Meta to Offer EU Users Option for Less Personalized Ads Amid Regulatory Scrutiny

Meta Platforms, the parent company of Facebook and Instagram, has announced plans to provide European users with the choice of seeing “less personalized ads” on its social media platforms. The move, disclosed on Tuesday, aims to address growing scrutiny from European regulators, according to Reuters.

Menlo Park-based Meta said the changes would be implemented in response to direct requirements from EU regulators. In the coming weeks, European users of Facebook and Instagram who use the free versions of these services will have the option to see advertisements that are based on contextual factors, such as the content they engage with during specific sessions. The ads will also target users based on basic demographic information like age, gender, and location. Some ads may be briefly unskippable, Reuters reported.

Additionally, Meta intends to reduce prices for ad-free subscriptions for European users by approximately 40%. This decision aligns with Meta’s strategy to mitigate regulatory challenges in Europe, where authorities are pushing for reforms in how Big Tech firms operate within the region. Key among these regulatory measures is the Digital Markets Act (DMA), introduced this year, which seeks to curb the influence of major tech companies and foster competition from smaller firms.

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In a response to Reuters, a spokesperson from the European Union commented on Meta’s new approach, stating, “The new model introduced by Meta is under Meta’s sole responsibility, and it is neither endorsed by nor agreed with the Commission.” The spokesperson added that the EU’s focus remains on ensuring Meta achieves “full and effective compliance” with EU regulations.

The company’s actions follow a recent decision by the European Court of Justice, which ruled that Meta must limit its use of personal data collected from Facebook for targeted advertising purposes. This decision, prompted by a complaint from privacy activist Max Schrems, strengthens the push for greater data protection and user privacy in Europe.

Anu Talus, chair of the European Data Protection Board, expressed support for Meta’s recent developments, saying, “While the solution still needs to be assessed, we welcome the fact that an important platform announces that it will offer a new choice for free with less detailed profiling for advertising.”

Source: Reuters