Under the tech giant’s new service in the EU, users must choose between consenting to personalized ads or paying €12.99 (£11) per month to opt out of them. The Commission has taken the “preliminary view” that this “binary” advertising choice presented to users fails to comply with the Digital Markets Act (DMA). Reports Technology News
However, Meta contends that its EU advertising model is compliant with the DMA regulations. The company maintains that it is offering users a fair and lawful choice regarding personalized advertising.
“Subscription for no ads follows the direction of the highest court in Europe and complies with the DMA,” a Meta spokesperson mentioned
The firm faces a potential fine of up to 10% of its global revenue if the EU determines it has failed to comply with its rules. The EU stipulates under the DMA that users who do not consent “should still get access to an equivalent service which uses less of their personal data” for personalized advertising.
This development comes less than a week after EU regulators accused Apple of violating the same laws with its App Store, marking the first instance of a company being found in breach of the DMA.