EU Challenges Meta’S Ad-Free Paid Option as Breaching Digital Markets Act

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EU Challenges Meta’S Ad-Free Paid Option as Breaching Digital Markets Act
EU Challenges Meta’S Ad-Free Paid Option as Breaching Digital Markets Act

Africa-Press – Gambia. The European Commission has raised concerns over Meta’s introduction of a paid ad-free option on Instagram within the European Union, alleging that it violates the Digital Markets Act (DMA).

The DMA, which aims to promote fair competition and protect consumer rights in the digital market, prohibits practices that limit user choice. Under Meta’s model, users must either consent to personalized ads or pay €12.99 per month to opt-out, which the EU sees as a violation of this act.

In response to the Commission’s preliminary findings, Meta argues that its subscription-based service aligns with European legal standards, citing compliance with the DMA and decisions from Europe’s highest court.

However, the EU contends that the current offering fails to provide users with a genuine choice as mandated by the DMA. The DMA requires alternative services for those who decline personalized ads and utilize less personal data.

Meta, as a ‘gatekeeper’ under EU regulations, holds a significant role in the digital market. It could face substantial penalties, amounting to up to 10% of its global revenue, if found to be non-compliant.

This scrutiny follows recent actions against Apple under similar regulations, marking the EU’s proactive and vigilant enforcement of its digital market rules. These rules ensure fair competition and safeguard user data rights, demonstrating the EU’s commitment to these principles.

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