Meta Fined €91 Million for Password Storage Error

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Joined: Wed Sep 04, 2024 5:29 pm

The European Union’s lead privacy regulator, Ireland’s Data Protection Commission (DPC), has fined Meta €91 million ($101.5 million) for storing some users' passwords in an unprotected format. The fine follows a five-year investigation into Meta’s practices, triggered by a 2019 security incident.
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Plaintext Password Storage Identified
In 2019, Meta self-reported to the DPC that some users’ passwords had been stored in plaintext, a format that leaves data vulnerable to unauthorized access. Meta publicly acknowledged the error at the time and assured regulators that no external parties had accessed the exposed passwords.

Graham Doyle, Deputy Commissioner of the DPC, emphasized the risks associated with storing passwords in plaintext: “It is widely accepted that user passwords should not be stored in plaintext, considering the risks of abuse that arise from unauthorized access to such data.”
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Meta’s Immediate Response
According to Meta, the error was identified during a routine security review, and the company took immediate steps to resolve the issue. A Meta spokesperson stated that no evidence was found suggesting that the passwords were accessed or misused. The company also engaged constructively with the DPC throughout the investigation, which spanned several years.
DPC’s Role and Previous Fines
Ireland’s DPC acts as the lead regulator for many U.S. tech firms under the General Data Protection Regulation (GDPR) due to their European operations being based in Ireland. The DPC has fined Meta a total of €2.5 billion since the GDPR’s introduction in 2018, including a record-breaking €1.2 billion penalty in 2023, which Meta is currently appealing.
Ongoing Scrutiny and GDPR Compliance
While Meta has cooperated with regulators, the company continues to face scrutiny for its data practices in Europe. The DPC and other EU regulators are increasingly vigilant about ensuring tech companies comply with stringent data protection laws under GDPR.
RD.•°
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Joined: Wed Nov 29, 2023 10:45 am

Ohhh, thanks for sharing 👍 
RD.•°
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Mightykibu
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Joined: Wed Nov 29, 2023 10:41 am

Informative
Syed_Nabi23
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Joined: Sat Feb 17, 2024 4:52 pm

Thanks for sharing 
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