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Amazon smacked with €746 million fine for violating GDPR

Any businesses still avoiding a hard conversation about the Protection of Personal Information Act (POPIA) might want to heed news of a record breaking fine that was handed to Amazon.

The fine amounts to €746 million and was handed down by the Luxembourg National Commission for Data Protection after it found that Amazon’s processing of personal data did not comply with the European Union’s General Data Protection Regulation (GDPR).

“We believe the CNPD’s decision to be without merit and intend to defend ourselves vigorously in this matter,” Amazon said in a Securities and Exchange Commission filing.

What exactly Amazon did or didn’t do to attract this fine is unclear, but it is the largest fine issued in regards to GDPR since Google’s measly €50 million fine issued in 2019.

The first assumption many might have is that the fine comes as a result of a data breach, but GDPR fines can also be issued for non-compliance as regards processing of data. In fact, Amazon said in a statement that there was no data breach or We suspect that data processing is the reason Amazon is in trouble with Luxembourg authorities following a statement to CNN.

“The decision relating to how we show customers relevant advertising relies on subjective and untested interpretations of European privacy law, and the proposed fine is entirely out of proportion with even that interpretation,” Amazon told the news agency.

Unfortunately authorities in Luxembourg haven’t disclosed what Amazon has been fined for either, instead stating that the legal proceedings are still ongoing and that it cannot comment.

For now though, this incident serves as a teachable moment. Be sure you comply with data protection regulations or you might be fined as well.

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