The problem of data outside the EU
Many BSP providers for WhatsApp have servers in the US or Asia. Every WhatsApp message sent or received through these providers is processed on infrastructure outside the European Economic Area (EEA). This constitutes a transfer of personal data outside the EU requiring specific legal guarantees.
Acceptable guarantees for non-EU transfers include: European Commission adequacy decisions, Standard Contractual Clauses (SCCs), and Binding Corporate Rules. In practice, many BSP providers lack adequate documentation on these transfers.
What an EU-hosted provider guarantees
An EU-certified BSP provider like Chat API by Roxpay guarantees that all processed data (phone numbers, message contents, metadata) remain within the EEA. This eliminates the non-EU transfer problem and simplifies GDPR compliance.
With EU hosting, the DPA with the BSP provider is sufficient to document the data processing responsibility chain. No need to implement SCCs or other additional guarantees for transfers, reducing compliance burden.
How to verify a provider's server location
Before signing with a BSP provider, explicitly ask where the production servers processing your data are located. Request DPA documentation and verify it specifies server geographic location. If the provider cannot provide this documentation, it is a warning sign.
Practical implications for company privacy policy
With an EU-hosted provider like Chat API, your privacy policy must mention the use of WhatsApp Business API as a communication tool and the BSP provider name. But it is not necessary to include clauses on non-EEA transfers, simplifying the document.
