The European Commission confirmed the penalty on Thursday, saying the Chinese e-commerce company did not properly identify and manage risks linked to products sold to EU consumers.

The case sits under the Digital Services Act, a law that governs large online platforms.

The Commission opened its investigation in 2024, shortly after Temu expanded further across Europe. It followed complaints from the European Consumer Organisation (BEUC) and 17 of its national members.

Regulators said those complaints pointed to unsafe goods circulating widely on the platform.

Officials also carried out mystery shopping tests. A high number of phone chargers failed basic safety checks, while several baby toys also contained chemicals above legal limits or created choking risks.

The EU said Temu did not go far enough in assessing how its systems might increase those risks. It pointed to product recommendation tools and influencer-linked promotions that could push more unsafe goods into view.

Henna Virkkunen, a European Commission official responsible for technology, criticised the company’s approach.

She said “the company’s assessment of its risks leaves regulators, users, and the public in the dark about the true scale of potential harm posed by illegal products sold on Temu,”

“Now it is time for Temu to comply with the law,” she added.

The Commission said the platform must now submit a compliance plan by August 28, 2026. Officials will review the plan two months after submission to decide if Temu has met its obligations.

Temu responded to the decision and rejected parts of the findings. A spokesperson said: “Temu respects the objectives of the Digital Services Act and the need for clear, consistent rules across the digital economy. However, we disagree with the European Commission’s decision and consider the fine to be disproportionate,”

The company added: “The decision relates to our first DSA assessment in 2024 and does not reflect the current state of our systems. Temu engaged constructively with the Commission throughout the process and has since taken further steps to strengthen risk assessment, platform governance, and user protection,”

Temu also said it would continue to work with regulators and consider its options.

The penalty is the second enforcement action under the Digital Services Act. It is also the largest fine issued so far under the law. The first was against X, which faced a penalty over transparency issues.

The law requires large platforms to identify and reduce systemic risks. It also demands stronger oversight of illegal or harmful products, along with clearer information on how recommendation systems operate.

Beyond Temu, the EU investigation also revealed issues about low-cost imports from China. Officials have been placing focus on large online marketplaces as part of trade and consumer protection efforts.

Other platforms are also under review. Shein and AliExpress are both facing separate investigations linked to unsafe or counterfeit goods.

Meanwhile, JD.com is under examination over its planned purchase of German retailer Ceconomy, with regulators questioning whether foreign subsidies may distort competition.

There is also a policy debate inside the EU, with officials discussing new trade and industrial measures aimed at balancing competition with Chinese e-commerce firms and protecting local businesses.

The issue has also reached the global level. In the United States, Temu stopped shipping directly from China after a policy change closed a duty exemption on low-value imports.

Filed on 17 July 2025, the complaints target the companies for failing to meet obligations under Article 15 of the General Data Protection Regulation (GDPR), which entitles individuals to obtain a complete copy of their personal data. 

According to noyb, these Chinese-owned platforms are deliberately making it difficult for users to access their data in full, a legal requirement across the European Union.

While many technology firms provide users with structured tools to download their data, noyb said TikTok, AliExpress, and WeChat either delivered incomplete data, delayed their responses, or provided files so disorganised that users could not understand them.

“TikTok, AliExpress and WeChat love collecting as much data about you as possible – but vehemently refuse to give you full access as required by EU law,” stated Kleanthi Sardeli, data protection lawyer at noyb.

In its complaint, noyb outlined the extent of each company’s alleged non-compliance:

• TikTok reportedly provided users with raw, unstructured data that lacked explanations on processing purposes, recipients, or cross-border transfers.
• AliExpress sent a corrupted data file that could only be accessed once and failed to engage meaningfully with further requests.
• WeChat responded after six months, offering generic instructions but none of the mandatory information concerning data transfers or safeguards.

