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Meta continues to bump heads with EU regulators over new controversial privacy policy.
The company, which has previously postponed the launch of multiple products in the EU due to scrutiny, is now facing backlash for its new “consent or pay” policy. EU consumer authorities instructed the company in late July to address concerns raised by European consumer groups or have to face action.
Meta’s new approach, which was introduced late last year, requires users to pay in order to opt out of data collection. If users wish to continue using the successful platforms for free, they must give consent to sharing their private data with Facebook and Instagram.
This policy raised concern with European consumer groups, who filed complaints to the network of consumer protection authorities (CPC) over it. Now, CPCs in Europe have sent a letter to Meta, warning that the policy “could potentially be considered unfair”, as reported by TechXplore. Meta’s implementation of the new policy was criticized for its misleading nature, utilizing convoluted language, multiple screens and other questionable practices. Meta was given the deadline of September 1 to reply to the letter and offer solutions.
The action was coordinated with the CPC network by EU regulators in the European Commission. “If Meta does not take the necessary steps to solve the concerns raised, CPC authorities can decide to take enforcement measures, including sanctions,” stated the commission.
In early July, Meta was accused by regulators in the EU of violating its new competition rules, which, they claim, forced a “binary choice” on users. If this violation is confirmed, the company could be faced with heavy fines.
Meta, on their part, defended the model, insisting it does align with EU rules and saying that “Subscriptions as an alternative to advertising are a well-established business model across many industries. Subscription for no ads follows the direction of the highest court in Europe and we are confident it complies with European regulation.”
Director General of the umbrella group for European consumer groups, Agustin Reyna, insisted that Meta must quickly change the screen shown to the user when they need to agree to this new policy, in a way that provides consumers with a “fair and freely given choice”.
