Meta Is Fined, Banned From Using Personal Data For Advertising In The EU

Facebook and Instagram advertisements may no longer seem so targeted for users in the European Union (EU), as a recent legal ruling prohibits the social media giant from using personal data to advertise to its members. 

This move, which resulted in a €390 million (US$414 million) fine, could eventually see users having to “opt in” for the technology giant to use their data for targeted advertisements on its platforms. 

According to The Guardian, authorities rejected Meta’s argument that users agree to allow their personal information to be used for targeted advertising when they enter into a “contract” via the terms and conditions when signing up. 

Initially, Ireland’s Data Protection Commission (DPC), which has regulatory power over Meta’s European headquarters in Dublin, had agreed that the “contract” agreement did not breach the EU’s general data protection regulation (GDPR). 

However, it ended up reversing its decision in order to abide by the recommendations of the European Data Protection Board, which represents all of the bloc’s privacy regulators. 

Naturally, this legislation could deal a huge blow to how the company operates, as its business model relies heavily on providing networks on which advertisers can target users based on their specific location, hobbies, or consumer behavior. 

Max Schrems, Honorary Chair of privacy campaigner Nyob, says users will now need to be given a ‘yes or no’ option, and must be allowed to “change their mind at any time.” 

The report notes that Meta has three months to comply with the latest ruling, though the company has since said it will be appealing against the decision which it deemed “incorrect.” 

[via The Guardian and Nyob, cover image via Rafael Henrique | Dreamstime.com]