EC Claims Meta Ad Model Violates DMA

The European Commission said that preliminary findings of its investigation found that Meta Platforms’ pay or consent advertising model breaches Digital Markets Act rules. The findings come as a part of an ongoing investigation into the tech giant set to conclude in March 2025.

Facebook and Instagram launched the no-ads subscription service in Europe last November, which requires users to subscribe to ad-free versions or consent to having their data tracked. The EC’s procedural step found the advertising model does not allow users to opt for a service that uses less of their personal data but is otherwise equivalent to the personalized ads-based service.  It also stated the ad model does not allow users to exercise their right to freely consent to the combination of their personal data.

“To ensure compliance with the DMA, users who do not consent should still get access to an equivalent service which uses less of their personal data, in this case for the personalization of advertising,” the EC findings stated. If Meta is unable to resolve the issues, the EC can impose a fine worth up to 10% of its total worldwide turnover, which could go up to 20% in case of repeated infringement. “We want to empower citizens to be able to take control over their own data and choose a less personalized ads experience,” said Margrethe Vestager, Executive Vice president in charge of digital policy at the EC.