This isn’t the first time noyb, short for “None of Your Business”, has challenged Chinese tech companies over data privacy violations. In January 2025, it filed complaints against six Chinese firms, including Shein, Temu, Xiaomi, AliExpress, TikTok, and WeChat, pointing to unlawful data transfers to China. 

The advocacy group argued that China’s status as an “authoritarian surveillance state” makes it impossible for companies to guarantee that European user data won’t end up in government hands.

At the time, noyb demanded suspension of all data transfers to China and penalties of up to 4% of global revenue. If enforced, AliExpress could face a fine of €147 million, while Temu risks €1.35 billion.

EU regulators have issued more than 6,680 fines worth €4.2 billion since GDPR enforcement began in 2018. However, enforcement against non-European platforms has been inconsistent. 

Noyb’s latest filings seek to pressure regulators into closing that gap, particularly as Chinese platforms continue their aggressive expansion into European markets.

Noyb has previously gone after U.S. tech giants like Apple, Alphabet, and Meta, contributing to regulatory investigations and billion-euro penalties.

The current cases are escalations against Chinese companies accused of privacy violations and undermining European digital sovereignty.

Launched to meet the pressing need for a card scheme tailored to African markets, Verve has grown into a trusted household name, with over 85 million cards issued and presence in several African countries with an expanding consumer appeal across Africa.

Verve’s story began with a challenge; existing international card solutions struggled to meet the needs of Africa’s diverse and dynamic markets. Issues like regulatory complexity, limited infrastructure, and inconsistent connectivity posed serious barriers.

Verve responded with purpose-built solutions engineered to perform where others couldn’t, delivering stability, security, and interoperability for consumers and institutions alike.

From its roots in Nigeria, Verve has steadily expanded its reach and impact. Today, the Verve network powers millions of transactions daily across ATMs, POS terminals, web, retail outlets, online and offline platforms, while remaining grounded in its commitment to local relevance and innovation.

Now with a network of over 350 members, Verve has earned deep trust across the banking and fintech sectors. Its continued growth underscores a broader narrative: Africa is not just adopting digital payments, it’s shaping them.

Furthermore, strategic partnerships with companies like Manipal and Cardforte have enabled the production of eco-friendly Verve cards, allowing Verve to align with global sustainability goals without compromising on durability or security.

Driving Innovation and Regional Integration: Verve’s Expanding Footprint

Verve continues to evolve with the changing expectations of today’s consumers. Recognizing the growing demand for speed and convenience, the brand introduced contactless payment solution, allowing cardholders to tap-to-pay for quicker, more secure and convenient transactions.

Over 30 million Verve Contactless cards have been issued, and the contactless cards are accepted in about ninety percent terminals across Nigeria.

This feature underscores Verve’s commitment to enhancing user experience through innovation rooted in local relevance.

Breaking Barriers to Cross-Border Payments

One of Verve’s most strategic advancements in recent years is its focus on enabling seamless cross-border payments within Africa.

Through a landmark partnership with GIM-UEMOA, the regional switch for the West African Economic and Monetary Union, Verve became the first Nigerian and African card scheme integrated into a major regional payment network. This integration connects over 130 million people across eight West African countries.

With this breakthrough, Verve cardholders can now perform transactions including withdrawals from ATMs, and more, across the UEMOA region.

This dual strength, regional relevance and collaborations with global brands such as Google, Spotify, Temu, AliExpress, Uber, Facebook Ad, Netflix, amongst others, sets the card apart as a uniquely African success story in the digital payments space, with a future focused on deeper financial inclusion and continental interoperability

This marks a significant milestone in Verve’s journey to building a truly interconnected African payment network.

This expansion is powered by a strategic partnership with GIM-UEMOA, the regional payment switch facilitating interoperability and financial inclusion across the UEMOA region, connecting banks and financial institutions in Francophone Africa.

GIM-UEMOA provides the ideal platform to scale Verve’s reach in the region, offering a seamless connection between financial institutions, businesses, and consumers.

