Microsoft plans to challenge the preliminary decision and penalty issued by the Irish DPC and intends to strongly defend itself if it becomes a final decision.
According to Silicon Republic, Microsoft has disclosed that the Irish Data Protection Commission has issued a draft decision imposing a substantial penalty on the company for purported violations of GDPR related to LinkedIn’s targeted advertising practices.
Microsoft received a non-public draft decision from the Irish DPC in April, proposing a fine of around $425m, as stated on its website’s investor relations section today (1 June).
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“After review and analysis, the company will increase its existing reserve for the matter and, based on current exchange rates take a charge of approximately $425m in the fourth quarter of fiscal year 2023,” the statement reads.
Microsoft plans to address the draft decision. “The company intends to dispute the legal basis for, and the amount of, the proposed fine and will continue to defend its compliance with GDPR. There is no set timeline as to when the IDPC will issue a final decision,” Microsoft wrote.
It added that, upon receiving a final decision, Microsoft will “consider all legal options and intends to defend itself vigorously in this matter”.
The Irish DPC initiated an investigation into LinkedIn and other companies for their purported infringements of Europe’s GDPR relating to targeted advertising practices. Microsoft stated that it collaborated with the DPC during the inquiry.