In response to European Union concerns, Meta Platforms Inc. is modifying its ad-targeting model for users in Europe. Facebook and Instagram users in Europe can now choose “less personalized ads,” allowing them to avoid the data-heavy tracking traditionally used for targeted advertising. This option provides an alternative to Meta’s “pay or consent” model, where users either subscribed or permitted extensive data use.
The new ad targeting will rely on basic user details like gender, age, and location within a two-hour timeframe. Additionally, Meta introduced an “ad break” format, which pauses on the screen for 2-3 seconds, enhancing ad visibility.
Meta’s previous model had breached EU antitrust rules under the Digital Markets Act (DMA), which mandates users have the option for less targeted versions of tech services. As a result, Meta reduced the subscription cost for its ad-free experience from €9.99 to €5.99 on web and from €12.99 to €7.99 on mobile.
This update marks the second significant business model adjustment Meta has made this year to align with EU regulatory requirements. In July, the European Commission flagged Meta’s setup as non-compliant, urging changes. While Meta stated it aims to enhance user control over data and ad relevance, EU regulators continue to scrutinize the company’s practices.
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