Netflix has been fined €4.75 million ($4.98 million) by Dutch authorities for mishandling subscriber personal data, citing issues with clarity and completeness in the company’s privacy practices. The Dutch Data Protection Authority (AP) found that between 2018 and 2020, Netflix failed to adequately inform users about how their personal data was being used, leaving crucial details unclear.
The AP emphasized that Netflix did not provide sufficient explanations on key aspects, such as the purpose of data collection, sharing practices with third parties, retention periods, and the security of data transmitted outside Europe. Although Netflix has since updated its privacy policies and improved communication regarding data usage, the authorities maintained that the company fell short of the required transparency during the investigation period.
In response, Netflix confirmed it had appealed the fine, asserting that it had fully cooperated with the AP and made significant changes to its privacy information. Netflix’s spokesperson stated, “Since the investigation began over five years ago, we have worked closely with the Dutch Data Protection Authority and have proactively enhanced our privacy disclosures to ensure greater clarity for our members.”
Aleid Wolfsen, chairman of the AP, underscored the importance of clear and thorough communication from companies, particularly those with large global customer bases. “A company of Netflix’s scale must provide crystal-clear information to its customers about how their personal data is handled,” he said.
Despite the ongoing appeal, the fine highlights the increasing scrutiny of tech giants’ data privacy practices in Europe, underscoring the need for transparency in data collection and use.
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