Sophie Blake
In response to ongoing demands from EU regulators, Meta has made substantial adjustments to its ad-free subscription model for Facebook and Instagram in Europe, focusing on affordability and offering EU users greater control over their data and advertising experience. The tech giant has announced a 40% price reduction in its subscription fees, aiming to make the ad-free experience more accessible while also introducing a “less personalized ads” option for those who prefer not to subscribe but wish to limit the data used to target them with ads.
Meta initially introduced the subscription service last year in response to GDPR requirements, which demanded that social platforms allow users to opt out of personalized advertising. While the subscription service met these requirements, critics argued it contradicted the essence of GDPR by continuing to impose a fee on privacy. With the reduced price point, the monthly fee for ad-free access will now be €5.99 on the web and €7.99 on iOS and Android, with a reduced rate for additional accounts. Existing subscribers will automatically receive the lower rate, while Meta will prompt all EU users again to choose between subscribing or continuing to use a free but ad-supported version of the platforms.
For those who opt not to pay, Meta’s “less personalized ads” option is designed to meet EU regulatory expectations, minimizing data used in targeting. Ads will now rely on broader categories such as age, location, and gender, resulting in less relevant ads, which may feature unskippable segments—a move that aligns with Meta’s intent to balance user choice with revenue needs. Meta has also expressed concerns over the potential economic impact, emphasizing that personalized ads have historically driven growth for small businesses, which make up over 99% of businesses in the EU. The company cited that businesses earn an estimated €107 billion annually from Meta’s personalized ads, making this model vital for economic sustainability.
Comments
Loading…