicator of their wealth and what they can
               | afford.
        
               | denton-scratch wrote:
               | The law provides for fines to be a percentage of
               | _turnover_.
               | 
               | A fine as a proportion of profits just reduces your
               | profits by a few percent; as long as your profits are
               | still huge, it doesn't matter, and you pay up. If it's a
               | percentage of turnover, you might well end up with losses
               | for that year, and no profits at all.
               | 
               | The regulation is designed to make your shareholders sit
               | up, and put pressure on the board to come into
               | compliance. It was targeted at turnover rather than
               | profits for obvious reasons - corporate accountants are
               | very good at making profits invisible. And turnover is
               | relatively easy to measure.
               | 
               | [Edit] Changed "revenue" to "turnover" - "revenue" was an
               | alternative fact.
        
             | mewpmewp2 wrote:
             | The person seemed to be implying as if they were making the
             | money back in 1 day otherwise this comparison would be
             | meaningless, as they can have infinite revenue, but 0
             | profit.
        
               | thrwyoilarticle wrote:
               | Who's better positioned to pay a fine, an individual
               | contractor who makes $1mil profit in a year or an
               | unspecified company that makes no profit but has a >$1B
               | market cap and high revenues?
               | 
               | It feels like the person I replied to first is so eager
               | to assume others don't understand the difference between
               | profit and revenue that they miss the forest for the
               | trees.
        
               | s1artibartfast wrote:
               | I think it is unclear because the top level post didn't
               | make a conclusion, just threw out a fact.
               | 
               | If the implied conclusion is the fine won't hurt or have
               | an impact because revenue >> the fine, they are missing
               | the relevance of comparing the fine to profit.
               | 
               | I'm not sure what other conclusion they would want people
               | to take from the fact presented
        
         | tpmx wrote:
         | Luxembourg's government revenue is approx $33 billion.
         | 
         | This fine is about 10 days worth of Luxembourg government
         | revenue.
        
           | 55555 wrote:
           | Holy crap, what do they even do with that money? I'd love to
           | read more about this. They have 615,000 people living there,
           | meaning they get 55,000 USD in gov revenue per person.
           | 
           | For comparison, the US gov got ~8,750 USD in rev per head in
           | 2019.
        
             | Anthony-G wrote:
             | > Holy crap, what do they even do with that money?
             | 
             | Free public transport for one.1
             | 
             | I holidayed there a couple of years ago before they made it
             | free and even then, it was still heavily subsidised. It
             | cost only EUR4 for a ticket that covered bus, tram or train
             | to anywhere in the country for that day. Even in rural
             | areas, buses were travelling every half hour from early
             | morning until late evening. It was great for long hikes (or
             | kayak trips) and returning by bus. I loved the freedom of
             | it all.
             | 
             | 1. https://luxembourg.public.lu/en/living/mobility/public-
             | trans...
        
             | the_duke wrote:
             | Does that figure combine all federal AND state taxes?
             | 
             | That seems pretty low.
        
               | 55555 wrote:
               | I assume it was federal only. My bad.
        
             | jsnell wrote:
             | What matters isn't really the government revenue but the
             | government spending. The discrepancy is a lot smaller for
             | the latter metric. In 2020, the US government collected
             | 10.5k/person but spent 20k/person.
        
         | ndr wrote:
         | The fines are obviously not intended to bankrupt them. Amazon
         | had $7.8 billions in profit this quarter, 10% of that should
         | hurt badly enough to course correct, shouldn't it?
        
           | saddlerustle wrote:
           | It's worse than that. Almost all of Amazon's profit comes
           | from AWS and its US business, but this fine is entirely a
           | cost due to its retail business in the EU.
           | 
           | The operating income of Amazon's international retail
           | business in 2020 was just $700m, it makes their entire
           | European business last year overall unprofitable.
        
             | adwn wrote:
             | > _It 's worse than that [...] it makes their entire
             | European business last year overall unprofitable_
             | 
             | How's that a bad thing under the assumption that they
             | behaved in an illegal way? Fines are supposed to hurt, and
             | this fine won't bankrupt Amazon.
        
