Meta considers charging EU users for ad-free Instagram & Facebook amid regulatory pressure

Meta is contemplating a subscription model for European users to access ad-free versions of Instagram and Facebook. The proposed charges range from €13 per month for mobile access to about €19 monthly for a combined package for both mobile and desktop.

The move comes as the tech giant faces regulatory scrutiny in the EU over its current advertising practices. At present, Meta's ad targeting methods, which involve tracking and profiling user activity, are considered unlawful due to a lack of valid legal basis.

Under the General Data Protection Regulation (GDPR), user consent is required for such activities. This consent must be informed, specific, and freely given. However, the interpretation of 'freely given' has been a point of contention, with some arguing that it does not necessarily mean free of charge.

In 2020, EU regulators mandated Meta to provide users with the choice to opt out of personalized ads based on their platform activity. While the proposed subscription model could fulfill this requirement, its compliance with EU laws remains uncertain.

Meta's business model heavily relies on ad revenues generated through user engagement. However, this approach has been increasingly criticized over the years, leading to the current predicament.

The possibility of an ad-free subscription model raises questions about its potential application in the US. While unlikely due to less stringent privacy regulations, a change in data collection and usage laws could compel Meta to consider a similar approach.