The European Union notified Meta that its 'pay or consent' model for Facebook and Instagram could breach consumer protection laws, urging the company to propose changes or face fines by September 1st, 2024.
EU regulators critique Meta's model as misleading and confusing, offering users the choice to pay for ad-free use or consent to data collection, leading to concerns over privacy violations and user pressure.
EU Commissioner for Justice emphasized the need for transparency in companies' data usage practices, warning against misleading consumers into believing paid subscriptions guarantee ad-free experiences without data use.
Meta defended its model, stating that subscriptions for ad-free services are a common industry practice, aligning with the European court's direction, and expressing confidence in its compliance.
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