At its core, this partnership is about expanding access, unlocking opportunity, and driving shared progress.

Through this collaboration, Verve is enabling millions of new users and businesses to access seamless, secure, and inclusive payment experiences, while reinforcing its commitment to innovation that meets the continent’s evolving financial needs.

For consumers, this means the ability to use Verve cards across borders, connect with a wider network of merchants and services, and participate more fully in Africa’s growing digital economy.

For businesses and financial institutions, it opens the door to new growth opportunities by providing access to a broader, digitally enabled customer base.

This isn’t Verve’s first bold step. Over the years, the brand has formed strong alliances with global platforms such as Google, AliExpress, Temu, Netflix, Amazon Prime, and Spotify, among others.

These partnerships allow Verve cardholders to easily access digital content, lifestyle perks, and everyday functionality, positioning Verve as not just a payment card, but a trusted lifestyle companion.

In keeping with its commitment to consumer engagement, Verve continues to celebrate and reward its users through initiatives like the Verve GoodLife Promo, a campaign that rewards cardholders with exciting perks for everyday transactions.

With the expansion into UEMOA, users across these new markets, including tourists, visiting consumers and entrepreneurs, can now look forward to the same rewarding experience that Verve cardholders enjoy in other parts of Africa.

As Verve’s presence grows across the continent, so does its promise to deliver more value, convenience, and memorable experiences to users in every market it enters.

This expansion into the UEMOA region brings Verve closer to its vision of connecting Africa through secure and inclusive digital payment solutions. It’s not just about where Verve cards can go, it’s about what they can empower people to do.

Whether you’re a bank looking to broaden your digital offerings, a business aiming to reach more customers, or a consumer ready to experience smarter payments, Verve is here to empower your next step. Join the revolution!

These partnerships allow Nigerian shoppers to enjoy seamless, secure, and direct Naira payments on both platforms, eliminating foreign exchange hurdles and enhancing the cross-border shopping experience.

Previously, Temu, a rising global e-commerce platform, did not accept Verve cards, requiring Nigerian shoppers to rely on Visa, Mastercard, or virtual dollar cards for transactions.

With this new partnership, Verve cardholders can now make direct purchases in Naira, accessing Temu’s vast selection of affordable products without the complexity of currency conversions.

Similarly, AliExpress, a subsidiary of Alibaba, now fully accepts Verve cards for payments, addressing previous payment challenges faced by Nigerian users.

Through this collaboration, Verve is simplifying digital commerce, enabling Nigerians to shop on global platforms with ease and security, thereby staying true to its brand promise of making transactions and payments seamless and enriching.

Beyond growing its reach, Verve, with over 15 years of consistent quality delivery, is also shaping the future of payments with its transition to contactless technology, enabling faster, more secure, and convenient transactions across digital and physical payment channels.

Verve’s over 70 million cardholders can now enjoy the ease of tap-and-go payments, further enhancing their transaction experience.

Verve cards are widely accepted across Nigeria and select African countries, providing seamless transactions across ATMs, PoS terminals, and online platforms. Cardholders can also use their Verve cards for subscriptions on Google Play, YouTube Premium, Netflix, Amazon Prime, Uber, Spotify, among others, ensuring a broader, more integrated payment experience.

Through these strategic advancements, Verve, Nigeria’s foremost domestic card, is redefining global commerce, empowering African consumers with seamless, secure, and borderless payment solutions.

With such commitment to continue to expand its reach and innovate, it is not a surprise there are over 70 million Verve cards and token in circulation.

These platforms usually boast an extensive catalogue of products and the lowest of prices. At first glance, this seems like a win for the average consumer, especially with the current rise in inflation, but beneath the surface, these digital platforms pose a serious threat to our economy, local businesses, and long-term economic sustainability.

The sudden influx of these platforms is somewhat suspicious especially as they do not have any offices/representation in the country.

