Meta Faces Potential Daily Fines Over EU Antitrust Order

 Meta Faces Potential Daily Fines Over EU Antitrust Order

Meta Platforms could face daily fines if European Union regulators determine that recent changes to its "pay or consent" model still fail to comply with an earlier antitrust order. The warning was issued by the European Commission, the EU's competition authority, just two months after it fined Meta 200 million euros (234 million dollars) for violating the Digital Markets Act (DMA). This law aims to curb the dominance of Big Tech firms and promote fair competition.

Under Meta's model, introduced in November 2023, Facebook and Instagram users can either allow data tracking in exchange for free access or pay for an ad-free experience. EU regulators ruled that the original model breached the DMA until Meta made changes in November 2024. The Commission is now examining whether the revised model still violates the rules.

According to the EU watchdog, Meta has made only limited adjustments, and it remains unclear if those changes meet the key compliance requirements outlined in the non-compliance decision. If the company is found to be still in breach, it could face periodic fines starting from June 27, 2025. Such fines can reach up to 5 percent of Meta's average daily global revenue.

Meta responded by accusing the Commission of unfair treatment and inconsistent standards. A spokesperson defended the company's approach, stating that offering a choice between a paid, ad-free service and a free, ad-supported one is a legitimate business model. Meta claims it has gone beyond EU legal requirements in providing user options.

However, the European Commission rejected accusations of bias, affirming that the DMA applies equally to all major digital firms, regardless of their origin. The Commission emphasized its commitment to fair enforcement across all companies operating in the EU.

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