Nigeria's Competition and Consumer Protection Tribunal freezes WhatsApp's $220M fine

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January 29, 2025
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7 min read
Chatting on WhatsApp
Photo by Amanz on Unsplash

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Nomoshkar,

Victoria from Techpoint here,

Here's what I've got for you today:

  • Tribunal hit pause on $220M fine slapped on WhatsApp
  • Safaricom to land its own undersea Internet cable
  • Starlink pushes to launch in South Africa

Tribunal hit pause on $220M fine slapped on WhatsApp

Chatting on WhatsApp
Photo by Amanz on Unsplash

Nigeria's Competition and Consumer Protection Tribunal (CCPT) has hit pause on deciding the $220 million fine slapped on WhatsApp and its parent company, Meta, by Nigeria’s Federal Competition and Consumer Protection Commission (FCCPC) last year July. 

The tribunal, led by Thomas Okosun and a three-member panel, wrapped up hearings from both sides but decided to adjourn and keep everyone waiting.

Here’s the gist: Meta and WhatsApp are pushing back, arguing that the FCCPC shouldn’t even be in this business since data protection falls under the Nigeria Data Protection Commission (NDPC). 

They’re also calling out the FCCPC for what they say are unrealistic demands, like building a separate consent mechanism for every single data point processed for Nigerian users. Oh, and don’t forget the fine — they claim it’s over-the-top and even bigger than the budgets of some Nigerian states.

Rewind to July 2024, when Meta and WhatsApp officially appealed the fine, citing 22 objections. Their legal team, led by Senior Advocate of Nigeria (SAN) Professor Gbolahan Elias, said the fine is outrageous, the FCCPC’s directives are vague and nearly impossible to implement, and, overall, it’s all outside Nigerian law.

The fine stems from an FCCPC investigation that claimed Meta and WhatsApp violated consumer rights by allowing unauthorised access to user data. According to the FCCPC, Meta has been playing favourites, offering top-notch data protection in Europe while allegedly dropping the ball in Nigeria. They’re framing the fine as less about punishment and more about forcing Meta to fix what they see as discriminatory practices.

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The FCCPC even asked to submit its full investigation records to the tribunal for “transparency.” But Meta wasn’t having it, arguing that the records include new documents they hadn’t seen during the appeal process. Meta’s team called foul, saying it would complicate the case and mess with the appeal’s fairness.

This whole drama isn’t happening in a vacuum. Globally, Big Tech is no stranger to regulatory crackdowns. Meta, for example, got slapped with a massive €1.2 billion fine by the EU last year for not playing by their privacy rules. In response, Meta and WhatsApp insist they’re following global standards, even in Nigeria.

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The FCCPC, however, isn’t backing down. Babatunde Irukera, speaking for the Commission, defended the fine, pointing out that Meta made a whopping $134.9 billion in revenue in 2023 — so, yeah, they can afford to follow the rules. He also accused Meta of exploiting Nigerian consumers by not offering the same level of protection it provides in Europe.

Now, the case is in limbo, with the tribunal yet to announce when they’ll give a final ruling. But when it comes, it’s likely to set the tone for how Nigeria handles big tech and enforces its data protection and consumer rights laws moving forward. Let’s just say, all eyes are on this one.


Safaricom to land its own undersea Internet cable

safaricom logo
Source: RegTech Africa

Kenya’s telco giant, Safaricom, has applied to the Communications Authority of Kenya for rights to land its own undersea Internet cable. 

If approved, this would be a first for a Kenyan telco, allowing Safaricom to build and run its submarine cable instead of depending on third-party providers.

This is all about giving Safaricom more control over high-speed Internet delivery, improving connectivity, and staying ahead in Kenya’s digital game. Right now, Safaricom gets its international bandwidth from providers like SEACOM, TEAMS, EASSy, and Telkom Kenya, the latter owning landing rights for five cables connected to Kenya. 

But recent outages, like the May 2024 disruptions on SEACOM and EASSy, left many parts of East Africa struggling with poor Internet. Safaricom had to scramble for extra bandwidth, which probably pushed them to start investing in their infrastructure.

With submarine cable rights regulated by the Communications Authority, Safaricom’s move shows its ambition to secure more independence over its Internet supply. 

And they’re going to need it, especially with Starlink shaking things up since it entered Kenya in mid-2023. Elon Musk’s satellite Internet has gained serious traction, offering reliable high-speed Internet, particularly in remote areas, and it’s challenging traditional players like Safaricom, which still holds about 37% of the fixed Internet market.

Safaricom isn’t taking the competition lightly. The telco has even called for regulatory measures to ensure companies like Starlink partner with local network operators. Clearly, Safaricom is gearing up for a major Internet showdown!

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Starlink pushes to launch in South Africa

A Starlink dish placed on a fence next to a house
Gbadebo's Starlink setup

Looks like SpaceX is getting serious about launching its satellite Internet, Starlink, in South Africa. SpaceX, Starlink’s parent company, is set to join public hearings hosted by the Independent Communications Authority of South Africa (Icasa) on February 5 and 6 to discuss new licensing rules for satellite services. And yeah, it’s all about getting the green light to finally operate in the country.

Here’s the tea: Starlink’s been ready to roll out in South Africa for a while now, but it’s been held back by Icasa’s rules that require companies to have 30% local ownership by historically disadvantaged groups (BEE rules). SpaceX isn’t exactly a fan of that policy, arguing it’s a dealbreaker for global satellite operators like them.

They’ve got a point — they’ve already set up a legal entity in South Africa and ticked most of the boxes, but that ownership requirement has kept them grounded. Now, SpaceX is asking Icasa to rethink its stance and consider “equity equivalent programmes” instead of insisting on local shareholding.

What’s that? It basically means companies could contribute to the local economy through things like universal service projects or other investments instead of giving up ownership. SpaceX says this approach would not only make it easier for foreign operators to invest but would also boost innovation and competition in South Africa’s tech space.

Starlink’s timing couldn’t be better. Internet coverage gaps in rural and underserved areas are a huge issue in South Africa, and satellite tech like theirs could help fix it. Plus, with the government’s SA Connect initiative aiming to expand broadband coverage, Starlink sees itself as a perfect fit.

But the story gets juicier. Starlink hasn’t been shy about flexing its track record in other African countries. In 2024 alone, it launched in places like Botswana, Zimbabwe, and South Sudan, proving it can handle high demand in markets with limited infrastructure. They’re essentially saying, “Look, we’ve got what it takes — just give us the chance!”

Icasa, for its part, is finally trying to clean up its act. It hasn’t issued new telecom licences in 13 years, but with these upcoming hearings and a proposed licensing framework published last August, the regulator is looking to make things more investor-friendly. The plan includes clearer rules, registration for international space providers, and reviewing spectrum fees to attract big players like SpaceX.

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The stakes are high, and if Icasa can strike the right balance, South Africa could benefit from a massive tech boost while keeping local economic goals in check. For now, all eyes are on February’s hearings — let’s see if they can pave the way for Starlink to finally launch in South Africa.


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Have a wonderful Wednesday!

Victoria Fakiya for Techpoint Africa.

She's autistic and interested in mental health and how technology can help Africans with mental disorders. Find her on Twitter @latoria_ria.
She's autistic and interested in mental health and how technology can help Africans with mental disorders. Find her on Twitter @latoria_ria.
She's autistic and interested in mental health and how technology can help Africans with mental disorders. Find her on Twitter @latoria_ria.

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