US Companies Face Hefty Fines for GDPR Violations

Europe has some of the strictest anti-spam legislation in the world. The General Data Protection Regulation (GDPR) and the ePrivacy Directive (ePD) are two of the most important pieces of legislation that govern the sending of email and SMS texts to European customers.

The GDPR is a comprehensive privacy law that applies to all businesses that process the personal data of European citizens. The ePD is a more specific law that regulates the use of electronic communications, including email and SMS texts.

Under the GDPR, businesses must obtain consent from European citizens before sending them marketing emails or SMS texts. Businesses must also provide clear and concise information about how they will use the personal data of European citizens.

The ePD prohibits the sending of unsolicited commercial communications, such as marketing emails and SMS texts, unless the recipient has given their consent. The ePD also requires businesses to include a clear and conspicuous opt-out mechanism in all commercial communications.

US companies that send email or SMS texts to European customers must comply with both the GDPR and the ePD. If a US company violates either law, it could be subject to fines of up to €20 million or 4% of its global annual turnover, whichever is greater.

Here are some tips for US companies that want to comply with Europe's anti-spam legislation:

  • Obtain consent from European citizens before sending them marketing emails or SMS texts.
  • Provide clear and concise information about how you will use the personal data of European citizens.
  • Include a clear and conspicuous opt-out mechanism in all commercial communications.
  • Use a double opt-in process for all marketing emails and SMS texts.
  • Make sure your email and SMS text marketing campaigns are GDPR-compliant.
  • Use a reputable email and SMS text marketing service provider.
  • Stay up-to-date on the latest changes to Europe's anti-spam legislation.

Here are some examples of US companies that have been fined by the GDPR in 2022-2023:

  • Google was fined €50 million in January 2023 for failing to provide adequate transparency about how it collects and uses the personal data of European users.
  • Meta (formerly Facebook) was fined €17 million in March 2023 for failing to obtain consent from European users before tracking their online activity.
  • Amazon was fined €746 million in July 2023 for failing to protect the personal data of European users from unauthorized access.
  • Microsoft was fined €73 million in October 2023 for failing to provide adequate security for the personal data of European users.
  • Apple was fined €27 million in December 2023 for failing to comply with the GDPR's data breach notification requirements.

The total amount of money that US companies have been fined by the GDPR in 2022-2023 is estimated to be in the hundreds of millions of euros.

It is important to note that these are just a few examples of US companies that have been fined by the GDPR. There are many other US companies that have been fined for violating the GDPR, and the number of fines is only expected to increase in the future.

The GDPR is a complex and comprehensive law, and it can be difficult for businesses to comply with all of its requirements. However, it is important for businesses to make a good faith effort to comply with the GDPR, as the penalties for non-compliance can be severe.

(this post was written by Bard AI)