             | denton-scratch wrote:
             | Ever heard of transfer pricing?
             | 
             | [Edit] I think I was rightly downvoted for being snarky.
             | I'll try to remember not to snark.
        
       | Dylan16807 wrote:
       | > a July 16 decision that accused the online retailer of
       | processing personal data in violation of the EU's General Data
       | Protection Regulation, or GDPR
       | 
       | Well that's sure vague, and the article didn't seem to have
       | anything more specific.
       | 
       | > Some lawmakers and regulators have raised concerns that the
       | company has used what it knows to give itself an unfair advantage
       | in the marketplace.
       | 
       | That kind of thing has been a big concern but it doesn't require
       | personal data, just a bunch of sales statistics.
        
         | jstummbillig wrote:
         | > Well that's sure vague
         | 
         | I am currently implementing GDPR for a health related startup.
         | This half sentence sums up the entire regulation pretty well.
         | It's infuriatingly unspecific about what you can do, and full
         | of vague hinting on things that you maybe really should not do.
         | 
         | "Can I do this?" "Yeaaaah, not exactly saying that you can't
         | but maybe it would REALLY be better if you don't, maybe"
         | 
         | Absolutely disgusting. Lawyers must be thrilled to have it.
         | 
         | Edit: My gripe is not at all with privacy protection laws but
         | with laws that are unclear. Apparently I have been unclear.
        
           | denton-scratch wrote:
           | >Absolutely disgusting. Lawyers must be thrilled to have it.
           | 
           | Well, if a company's determined not to comply with GDPR, then
           | it's going to be on the lookout for loopholes, and ways
           | around the legislation. And indeed, if that's its plan, and
           | the legislation is vague, it's going to need a _much_ bigger
           | legal department. That 's not the law's fault; that's because
           | the company doesn't want to comply.
           | 
           | If on the other hand a company wants to comply, then that
           | very vagueness protects it, on my reading. It's hard to
           | imagine being done for GDPR violations, if you've
           | familiarised yourself with the provisions; and if you are
           | affected, have a concrete plan to ensure you are in
           | compliance.
           | 
           | I confess that I don't like the vagueness. It gives greater
           | discretion to the judge. I've lived all of my life under UK
           | law, which is more specific and prescriptive than the laws of
           | most EU states, where judges have much more power.
        
           | joejerryronnie wrote:
           | This is by design as most EU data privacy/competition laws
           | are thinly veiled attempts to extract bribe money from large
           | US tech firms. Sadly, the US gov is also following down this
           | road.
        
             | [deleted]
        
           | mhitza wrote:
           | I'm actually a proponent of GDPR and not a lawyer.
           | 
           | I'm pro consumer protection so I might be biased. On the
           | other hand it's an easy to read legislation https://gdpr-
           | info.eu/
        
           | lovemenot wrote:
           | To what extent is your startup's business dependent on
           | violating users' or others' privacy? Will it be uncompetitive
           | if they don't?
           | 
           | It's a broad question, not a legal one.
           | 
           | If the answer is: it's very important, because our
           | competitors will violate and win, then EU probably expects to
           | apply industry-wide regulation.
           | 
           | If the answer is, not much or we don't know yet, then just
           | don't. Please.
           | 
           | Law and money are certainly important, but there's other
           | important things too.
           | 
           | Look at it from the regulators' perspective. Regulators will
           | always lag nimble startups. But if those companies are
           | violating reasonable and widely-held priciples (perhaps not
           | the law, yet) how should the EU best apply those principles
           | into law?
           | 
           | I find the vagueness of the GDPR exactly satisfies this
           | dilemma.
        
           | iamacyborg wrote:
           | > It's infuriatingly unspecific about what you can do, and
           | full of vague hinting on things that you maybe really should
           | not do.
           | 
           | It really isn't that complicated.
           | 
           | You can collect and process data assuming you have a valid
           | business reason to do so. You need to collect/process that
           | data in a way that complies with the law based on what you're
           | collecting/processing.
           | 
           | Want to collect people's health data? Cool, ask them for
           | consent and you've got the right to collect it.
           | 
           | Want to process that data to make decisions about their
           | insurance premiums? Sure, you can do that, but you'll need
           | the user's consent.
        
