Who knows? Probably fishy things, what other explanation is there?
How about: Not making enough money to actually update the codebase.
You can be doing good, normal things and still not be compliant with the law.
As I understand it, the law was passed because the representatives of the people of europe saw a misalignment between "normal" and "good" and decided to enforce it.
What good things can you be doing with my stored data that you don't need to run your service?