The European Union said Meta’s “pay or consent” advertising model for European users violates the bloc’s Digital Markets Act (DMA), according to preliminary findings released on Monday.
Meta launched the new advertising model – which requires users to pay for ad-free versions of Facebook and Instagram or consent to the use of their personal data for targeted advertising – in response to last year’s regulatory changes.
The European Commission concluded that the ad model violates the DMA because it does not allow users to opt for a service that uses less of their personal data and does not allow them to “exercise their right to freely consent” to the use of their data.
If the commission’s preliminary findings are confirmed, Meta could face a fine of up to 10% of its total global revenue.
“Our investigation aims to ensure contestability in markets where gatekeepers like Meta have accumulated the personal data of millions of EU citizens over many years,” said Margrethe Vestager, executive vice-president responsible for competition policy, in a statement.
“We want to empower citizens to take control of their own data and choose a less personalized ad experience,” she added.
A Meta spokesperson argued that the company’s ad-free subscription “follows guidance from Europe’s highest court and complies with the DMA.”
“We look forward to a more constructive dialogue with the European Commission to bring this investigation to a close,” the spokesperson said in a statement.
This story originally appeared on thehill.com read the full story