This means aside from collecting money from Nigerians, they have no substantial contribution to the economy via taxes, job creation etc.

The growing trend of these companies expanding into new markets, especially in developing nations like ours, as existing ones become less accessible, is concerning.

For instance, Temu‘s entry into Nigeria aligned with mounting challenges faced by its parent company, PDD Holdings, in international markets.

Vietnam issued a threat to ban the platform until it registers with local authorities. The app was also removed from major stores in Indonesia to protect domestic retailers.

Additionally, the company has faced lawsuits for violating customer privacy, allegedly using its e-commerce platform to acquire and sell user data.

Another lawsuit was issued against the company for sending marketing texts to people on the National Do Not Call list.

With all of these, one could conclude that the company is only trying to move to more lenient markets like Nigeria where they can be less accountable, and they would be right.

After all, unlike homegrown platforms such as Jumia, Konga, and Glovo, which invest in local supply chains, create jobs, and contribute taxes, companies like Temu operate with minimal local engagement.

So, what are the results of the infiltration of these foreign e-commerce platforms in Nigeria?

The Silent Strangulation of Nigerian SMEs

From rising production costs to unpredictable government policies, running a business in this economy is already a Herculean task.

The infiltration of the market with these ultra-cheap imports, often of questionable quality marketed by these platforms means that small and medium-sized enterprises (SMEs) who are already struggling with profitability, will bear the brunt.

Local businesses will not be able to compete with products priced far below market rates, especially when those prices are backed by massive tariffs.

The result? Shrinking profit margins, declining local production, and, ultimately, job losses. The irony is painful. While we celebrate the convenience of these platforms, we might, in fact, be funding the slow death of our own economy.

Hidden Cost of Cheap Deals: A Digital Economy That Doesn’t Benefit Nigerians

The Nigerian government has been vocal about its push for a digital economy, but what good is it if the wealth it generates never stays within our borders?

Non-resident e-commerce platforms enjoy free rein, making money off Nigerians without contributing meaningfully to Nigeria’s economy; isn’t that a major hidden cost of cheap deals?

This leaves the government with fewer resources to invest in infrastructure, social services, and local business support.

Meanwhile, resident e-commerce companies like Konga, Glovo, and Jumia, despite facing their own challenges, play by the rules.

They hire Nigerians, collaborate with local vendors, and pay taxes. These companies understand the nuances of our economy and strive to work within its realities, rather than exploit them.

The Case for Protecting the economy

Other nations fiercely protect their local industries. Why should Nigeria be any different?

We must rethink our policies to ensure that companies benefiting from Nigerian consumers also contribute to Nigeria’s economy.

This includes enforcing fair taxation on digital commerce, strengthening local manufacturing, and incentivizing consumers to support homegrown businesses to achieve long-term economic sustainability.

*Oluwaseun Olajide, a senior communications expert writes from Lagos

That’s why it focuses on breaking barriers and redefining convenience for its loyal customers.

The latest in its series of groundbreaking achievements is the acceptance of Verve cards on AliExpress, one of the world’s largest online retail platforms, unlocking new possibilities for cardholders. Abeg comot for road, Verve don enter AliExpress way!

This isn’t just a win for Verve; it’s a win for millions of its cardholders who can now explore a vast array of products on AliExpress, while enjoying the security and reliability they’ve come to trust in Verve.

This partnership marks another giant leap in Verve’s mission to establish itself as a global payment powerhouse.

Over the years, Verve has forged strong alliances with renowned global brands such as Google, YouTube, Netflix, Amazon Prime, Facebook, Uber, Facebook, Spotify, among others, enabling Verve cardholders to make seamless payments for subscriptions in Naira.

This partnership with AliExpress further demonstrates Verve’s commitment to empowering its customers with access to seamless digital payments and world-class services to meet their evolving needs.

