Dutch authorities fine Netflix €4.75m over data transparency breach

• Published On: 18 December 2024 at 21:51

Dutch authorities have imposed a €4.75 million (approximately $4.98 million) fine on Netflix for its failure to adequately inform subscribers about the use of their personal data.

The Dutch Data Protection Authority announced the penalty on Wednesday, attributing it to violations that transpired between 2018 and 2020.

Netflix failed to furnish customers with adequate and transparent information regarding the collection, utilisation, and dissemination of their data, as per the Associated Press. The agency emphasised Netflix's lack of transparency, particularly in response to customers' enquiries for clarification.

"Netflix failed to adequately disclose its approach to personal data management, particularly when customers enquired about it," stated Aleid Wolfsen, chairman of the AP. “A company with billions in revenue and millions of customers worldwide, such as Netflix, must be transparent about its approach to personal data management. That was not the case in this instance.

The AP also criticised Netflix for failing to provide a clear explanation of critical points, including the reasons for the collection of personal data, the types of data shared with third parties, the duration of data retention, and the security measures in place for transferring data outside of Europe.

Netflix has updated its privacy statement and enhanced the information it provides to subscribers regarding data use in response to the investigation. Nevertheless, Dutch authorities have reported that the company has appealed the fine.