EU hits Meta with $411 million fine for forcing users to accept personalized ads

AppleInsiderAppleInsider
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Meta, the parent company of Facebook and Instagram, has been told by a European Union privacy regulator that it cannot require users to opt into personalized ads, fines them $411 million.

Facebook's core business relies on user data collection and advertising
Facebook's core business relies on user data collection and advertising


Companies like Facebook and Instagram expanded into the monoliths they are due to their extensive user data collection and subsequent advertising. However, a new European Union ruling may put an end to that revenue source.

According to The Wall Street Journal, the Ireland Data Protection Commission ruled that Meta was violating European Union privacy law by requiring users opt into personalized ads to use its services. The ruling is coupled with a $411 million fine.

When a user signs up for an Instagram or Facebook account, they are asked to agree to the platform's Terms of Service filled with legal jargon. Most people just click agree and move on, but within those many pages is an agreement to provide data for personalized advertising.

The EU privacy regulator says that Meta cannot use its contracts with Facebook and Instagram users to justify showing personalized ads. That, in turn, would mean Meta would have to give users the ability to opt-out of personalized ads in order to operate in the EU.

Meta has disagreed with the ruling and plans to appeal it. The company's core business relies on its ability to collect immense amounts of user data and show hyper-targeted ads.

The company is facing a similar lawsuit in the United States, claiming that it circumvents user's choice for opting out of ad tracking using Apple's App Tracking Transparency feature.

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Comments

  • Reply 1 of 7
    racerhomie3racerhomie3 Posts: 1,264member
    The EU is out of its mind! They are trying to regulate American innovation with their policies 
    williamlondon
  • Reply 2 of 7
    OferOfer Posts: 241unconfirmed, member
    racerhomie3 said:
    The EU is out of its mind! They are trying to regulate American innovation with their policies 
    Oh yeah, because forcing people into giving up their privacy and accepting personalized ads is so innovative and beneficial to society.
    avon b7muthuk_vanalingammagman1979CNYMacUserbaka-dubbswilliamlondonappleinsideruserwatto_cobraHedware
  • Reply 3 of 7
    magman1979magman1979 Posts: 1,293member
    racerhomie3 said:
    The EU is out of its mind! They are trying to regulate American innovation with their policies 
    Oh look, a Zuckerfuck shill spotted…
    CNYMacUserwilliamlondonwatto_cobra
  • Reply 4 of 7
    baka-dubbsbaka-dubbs Posts: 175member
    racerhomie3 said:
    The EU is out of its mind! They are trying to regulate American innovation with their policies 
    We have reached this crazy point in America where people think all regulation is bad and companies must have your best interest at heart, cause that's how capitalisms works.  They would never us deceptive practices, unsafe products, or any number of immoral decisions in order to make just a little more money...
    muthuk_vanalingamwilliamlondonappleinsideruserJaiOh81watto_cobra
  • Reply 5 of 7
    racerhomie3racerhomie3 Posts: 1,264member
    magman1979 said:
    racerhomie3 said:
    The EU is out of its mind! They are trying to regulate American innovation with their policies 
    Oh look, a Zuckerfuck shill spotted…
    I don’t like Facebook and it’s products.Just look at their tracking inside the app using App Privacy Report. But people should stop using the platform if they value their privacy.This is similar to Epic not wanting to pay Apple Platform fees for using their APIs ,OS and distribution methods 
    williamlondonwatto_cobra
  • Reply 6 of 7
    avon b7avon b7 Posts: 7,703member
    racerhomie3 said:
    magman1979 said:
    racerhomie3 said:
    The EU is out of its mind! They are trying to regulate American innovation with their policies 
    Oh look, a Zuckerfuck shill spotted…
    I don’t like Facebook and it’s products.Just look at their tracking inside the app using App Privacy Report. But people should stop using the platform if they value their privacy.This is similar to Epic not wanting to pay Apple Platform fees for using their APIs ,OS and distribution methods 
    At this point in time, 'wanting' isn't relevant. You comply with the EU laws or you run the risk of a fine. 

    EU citizens fall under some of strongest data protection laws out there and it is highly unlikely (impossible?) that Meta wasn't aware of the infraction it was committing. They have the right of appeal on this one so let's see how it ends but it's not looking good.

    As for the EU being out of its mind, we'll that is a bit OTT, but each to their own. 


    muthuk_vanalingam
  • Reply 7 of 7
    ihatescreennamesihatescreennames Posts: 1,905member
    I don’t really care about Facebook forcing personalized ads on their users as I choose not to use Facebook. However, I’d be very happy if I was given the option not to have my information uploaded to Facebook simply because it happens to be in someone else’s address book. That’s not something I have control over, even if I choose not to use their products. 
    edited January 2023 dewmewilliamlondonappleinsideruserwatto_cobradanoxHedware
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