Europe’s highest court today ruled that Facebook cannot send personal information on European users to data centers in the US, invalidating a 15-year trans-Atlantic data transfer agreement. In a decision that could have far-reaching implications for many US tech companies, the European Court of Justice said that the EU’s Safe Harbor agreement with the US is “invalid” because the country does not guarantee adequate privacy protections. The agreement allows technology companies to transfer data from Europe to the US, provided that certain privacy requirements are met. According toThe Wall Street Journal, today’s ruling could impact around 4,500 companies that currently rely on the laws to transfer data to the US.
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