{"id":8055,"date":"2024-07-01T17:29:04","date_gmt":"2024-07-01T17:29:04","guid":{"rendered":"https:\/\/tup.kxe.temporary.site\/eu-says-meta-ad-model-violates-digital-markets-act\/"},"modified":"2024-07-01T17:29:04","modified_gmt":"2024-07-01T17:29:04","slug":"eu-says-meta-ad-model-violates-digital-markets-act","status":"publish","type":"post","link":"https:\/\/okdesign.ca\/en\/eu-says-meta-ad-model-violates-digital-markets-act\/","title":{"rendered":"EU says Meta ad model violates Digital Markets Act"},"content":{"rendered":"


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European Union regulators today said Facebook\u2019s parent Meta violated its Digital Markets Act with its \u201cpay or consent\u201d ad model and may face massive fines. In this model, users must either pay to use Meta\u2019s platforms ad-free or consent to their data being processed for personalized advertising.\u00a0<\/p>\n

A statement<\/a> released today said the model does not allow users to exercise their \u201cright to freely consent\u201d to the combination of their personal data. The EU said for Meta to be compliant, it must offer \u201cequivalent services\u201d for users who won\u2019t give up their personal information to the company.<\/p>\n

\u201cThis binary choice forces users to consent to the combination of their personal data and fails to provide them a less personalized but equivalent version of Meta\u2019s social networks,\u201d regulators wrote.<\/p>\n

Meta pushed back on the ruling, saying it crafted its current model last year under the direction of the European courts so it could specifically comply with the DMA.<\/p>\n

\u201cSubscriptions as an alternative to advertising are a well-established business model across many industries, and we designed subscriptions for no ads to address several overlapping regulatory obligations, including the DMA. We will continue to engage constructively with the commission,\u201d a Meta spokesman said<\/a>.<\/p>\n

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\"2024<\/a><\/figure>\n<\/div>\n

The company said it looks forward to continuing dialogue with EU regulators about this.<\/p>\n

If the violations stand, Meta could be fined the portion of the money it has made in Europe, which could be as much as $13.4 billion, according to its latest earnings report.<\/p>\n

This is the second crack-down on a tech giant by the EU in the past seven days. Last Monday, regulators found Apple\u2019s app store in violation of competitiveness laws<\/a>.<\/p>\n\n\n

Why we care. <\/strong>Meta has made its fortune with targeted advertising, something that is essentially illegal under the GDPR. Regulators have been voicing doubts about the company\u2019s pay or consent model from the day it was introduced. It will interesting to see if Meta has a plan B ready.<\/p>\n

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Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

European Union regulators today said Facebook\u2019s parent Meta violated its Digital Markets Act with its \u201cpay or consent\u201d ad model and may face massive fines. 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