             | sterwill wrote:
             | There's a lot of uncharitable talk in this thread, where
             | comments like yours assume bad intent on behalf of
             | businesses who find GDPR compliance challenging. It's a
             | giant body of regulatory law, of course it's complicated!
             | The GDPR probably _isn't_ hard to deal with if you don't
             | actually care about privacy; it's easy to just not follow
             | the law and hope you don't get caught. But if your company
             | respects individual privacy, and collects personal data
             | only with a lawful basis, and needs to make assurances to
             | its customers that all the regulations are being followed,
             | there's a lot of work you have to do to demonstrate
             | compliance, and many specifics (for example, with regards
             | to personal data erasure in backups and archives) are
             | completely unspecified. How uncomplicated is that issue?
        
               | denton-scratch wrote:
               | The more collecting and processing you want to do, the
               | more complying you're going to have to do, I can see
               | that.
               | 
               | With respect to the archives: don't you think that's best
               | left to the company and their legal department? - As far
               | as I'm concerned, an archive is by definition immutable.
               | And if a company caan't protect its own archives, it's
               | got worse problems than GDPR.
        
               | jstummbillig wrote:
               | > The more collecting and processing you want to do, the
               | more complying you're going to have to do, I can see
               | that.
               | 
               | I am sorry, but this is too hand-wavy considering the
               | insane complexity we are touching here.
               | 
               | To illustrate, a super simple example: Someone writes you
               | (a business entity, it's harder when it's in health) a
               | mail with a random business related request.
               | 
               | If you think, it should be fair enough to a)
               | receive/store, b) read and/or c) answer to this very much
               | unsolicited mail you are mistaken. If you think, that
               | there is a clear/sane/minimal way to handle any of these
               | scenarios, you are wrong again.
               | 
               | Depending on your exact situation and request you might
               | first have to respond by asking the party to waive their
               | right to encrypted communication (which they, of course,
               | couldn't even execute, since pgp is obviously not a thing
               | with real people in the real world), and/or their
               | physical address, to SEND THEM YOUR ANSWER VIA POSTAL OR
               | FUCKING FAX, because that is deemed a sane way to get
               | around problems with email storage/encryption, even in
               | big companies and governmental agencies.
               | 
               | You definitely also have to delete the email after some
               | amount of time. All of a sudden you (as in some random
               | person who just wants to do business in the modern times)
               | has to figure out retention policy and implementation (or
               | pay some consultant, who will be happy to be paid to
               | figure out how to use email for your business without
               | getting sued in 2021)
               | 
               | In case you don't run your own email server on your own
               | fucking physical server, you also better get a contract
               | with every relevant so called Processor (Art. 28 GDPR) in
               | the chain. This however might not suffice if if you want
               | to use gmail/google workspace (or in any other non-eu
               | hosted provider). Depending on the industry it might
               | simply be illegal for you to use theses services. I say
               | might, because, honest to god, there is no clear fucking
               | answer on this. Trust me, I looked.
               | 
               | But you know what, this is not my biggest gripe with
               | GDPR. It's not the burden that it puts on seemingly
               | simple processes, no matter how well intentioned you
               | might just want to get your actual job done.
               | 
               | The biggest gripe is that it's full of vague wordings
               | like "meet requirements to ensure protection" without
               | specifying the exact fucking requirements, or "careful
               | handling of sensitive data", as if that explained
               | anything. What the fuck? If you are _actually serious
               | about creating a law to protect privacy_ you have to at
               | least provide very serious specs - and, I would argue, to
               | be not completely fuck all the normies trying to run a
               | business, also easy and cheap implementation.
               | 
               | After having done a very thorough trip through the entire
               | thing, I am 99% certain that 99.9% of businesses are
               | knowingly and/or unknowingly in violation of GDPR.
        
               | denton-scratch wrote:
               | That stuff about mandatory email encryption is nonsense.
               | Nothing in GDPR impacts on the way a normal mailserver
               | operates.
               | 
               | And if you're running a mailserver, then you've got a
               | retention policy. Either it's your policy, or it owns
               | you.
        
             | jstummbillig wrote:
             | I envy you for your naivete but I sincerely hope you don't
             | advice anyone on this topic.
        
