Germany sets limits on Facebook data collection

Frankfurt: Germany’s Federal Competition Office (FCO) said on Thursday it would impose new limits on how Facebook collects data from subsidiaries Whatsapp and Instagram, as well as third-party websites with embedded Facebook features such as “Like” buttons.

Rather than requiring users to accept that such data can be folded into their Facebook accounts under a one-off agreement to the social network’s terms and conditions, users must in future be asked for their specific consent in both cases, the authority said. “In future, FB will no longer be allowed to force its users to agree to the practically unrestricted collection and assigning of non-FB data to their Facebook user accounts,” FCO chief Andreas Mundt said.

“If users do not consent, Facebook may not exclude them from its services and must refrain from collecting and merging data from different sources.”

The FCO found that Facebook has a “dominant” position in social networking in Germany, with its 23 million daily active users representing 95 per cent of the market — meaning there is no viable alternative service for most people. That meant that “FB's conduct represents above all a so-called exploitative abuse,” the authority argued.

“The only choice the user has is either to accept the comprehensive combination of data or to refrain from using the social network,” Mundt said. “In such a difficult situation the user's choice cannot be referred to as voluntary consent.”

In a statement, FB said it will  appeal the FCO order.

“Bundeskartellamt’s decision misapplies German competition law to set different rules that apply to only one firm,” the firm said.