The indeed not happy about a A business model that gives users in the EU, the European Economic Area and Switzerland the generous choice to continue using Facebook and Instagram with targeted advertising at no cost, or it is said to offer an ad-free experience.
Officials from the Consumer Protection Cooperation (CPC) Network – a group of national authorities that enforce EU consumer protection laws – suggested that Meta could be breaching consumer law with its “pay or agree” approach. The Commission, the executive body of the European Union, .
CPC Network sent Meta a letter outlining numerous ways it believes the company may be violating consumer laws. The company has until September 1 to respond to the officials’ concerns and propose solutions. If CPC officials find that Meta has not taken appropriate steps to address the issues, they may take enforcement action, including sanctions, against the company.
CPC officials suggested that Meta misled users and explained that Meta was free to use if they refused to pay a subscription fee when they actually monetized their personal data by showing targeted ads. They further say that it “confuses” users by requiring them to visit different areas of the privacy policy and terms of service to see how the Meta data is used for personalized ads.
Officials also targeted Meta’s “imprecise terms and language” that suggested subscribers would not see any ads, although they could still be displayed “when engaging with content shared by other members of the platform via Facebook or Instagram.” What’s more, they allege, Meta is allowing long-time users of Facebook and Instagram to opt-in without charge “immediately, without giving them advance notice, sufficient time, and a realistic opportunity to evaluate how that choice might affect their contracts.” pressure for Contact Meta by not allowing them to access their account before making a selection.
Meta introduced “pay or settle” options last year while maintaining its advertising model. CPC officials say they are concerned that “many consumers may be unduly pressured to quickly choose between consenting to data collection or paying a monthly fee,” fearing “immediate loss of access to their accounts and networks.”
The move is separate from other EU investigations into Meta’s “pay or agree” model. Earlier this month, AB said that Meta with this approach. If found guilty, Meta could be fined up to 10 percent of its global annual revenue.
In addition, the Commission asked the company in March for more information on its “pay or consent” model under the Digital Services Act, another law in the bloc designed to rein in the power of big tech companies. Not only that, there are consumer advocacy groups claims the approach violates the EU’s General Data Protection Regulation.
