Observed Signal · Nov 12, 2024 · Policy Update · Source: OnlineMarketing.de · Impact: 4/5 · Sentiment: Negative
Meta Offers Less Personalized Ads in EU Under DMA
Meta announced in the EU a new option to see less personalized ads on Facebook and Instagram, in response to the European Union's Digital Markets Act (DMA). The DMA had initially deemed Meta's Pay-or-Consent model a violation, requiring privacy-friendly options without coercing consent to data processing or paid exemptions. In the coming days, EU users will be able to activate less personalized advertising at no extra cost. Meta also reduced its mobile ad-free subscription price from €12.99 to €8 per month, with a €5 surcharge for each additional account on the same device. The pricing change could significantly affect Meta's ad revenue in Europe, given the expected lower profitability of less personalized ads. The report references coverage from the Wall Street Journal and mentions Matt Navarra as a source.
Policy update under a major regulation (DMA) affecting EU advertising practices
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Key Takeaways & Evidence Grounding
- Meta will offer EU users a less personalized ads option at no extra cost
- DMA previously classified Meta's Pay-or-Consent model as a violation
- Ad-free mobile subscription price cut from €12.99 to €8 per month
- Additional accounts on the same device incur a €5 extra fee
- Pricing change may significantly impact Meta's European ad revenue
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ICANN Receives 1,615 New Top-Level Domain Applications
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