Meta's Ad-Free Option Still Breaches EU Law, Consumer Group Claims

The European Consumer Organisation (BEUC) has accused Meta of violating EU consumer and privacy laws with its revised ad-free subscription service, despite changes made last year, Reuters reports. The group is urging regulators to take action against the US tech giant.

Meta launched the paid ad-free service for Facebook and Instagram in 2023, but subsequently offered European users the option to receive less personalized ads and a 40% reduction in the subscription fee. However, BEUC argues these changes are merely cosmetic and fail to address the fundamental issue of unfair choice presented to users.

"In our view, the tech giant fails to address the fundamental issue that Facebook and Instagram users are not being presented with a fair choice and is making a weak bid to argue it is complying with EU law while still pushing users towards its behavioural ads system," said Agustin Reyna, BEUC Director General.

The group, which initially complained to consumer protection authorities in 2023, contends that Meta's practices are misleading and its terms unclear, effectively steering users towards its preferred option. BEUC also asserts that users cannot freely consent to their data being processed and that Meta does not minimize the data collected. Additionally, the group alleges that Meta degrades the service for users who opt-out of personalized advertising.

A Meta spokesperson refuted BEUC's claims, stating that the November changes meet EU regulator demands and exceed what is required by EU law.

However, EU antitrust regulators charged Meta in July 2023 for breaching the Digital Markets Act, arguing that its paid ad-free service presented a binary choice for users. The ongoing investigation highlights the ongoing scrutiny surrounding Meta's business practices in the European Union.