The European Union has finally handed down a penalty to Netflix for violating the General Data Protection Regulation (GDPR), five years after a complaint was filed against the streaming giant. The Dutch data protection authority (DPA) has fined Netflix €4.75 million (approximately $5 million) for failing to adequately inform customers about how their data is used, a requirement under the GDPR's data access rights.

The fine may seem like a drop in the bucket compared to Netflix's annual revenue of $33.7 billion in 2023 alone. However, the decision marks a significant milestone in the EU's efforts to hold companies accountable for protecting individual rights under the GDPR. The regulation, which came into effect in 2018, grants EU citizens the right to access their personal data, request corrections, and know how their information is being used.

The complaint against Netflix was filed by noyb, a privacy rights non-profit organization, which simultaneously targeted other streaming platforms, including Amazon Prime, Apple Music, and YouTube, over similar data access issues. While the Netflix case has finally reached a conclusion, most of the other complaints remain pending, with noyb taking some data protection authorities to court for inactivity.

The noyb organization has been instrumental in pushing for enforcement of individual rights under the GDPR. "Almost all complaints are still pending, except for Flimmit in Austria and for Spotify where we won last year after taking the DPA to court for inactivity," noyb told us. "Apart from that, our case against Apple Music is moving forward in Ireland and we took the Luxembourg DPA to court for inactivity (Amazon)." The organization's efforts have highlighted the challenges of turning individual rights into enforcement that holds power to account.

The Netflix case serves as a reminder of the importance of transparency and accountability in data protection. While the fine may not be substantial, it sets a precedent for companies operating in the EU to prioritize compliance with the GDPR. As the EU continues to grapple with the complexities of enforcing individual rights, this decision marks a significant step forward in protecting the privacy and data protection rights of its citizens.

It's worth noting that Netflix has objected to the penalty and may seek to appeal, which could lead to further delays and challenges in the enforcement process. Nevertheless, the decision underscores the EU's commitment to upholding the principles of the GDPR and ensuring that companies respect the rights of individuals.

As the tech industry continues to evolve, the Netflix case serves as a timely reminder of the importance of prioritizing data protection and privacy. With the EU leading the charge in regulating data protection, companies operating globally must take heed of the lessons learned from this case and ensure that they are complying with the highest standards of data protection.