Whether you’re looking to upgrade your tech gadgets, refresh your wardrobe, or find unique items for your home, AliExpress offers diverse possibilities, and Verve has made it easier than ever to shop and pay!

Here’s a step-by-step guide on how to shop on AliExpress using your Verve card:

• Sign in to your AliExpress account.
• Select your desired items and click ‘Buy Now.’
• Add a new card and input your Verve card details.
• Save and confirm your details (You can also opt to save the card for future payments).

The Naija’s Agba and Odogwu card is a perfect example of the saying, ‘the light that shines farthest shines brightest at its base!’ While Verve is making waves and securing global wins, it’s also spreading joy right here at home!

Through the ongoing Verve GoodLife Promo 5.0, Verve is offering incredible rewards and benefits to its cardholders.

Verve cardholders are enjoying up to 10 per cent cashback or discount for every transaction made at participating outlets, including Google, NNPC Retail, Addide, The Place Restaurants, Sweet Sensation, Chowdeck, BuyPower, and Market Square.

With Verve, the world is truly at your fingertips. From exploring global markets like AliExpress to enjoying rewards and discounts with local favourites, every swipe of your Verve card opens the door to endless possibilities. So why settle for less when you can have it all?

Why stand on the sideline awwwing and shouting “God abeg, barb me this style” when you can be part of the action?

Take advantage of these incredible opportunities today. Experience the freedom to shop globally at your convenience, and unlock endless possibilities with Verve. The future is here, and with Verve, you’re already a part of it!

This landmark partnership expands Verve’s global reach, offering seamless and secure payment solutions and providing millions of Verve cardholders and merchants worldwide with easy access to AliExpress’ extensive range of products, including fashion, electronics, home goods, beauty, and more.

The collaboration empowers Verve cardholders, both locally and internationally, to engage in cross-border transactions.

It also reinforces Verve’s unwavering commitment to delivering inclusive, innovative, and secure digital payment solutions that empower individuals and businesses alike, while bridging the gap in global digital commerce.

Speaking on the partnership, Vincent Ogbunude, Managing Director, Verve International, remarked: 

“We are excited to announce that Verve is now accepted on AliExpress, a globally recognised e-commerce leader. This marks a significant milestone in our global expansion journey, reflecting our commitment to providing cardholders with access to more possibilities in today’s digital economy. The addition of AliExpress to our growing network is just the beginning, there’s much more to come as we continue to innovate, expand, and deliver value to millions of Verve cardholders in Nigeria and beyond.”

Verve’s expanding global network is bolstered by partnerships with renowned brands such as Google, YouTube, Netflix, Amazon Prime, Facebook, Uber, Spotify, among others, enabling cardholders to conveniently pay for subscriptions in Naira.

These alliances solidify Verve’s position as a trusted leader in the digital payments space, ensuring that consumers can access top-notch services across diverse industries.

With AliExpress joining this network and Verve integrated into its payment options, Verve cardholders can easily shop and pay for a wide range of products.

To shop on AliExpress using a Verve card, simply sign in, select the items to buy, and click ‘Buy now.’ When prompted, add a new card and enter the Verve card details.

Save the information for future use, confirm the details, and complete the payment seamlessly.

In addition to expanding its global partnerships, Verve continues to reward its cardholders through the ongoing Verve GoodLife Promo 5.0, which launched on August 15, 2024.

The promo offers up to 10 per cent discount or cashback on every purchase made at participating outlets, including Google, NNPC Retail, Addide, The Place Restaurants, Sweet Sensation, Chowdeck, BuyPower, Market Square, and more. This initiative gives cardholders the opportunity to enjoy savings and exclusive benefits, reflecting Verve’s dedication to enriching their lives and reinforcing loyalty

This partnership with AliExpress highlights Verve’s commitment to redefining digital payments and enhancing the consumer experience. This collaboration empowers cardholders to seize cross-border opportunities, fostering greater financial inclusion and supporting economic growth.

