The European consumer regulators, including the Netherlands Authority for Consumers and Markets (ACM), are addressing Meta for a possible violation of consumer law.
They see that Meta pressured consumers to choose between a paid and a so-called ‘free’ version of Facebook or Instagram, without consumers having the information to make the right choice. By choosing the so-called ‘free’ version, they gave Meta permission to show them personalized ads based on their (personal) data.
The European regulators see various practices in the rollout of the subscription model that may violate the rules that protect consumers from unfair practices. Such as misleading consumers by using the word ‘free’. While Meta demands that users who use Facebook/Instagram without costs, accept that Meta earns money from the use of their (personal) data by showing personalized advertisements.
According to the regulators, the information about how Meta uses preferences and (personal) data of consumers for personalized advertisements is difficult to find. Only after many clicks in the app or on the website can you find the information in the general terms and conditions and the privacy policy.
Meta has until 1 September 2024 to respond to the letter from the European CPC network of consumer authorities (Consumer Protection Cooperation) and the European Commission (which is coordinating this action) and take action. If Meta does not take the necessary steps, the CPC authorities may each proceed with enforcement.
Source: www.emerce.nl
