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Spotify owes a $5.4 million fine to the EU

By Sarah Chen
2 min read
Spotify pmaylist
Spotify pmaylist
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Spotify is one of the top-choice apps when it comes to music streaming. The company has had a ton of experience and it has just begun to expand its feature-set. Podcasts and ebook support are just two of the new reasons the platform gives you to install it on some of the best phones out there.

But then it mishandled user data, so the EU had to fine it for $5.4 million.

The European Union spent a long time arranging the specifics of how companies of all shapes and sizes are to handle user data. We won’t bore you with the specifics, but the requirements are hefty and ranging from where the data should be handled to how it should be stored.

This, of course, is regarding the type of data that can be associated with an individual in order to recognise them as a person. When not handled correctly, this GDPR data may be used for nasty things like mass marketing or scams, so it is actually an important topic.

The fine in question comes from the Swedish Authority for Privacy Protection and is based on a complaint from way back in 2019. Talk about a blast from the past! It turns out that at one point, Spotify failed to provide customer data upon request, which is part of a user’s rights as per EU regulations.

But then it gets even better worse: Spotify failed to explain how they were using the data in question, which raised tons of concerns. And for context: this isn’t anything weird for the EU. When a company fails to give a good reason why it needs a certain type of data, a lot of EU citizens will be eager to pursue their rights.

In addition to the fine, Spotify is expected to present the complete set of requested data to the individual who submitted the complaint — even though at this point years have passed — along with the written process for data handling.

The Swedish PDA’s investigation concluded on the bright side, as it found that Spotify is doing things properly. That, however, won’t save the company from the aforementioned fine, so Spotify responded with intent to appeal this decision in the future.

Questions & Answers

Q.

What specifically did Spotify do wrong to incur this fine?

A.

Spotify failed to provide customer data when requested and also did not explain how they were using the data in question. These failures violated user rights under EU regulations, leading to the fine.

Q.

Which authority issued the fine against Spotify?

A.

The fine was issued by the Swedish Authority for Privacy Protection. Their investigation was prompted by a complaint made in 2019 concerning Spotify's handling of user data.

Q.

What additional action is Spotify required to take besides paying the fine?

A.

In addition to the fine, Spotify is expected to present the complete set of requested data and a written process for data handling to the individual who filed the initial complaint.

Q.

Will Spotify pay the fine or are they challenging the decision?

A.

Spotify responded with an intent to appeal the decision in the future. Despite the Swedish PDA finding that Spotify is now doing things properly, the company still faces the fine.

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