Netflix has been fined €4.75 million ($5 million) by the Dutch Data Protection Authority (DPA) for failing to adequately inform customers about its data collection practices between 2018 and 2020, Bloomberg reports.
The DPA announced the penalty on Wednesday, citing insufficient clarity in Netflix’s privacy statement and inadequate responses to customer inquiries about their personal data.
The investigation revealed that Netflix did not clearly explain in its privacy statement how it used customer data during this period. The regulator also found that customers did not receive sufficient information when requesting details about the data Netflix held on them.
While Netflix has since updated its privacy statement and improved its information provision, the DPA deemed the fine necessary to underscore the importance of data protection compliance. A Netflix spokesperson confirmed the company’s cooperation with the DPA.
The fine highlights the DPA’s increasingly proactive approach to enforcing data privacy regulations. Chairman Aleid Wolfsen emphasized the importance of financial penalties in ensuring compliance.
This action follows a record €290 million fine levied against Uber earlier this year for insufficient driver data protection – the DPA’s largest penalty to date. Wolfsen expressed concern about the large quantities of personal data held by major tech companies and the potential for illegal data sharing between firms. The Netflix fine serves as a further warning to tech companies operating in the Netherlands to prioritize data privacy and transparency.