With additional global partnerships on the horizon, Verve is poised for further innovation, bringing new developments that will enhance the value it offers to its cardholders.

The company remains committed to delivering seamless, secure solutions that enable individuals and businesses to connect with leading global brands, reinforcing its position as a leader in the digital payments space.

Key Findings

• Shopping and food delivery apps, notably Amazon Shopping and Wish, are the most data-hungry among various app categories.
• Amazon Shopping collects the most data points in its category, while Wish leads in linking and tracking user data.
• On average, shopping and delivery apps collect 21 out of 32 possible data points, with 95% linked to the user’s identity.
• Facebook and Instagram top the list of privacy-invasive apps, collecting all 32 data points, as defined by Apple.

The research highlights shopping and food delivery apps, particularly Amazon Shopping and Wish, as leading categories in user data collection, posing significant privacy concerns.

More than a third of shopping & food delivery category apps’ data is tracked (such as shared with a third-party advertising network or data brokers).

Research is aided by a free App privacy checker tool where users can select the specific apps they have on their phone and receive a report on the extent of data collection.

“Analyzing 100 popular apps on the App Store, we’ve found a concerning trend: nearly 20% of collected data is used for tracking. Such tracked data can be shared with third-party advertisers or data brokers, who use it to deliver personalized ads targeting the users, or aid companies in market research,” says Agneska Sablovskaja, Lead Researcher at Surfshark. “Understanding an app’s privacy policy is crucial for safeguarding digital autonomy.”

Shopping and food delivery apps collect more data points than average  

On average, shopping and delivery apps collect 21 out of 32 possible data points. Moreover, these apps link the most data to the user — 95% of collected data points are linked to the user’s identity.

According to the data privacy trends report, such apps tend to use collected data to track the user the most — a third of collected data points are used for these purposes.

Wish could be named the most data-hungry app within shopping & food delivery apps category, collecting 24 out of 32 data points, linking almost all data points to the user’s identity, and using over a third of data to track its users. That’s considerably more than the average of 15 collected data points across all 100 examined apps.

Around 40% of data points collected by Wish and DoorDash are used to track the user, like email address, precise location, and purchase history.

Out of the analyzed shopping & food delivery apps, only one — Amazon — does not use data to track its users. But it collects most of the unique data about the user (25 of 32 possible data points), and also, also all the collected data is linked to the user’s identity.

If we look at food delivery apps specifically, Uber Eats stands out as tracking (sharing with third parties) the most data points out of the collected (12 out of 21), such as phone number, physical address, search history and more.

GrubHub tracks 11, Instacart – 10. 10 analyzed Shopping & food delivery apps were: Amazon Shopping, eBay Marketplace, AliExpress, Etsy, Wish. DoorDash, Uber Eats, Grubhub, Deliveroo, Instacart.

Around half of the 100 analyzed apps collect search history and precise location

1523 data points are collected across 100 of the most popular apps. Statistically speaking, that’s an average of 15 unique data points per app out of the 32 unique data points defined by Apple.

Around 90% of the apps collect usage, diagnostic, and identifier data such as product interaction, user ID, device ID, crash and performance data. Most are essential for their app functionality.

Two-thirds of the apps collect your name and coarse location, and nearly half collect your precise location.

Coarse location is a more general estimation of where you are, while precise location is more detailed and accurate. Over a third of the apps collect your contacts, and a fifth collect your emails or text messages and browsing history.

Facebook and Instagram are the two most privacy-invasive apps. Both apps collect all 32 data points defined by Apple and are the only two to do so. Signal is also the only social media and messaging app to  make the top 10 most privacy-sensitive list.

It is the second least data-hungry app, collecting just 1 data point (phone number) that is not linked to you or used to track you.

Before downloading apps, it is recommended to check the developer’s reputation and data retention policies and pay attention to constant permission requests to access contact list, camera, storage, location, and microphone and limit the app’s access to information only when the app is in use.