Tech Roundup: Brazilian government gives Google an ultimatum

You’re reading The Brazilian Report‘s weekly tech roundup, a digest of the most important news on technology and innovation in Brazil. This week’s topics: Google v. Brazil. The main tech events in the country. Embraer’s new endeavor. And Brazil’s 11th unicorn.

The Google ultimatum

The Brazilian government has given Google ten days to answer whether or not it wants to agree a settlement on a case concerning data privacy violation. The Justice Ministry proposed a consent decree with the tech behemoth in connection with an investigation launched in February, after prosecutors accused the Silicon Valley firm of violating the privacy of Gmail users and used the data for microtargeting advertisement.

Why it matters. Brazil’s internet legal framework established data privacy principles as a core value in the legislation. But the country still struggles to punish tech companies that violate data privacy norms. If convicted, Google could be fined up to BRL 9.7 million—which is negligible for a company that posted USD 136.8 billion in revenue in 2018 alone.

History. The investigation is an offshoot of a 2015 case filed in a federal court in the state of Piauí. In 2018, a judge sided with Google, but federal prosecutors appealed and the case remains open. Last year, the Justice Ministry said it found evidence the company had accessed the content of emails for marketing purposes without users’ explicit consent.

Response. Google has stated it hasn’t accessed users’ emails for microtargeting since 2017. “We are confident that our products comply with Brazilian legislation.”

New law. Brazil’s new Data Protection Law comes into effect this year, and includes much harsher punishments for companies that don’t abide by the rules. Penalties...