Meta has recently halted the use of its generative AI (GenAI) tools in Brazil after the country’s National Data Protection Authority (ANPD) issued a preliminary ban on the company's new privacy policy. This decision, driven by concerns over user data rights, underscores the ongoing global challenges faced by tech companies in navigating stringent data privacy regulations.

Brazil's ANPD has suspended Meta's policy over concerns about the company's use of personal data to train AI systems without explicit user consent, warning that this could lead to 'serious and irreparable damage' to data subject rights. A daily fine of 50,000 reais has been imposed for non-compliance, underscoring the importance of adhering to data protection laws. Meta expressed disappointment with the decision, viewing it as a setback for innovation and AI development in Brazil, while emphasizing its commitment to compliance and noting the impact of such regulations on technological advancement. This controversy reflects broader global challenges, with regions like the European Union also enforcing strict data privacy laws that prioritize user consent, often conflicting with the rapid pace of AI development. Human Rights Watch has raised alarms about the misuse of personal data in AI training, highlighting cases where personal photos, including those of children, have been inappropriately used in image datasets, posing significant privacy and ethical concerns. In response to these regulatory uncertainties, Meta has decided to withhold its AI models in Brazil and Europe, underscoring the ongoing tension between advancing AI technologies and complying with evolving data protection regulations.