Dutch authorities imposed a fine of 4.75 million euros ($4.98 million) on Netflix on Wednesday over its handling of subscribers' personal data.
The Dutch Data Protection Authority (AP) stated, "Between 2018 and 2020, Netflix did not provide customers with enough information about what the company does with their personal data. And the information that Netflix did provide was unclear in some areas."
The AP acknowledged that Netflix has since revised its privacy policy and enhanced transparency regarding its data usage practices. However, the company has decided to appeal the fine.
Aleid Wolfsen, chairman of the AP, emphasized the importance of clarity from a global company like Netflix, which serves millions of customers and generates billions in revenue. “A company like that, with a turnover of billions and millions of customers worldwide, has to explain properly to its customers how it handles their personal data,” Wolfsen stated.
“That must be crystal clear. Especially if the customer asks about this. And that was not in order.”
The watchdog highlighted several shortcomings in Netflix's data practices, including a lack of clarity on why personal data was being collected, details about data sharing with third parties, data retention periods, and measures to secure data transferred outside Europe.
