Tech giants to be hit with big fines for failing to protect user data

Big tech companies like Facebook and Google will be hit with hundreds of millions of dollars in fines by the Federal Government for failing to keep our data safe amid a global crackdown on social media giants.

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Tech titans such as Facebook and Google will be hit with hundreds of millions of dollars in fines by the Federal Government for failing to keep our data safe.

As political pressure grows on social media and internet companies for broadcasting the Christchurch massacre, Prime Minister Scott Morrison will today record penalties for online giants who breach privacy laws declaring “the internet cannot be a lawless society.”

The crackdown comes a week after Mr Morrison told The Sunday Telegraph he wanted companies such as Facebook and Twitter to take responsibility for broadcasting footage of New Zealand’s worst-ever mass shooting.

Social media companies like Facebook will face mega fines if they fail to keep user data safe. Picture: AFP/Justin Tallis

Today’s historic privacy shake-up will see online giants such as Google or Facebook fined hundreds of millions of dollars for serious data breaches or repeatedly flouting privacy laws, up from just $2.1 million.

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Mr Morrison told The Sunday Telegraph, tech titans must do the right thing with people’s information and stop hate content.

“They have had the smarts to build the technology and rake in the revenues, they can use these same smarts to keep Australians safe.”

The Sunday Telegraph can reveal next week’s Federal budget will include $25 million for Australia’s privacy watchdog to investigate dodgy tech companies who illegally track web activity without consent or collate personal data and share with third parties.

Australia’s Information Commissioner will also be given new powers to force the tech industry to take part in investigations and improve behaviour if caught mishandling data.

Tech giants like Google will also be targeted under the new government plan. Picture: AFP/Loic Venance

The new laws, to be introduced if the Coalition wins the election, will also boost the maximum penalties issued by the Australian regulator to either $10 million, three times the value of any benefit gained or 10 per cent of annual domestic turnover.

Regulators will be able to issue fines for the highest amount of those three amounts meaning Google could be slapped with a penalty as high as $102 million or $47 million for Facebook for doing the wrong thing, based on 2017 earnings.

The tough new approach brings Australia in line with European Union-wide privacy law, which came into effect last year. Big tech operators that refuse to co-operate with the Australian Information Commissioner or those that fail to change their behaviour will face additional penalties.

Today’s privacy crackdown comes ahead of a crucial meeting this week with Mr Morrison summoning tech giants to Canberra amid a global backlash following the viral spread of the Christchurch vision.