In a landmark decision, Nigeria’s Competition and Consumer Protection Tribunal has upheld a hefty $220 million fine against tech giant Meta Platforms Inc., citing serious breaches of the country’s consumer protection and data privacy laws.
The tribunal, sitting in Abuja, ruled in favor of the Federal Competition and Consumer Protection Commission (FCCPC), which had earlier imposed the penalty after investigating Meta’s practices related to user data collection and advertisement operations. The FCCPC accused the company of failing to secure proper consent for data usage and engaging in practices that misled Nigerian consumers.
Justice Thomas Okon, delivering the judgment, emphasized that Meta’s operations in Nigeria must align with the nation's legal standards, particularly regarding consumer rights and data protection. "No multinational corporation, regardless of its global influence, is above Nigerian law," Justice Okon stated. He further added that the fine was not merely punitive but intended to serve as a deterrent against future violations by tech firms operating within the country.
The case stems from a 2023 investigation which alleged that Meta, the parent company of Facebook, Instagram, and WhatsApp, exploited user data for targeted advertising without obtaining explicit, informed consent from Nigerian users. The FCCPC also highlighted concerns over opaque terms of service and the lack of accessible complaint mechanisms for aggrieved users.
Meta has expressed disappointment with the tribunal’s ruling and indicated plans to appeal. In a statement issued shortly after the verdict, the company said, "We respectfully disagree with the decision and believe we have complied with all applicable laws. We are reviewing the judgment and considering our next steps, including potential legal action."
Legal experts say the tribunal’s decision marks a turning point in the regulation of Big Tech in Africa’s most populous country. "This judgment signals that Nigeria is serious about holding digital platforms accountable, especially when it comes to consumer rights and data security," said Adeyemi Balogun, a technology law analyst based in Lagos.
The fine also comes amid a broader global reckoning for technology companies regarding data protection and competition practices. Similar regulatory actions have been taken recently in the European Union, India, and other African nations, signaling a shift towards stricter oversight of tech companies’ operations outside of their home markets.
Meanwhile, the FCCPC welcomed the tribunal's decision as a victory for Nigerian consumers. "This outcome reinforces our commitment to ensuring that all businesses, irrespective of their size, comply with the law and respect the rights of consumers," said Babatunde Irukera, the Executive Vice Chairman of the FCCPC.
If Meta’s appeal fails, the company could face additional enforcement actions, including potential restrictions on its data operations within Nigeria—a critical growth market for the social media giant.
As the case progresses, industry observers will be watching closely to see how the outcome affects Meta’s operations not only in Nigeria but across the African continent.