Facebook loses bid to block a potentially major change to data sharing in the EU


The Irish Supreme Court has rejected Facebook’s bid to block a European Union privacy regulation – drafted by the Irish Data Protection Commission (IDPC) – that could interrupt the flow of data from the EU to the US, The Wall Street Journal reports.

Facebook first partially appealed the injunction claiming that the Commission and the other EU privacy regulators were working too quickly and had not given the company the appropriate time to respond. Facebook also said The edge the IDPC’s privacy order “would have detrimental consequences for the European economy.” Irish officials clearly did not share the same concerns.

The IDPC originally created the new privacy order because Facebook and other international companies often store data of EU residents on US servers, potentially exposing them to additional surveillance. If EU regulators decide to side with the IDPC, it would be the first major action against the Privacy Shield, the protocol that allows for data sharing.

The commission has yet to submit a final draft of its order to EU privacy regulators, but if approved, it could have a widespread impact on all companies doing online transatlantic business. Like the log noted, the injunction could force Facebook to store or even stop providing information it collects from users in the EU at all in those countries.