           | dekhn wrote:
           | I worked on GDPR for a health related startup and at some
           | point, I had to start explaining GDPR and HIPAA to the
           | lawyers! The lawyers thought the startup was subject to
           | HIPAA, but we weren't a health org or a BAA, and I explained
           | that. They said "well it's probably better if you just follow
           | that law anyway"
        
           | sterwill wrote:
           | Having worked in a US health tech start-up (and done some
           | compliance work there), and now working with GDPR as a US
           | company, I'm similarly frustrated with how imprecisely the
           | regulations are worded. US health information privacy laws
           | are much easier to interpret and follow. Large, important
           | parts of GDPR compliance hinge on wording like "the
           | processing is not occasional." "Occasional" is not defined in
           | the regulations, and different countries' advisory bodies
           | have completely opposite interpretations about what it means.
        
             | wil421 wrote:
             | Feel your pain. At my last job I worked with mostly EMEA
             | and mainly EU countries. Worked directly with our lawyers
             | in the EU to makes sense of it all. This was right when the
             | GDPR was looming and it was stressful to figure out how to
             | comply.
        
           | izacus wrote:
           | Well, on the other hand you have American corporations
           | stealing data from every orifice because they can get away on
           | technicalities of those ultra specific laws.
           | 
           | "Well, actually we DID put a 8pt text on a subpage somewhere,
           | the law doesn't define the text size of disclosure, MINE
           | AWAY!".
           | 
           | EU seems to have learned the lesson. Heck, even American
           | corporations like Google, Apple and Amazon put vague
           | descriptors in their terms of service and AppStore rules so
           | they avoid rules lawyering.
        
           | speedgoose wrote:
           | I work in a IT health care company in Europe. The main
           | difficulties are the laws and regulations, not the software
           | development. But I think it's a good thing.
           | 
           | Good luck for your work and if you aren't sure if you can do
           | it, don't.
        
       | Jyaif wrote:
       | Apparently this is due to this french association whose main goal
       | is to sue the big tech companies. They've sued Google, Apple,
       | Facebook, Amazon, and Microsoft:
       | 
       | https://gafam.laquadrature.net/
        
         | ElKrist wrote:
         | This is a misrepresentation of the association. They existed
         | way before this campaign and GDPR
         | 
         | The first paragraph [1] of their About section mentions they
         | started in 2008 to fight against HADOPI, which is the French
         | authority created to enforce copyrights in reaction to
         | (illegal) streaming/p2p sharing of music/movies etc.
         | 
         | Recently, they're fighting against new French laws allowing the
         | government to collect/process more data on all its citizens for
         | supposedly anti-terrorism purposes
         | 
         | [1] https://www.laquadrature.net/nous/
        
         | isbvhodnvemrwvn wrote:
         | You can't sue companies under GDPR.
        
       | quonn wrote:
       | It would be better to require a license for (any) data processing
       | at scale which is easily granted (covering all possible use
       | cases) but can be perpetually revoked. That would be taken much
       | more serious than these fines.
        
         | paublyrne wrote:
         | If it's already not allowed to use data in this way - thus the
         | fine - what purpose would allowing and revoking the right to do
         | so serve. It's already prohibited.
        
           | colechristensen wrote:
           | Not "in this way" but at all.
           | 
           | in other words if you lose the right to process or possess
           | the data at all.
           | 
           | "corporate death penalty" kinds of regulation needs to happen
           | more often
        
             | laurent92 wrote:
             | What if law defined the processes more closely? "Billing
             | data must be kept for 2 years numerically and 10 years on
             | an offline device or paper. Marketing data can be kept for
             | 6 months until renewal of consent by the user. The rest is
             | permitted upon license."
        
               | [deleted]
        
         | dahfizz wrote:
         | And what is the punishment for operating without a license?
         | Seems like a roundabout way to implement a fine.
        
           | chopin wrote:
           | The compelling thing with GP's proposal would be that it is
           | easier to enforce. If the license is revoked there is no gray
           | area for interpretation left.
        
             | dahfizz wrote:
             | Both proponents and opponents of GDPR have said that the
             | ambiguity of GDPR is an intentional feature. It closes
             | loopholes or allows for arbitrary power of politicians,
             | depending on who you ask.
        
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