A newly enacted European Union (EU) law requires companies that collect user data within the union to store and process this data on European servers, but Facebook and Instagram ‘s data is processed on both United States and European servers, which are advertising targeting and operating on platforms. important for businesses.
In the report submitted to the Securities and Exchange Commission, umbrella company Meta suggests that if the company does not comply with the new EU regulations, it will stop offering its Facebook and Instagram services together. Nick Clegg, Meta’s Vice President of Global Affairs, made a statement on the subject.
According to Clegg, he argues this would be detrimental to many businesses in the European Union that rely on the services and advertisements the company provides. Last week’s financial report dropped below the company’s daily active users for the first time in history, causing Meta’s shares to drop by 25 percent.
