Press
The North Rhine-Westphalia consumer advice center is again filing a lawsuit against Meta for data protection violations in connection with its subscription model for Facebook and Instagram.
In November 2023, Meta introduced a new one Subscription model for Facebook and Instagram users one that gives members a choice: either they pay a monthly fee or they have to continue accepting personalized advertising. This model has led to legal disputes, including a successful case against Meta’s labeling of order buttons that were deemed misleading, according to a report by NEXTG.tv.
The legal challenges of the subscription model
The North Rhine-Westphalia consumer advice center has sued Meta again, this time because of the handling of user data as part of the subscription model, according to one Report on your own website. Despite the option to turn off advertising by paying 9.99 euros on Facebook or 12.99 euros via apps, Meta continues to collect data for other purposes. This was seen as a potential breach of the General Data Protection Regulation (GDPR).
The cost of the subscription varies depending on the platform. If you sign up via the Facebook website, the costs are lower than if you sign up via the Android and iOS app stores, which Meta justifies with additional fees for these platforms. Since March 2024, the price has only been valid for one account; additional fees will be charged for each additional one. When it comes to ads, Meta even recommends bypassing the Apple commissionby 30% when running ads on Facebook and Instagram to save.
Meta’s financial dependence on advertising revenue
Despite the new model, advertising remains a significant source of revenue for Meta. Advertising revenue accounts for a significant portion of total revenue, particularly in Europe Meta’s quarterly figures for the first quarter of 2024. The group emphasizes that the company wants to adapt to European regulations, but the current disputes show that conflicts with data protection authorities still exist. Most recently, Meta and TikTok filed a lawsuit against the EUbecause of the cost sharing of the Digital Services Act.
Outlook and possible consequences of the legal proceedings
The repeated legal challenge from the NRW consumer advice center could have far-reaching consequences for Meta’s business model and data protection practices in social networks. It remains to be seen how the court will evaluate the lawsuits and what changes Meta may have to make to comply with the regulations. Meta is once again in the legal spotlight, while the debate about data protection and user autonomy in digital media continues to be intense.
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