Meta announced that it will introduce an advertisement-free subscription option for Facebook and Instagram in Europe next month, in response to increasing government pressure on tech companies to modify their core products.
The social networking company stated that it will comply with “evolving European regulations” by offering the subscription option in the European Union, Iceland, Liechtenstein, Norway, and Switzerland. Users will have the choice to continue using Facebook or Instagram for free with ads or to subscribe and eliminate ads, starting from November, according to Meta.
The subscription cost will range from 9.99 euros a month ($10.58) on the web to 12.99 euros a month ($13.75) on iOS and Android devices, and will apply to linked Facebook and Instagram accounts. From March 1, 2024, an additional monthly fee of 6 euros for the web version and 8 euros for mobile access will be imposed for additional accounts.
Meta’s primary business model has revolved around providing free social networking services to users and selling advertisements to companies targeting that audience. The introduction of a paid tier highlights how tech companies must redesign their products to adhere to data privacy regulations and other government policies, particularly in Europe. Companies such as Amazon, Apple, Google, TikTok, and others are also making adjustments to comply with new European Union rules, given its population of approximately 450 million across 27 countries.
In July, the European Court of Justice, the highest court in the E.U., effectively prohibited Meta from combining user data collected across its platforms (including Facebook, Instagram, and WhatsApp) as well as external websites and apps, without explicit user consent, in order to safeguard privacy. This followed a January decision by E.U. regulators to fine Meta 390 million euros for compelling users to accept personalized ads as a prerequisite for using Facebook.
Meta stated that its decision to offer a subscription service in Europe aligns with the European Court of Justice’s judgment as a means of compliance. Subscriptions will provide users access to the platforms without utilizing their personal data for advertising purposes.
“We recognize the importance and purpose of these evolving European regulations and are committed to adhering to them,” Meta stated on its website when announcing the new paid tier.
While Meta emphasizes its commitment to maintaining user information in a private and secure manner, it supports an “ad-supported internet” that offers personalized products and services to individuals, while also facilitating small businesses in reaching potential customers.
Max Schrems, an Austrian privacy activist whose legal challenges against Meta contributed to the product changes, argued that the subscription offerings do not comply with the E.U. General Data Protection Regulation. He pledged to challenge this in court.
Mr. Schrems expressed skepticism about the compliance of a “pay-for-your-rights” system with the law, stating that the ability to protect one’s privacy may depend on their financial resources.
Aside from Meta, Apple is expected to be required to allow customers to download alternative app stores by March, as per another E.U. legislation called the Digital Markets Act. This law, passed last year, aims to enhance competition within the tech industry. Google is also making changes to conform to the new regulations.
In December, Amazon modified its shopping service to provide third-party merchants with increased visibility on its website, as part of a settlement with E.U. antitrust regulators.
