European Consumers' Group Urges Action Against Meta's Subscription Service

Meta Platforms' revamped ad-free subscription service may still breach EU consumer protection, privacy, and antitrust laws, the European Consumer Organisation (BEUC) said on Thursday, urging regulators to take action against the U.S. tech giant.

Meta, which launched the paid service for Facebook and Instagram in 2023, later offered European users the option of less targeted ads and a 40% fee cut last year. BEUC, which filed a complaint against the paid service with consumer protection authorities in 2023, said the changes made last year were cosmetic.

"In our view, the tech giant fails to address the fundamental issue that users on Facebook and Instagram are not offered a fair choice and is making a feeble attempt at arguing that it complies with EU law while it continues to nudge users towards its behavioral advertising," said BEUC Director General Monique Goyens.

"It is essential that consumer protection and data protection authorities, as well as the European Commission, swiftly investigate Meta's latest policy and, if necessary, take prompt and effective enforcement action to protect consumers," she added.

A Meta spokesperson disputed BEUC's findings, saying that the November changes met the requirements of EU regulators and went beyond what EU law required.

BEUC alleges that Meta's misleading practices and unclear terms guide users towards its preferred option. The consumer advocacy group also claims that users cannot freely consent to the processing of their data and that Meta fails to minimize the data it collects from users.

BEUC also accused Meta of providing a degraded service to users who do not consent to the use of their personal data.

EU antitrust regulators charged Meta in July last year with violating the Digital Markets Act, arguing that its ad-free paid service amounted to a binary choice for users.

(Reporting by Foo Yun Chee; Editing by Jane Merriman and Frances Kerry)