Meta’s pay-or-consent ad model could still face fresh DMA fines

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The European Commission is still considering whether to impose further fines on Meta over its advertising model under the Digital Markets Act (DMA) following a €200 million decision against the social media giant’s pay-or-consent ad practices earlier this year.

Meta was fined €200 million under the EU’s DMA in April over an advertising model that offers Facebook and Instagram users a binary choice of paying to access an ad-free version of the services or agreeing to be tracked for Meta’s ad targeting.

The Facebook and Instagram owner tweaked the pay-or-consent ad model in November 2024, offering users a lower price to access an ad-free version of its services and claiming it would reduce the amount of personal data used for ad targeting free users. But the Commission fine handed down in April was for Meta’s practices prior to those changes.

On Wednesday, the Commission confirmed to Euractiv that it has sent a letter to Meta related to the ongoing DMA proceeding – on what the Commission’s spokesperson, Thomas Regnier, described as “the remaining issues”.

The Commission would not confirm exactly what these are or whether Meta’s subsequent changes to the ad model are sufficient to rectify the company’s non-compliance.

“We are considering the next steps, including the possible application of periodic penalty payments in case of continuous non-compliance, as already indicated in the non-compliance decision,” Regnier added. 

In June, Meta confirmed to Euractiv that it had introduced limited changes to its advertising model, primarily tweaking the wording and design flow of the text that its app users see.

Separately, the social media giant also announced that it would be appealing the Commission’s decision and fine.

Under the DMA, each day of non-compliance after a deadline has passed can lead to penalty payments of up to 5% of a gatekeeper’s average daily worldwide turnover.

(nl)



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