Meta Platforms:Regulatory Environment: Difference between revisions

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== Developments ==
== Developments ==
=== October, 2023 ===
October 3, 2023: Meta Platforms wants to charge European users $10.50 a month to use Instagram or Facebook free of ads on desktop and roughly $17 to use both accounts, that's according to the Wall Street Journal. On mobile devices, the company plans to charge around €13 to use either ad-free Facebook or Instagram. The mobile phone plan will factor in Apple's commissions. The Wall Street Journal said Meta detailed the plan to European regulators in September. Meta wants to roll out the plan in the coming months. The New York Times reported last month that Meta was considering coming up with the plan, but had not given the pricing as well as the timeline. Meta spokesperson said Meta believes in “free services which are supported by personalized ads” but looking for “options to ensure we comply with evolving regulatory requirements.” Ireland’s Data Protection Commission as well as the European Commission has not responded to the claims<ref>https://www.wsj.com/tech/meta-floats-charging-14-a-month-for-ad-free-instagram-or-facebook-5dbaf4d5?siteid=yhoof2</ref>. Europe accounted for 22% of Meta's revenue in 2022<ref>https://d18rn0p25nwr6d.cloudfront.net/CIK-0001326801/e574646c-c642-42d9-9229-3892b13aabfb.pdf (page 100)</ref>.   
October 3, 2023: Meta Platforms wants to charge European users $10.50 a month to use Instagram or Facebook free of ads on desktop and roughly $17 to use both accounts, that's according to the Wall Street Journal. On mobile devices, the company plans to charge around €13 to use either ad-free Facebook or Instagram. The mobile phone plan will factor in Apple's commissions. The Wall Street Journal said Meta detailed the plan to European regulators in September. Meta wants to roll out the plan in the coming months. The New York Times reported last month that Meta was considering coming up with the plan, but had not given the pricing as well as the timeline. Meta spokesperson said Meta believes in “free services which are supported by personalized ads” but looking for “options to ensure we comply with evolving regulatory requirements.” Ireland’s Data Protection Commission as well as the European Commission has not responded to the claims<ref>https://www.wsj.com/tech/meta-floats-charging-14-a-month-for-ad-free-instagram-or-facebook-5dbaf4d5?siteid=yhoof2</ref>. Europe accounted for 22% of Meta's revenue in 2022<ref>https://d18rn0p25nwr6d.cloudfront.net/CIK-0001326801/e574646c-c642-42d9-9229-3892b13aabfb.pdf (page 100)</ref>.   


=== September, 2023 ===
September 11, 2023: Meta starts implementing the Digital Markets Act (DMA) in WhatsApp. WABetaInfo reports that a new android version of WhatsApp has a new screen called “third-party chats”, which enables users to receive messages from people using other messaging tools<ref>https://finance.yahoo.com/news/whatsapp-reluctantly-started-cross-platform-131350736.html</ref>.
September 11, 2023: Meta starts implementing the Digital Markets Act (DMA) in WhatsApp. WABetaInfo reports that a new android version of WhatsApp has a new screen called “third-party chats”, which enables users to receive messages from people using other messaging tools<ref>https://finance.yahoo.com/news/whatsapp-reluctantly-started-cross-platform-131350736.html</ref>.


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September 1, 2023: Meta is considering a paid version of Facebook and Instagram with no ads in Europe in order to combat privacy regulations, that's according to the New York Times. However, it doesn't plan to get rid of the free version of Facebook and Instagram. The New York Times did not indicate how much the new version will cost. Meta has not responded to a request for a comment<ref>https://finance.yahoo.com/news/1-meta-may-allow-facebook-174004127.html</ref>.
September 1, 2023: Meta is considering a paid version of Facebook and Instagram with no ads in Europe in order to combat privacy regulations, that's according to the New York Times. However, it doesn't plan to get rid of the free version of Facebook and Instagram. The New York Times did not indicate how much the new version will cost. Meta has not responded to a request for a comment<ref>https://finance.yahoo.com/news/1-meta-may-allow-facebook-174004127.html</ref>.


=== August, 2023 ===
August 29, 2023: According to data from Similarweb and Data.ai, the decision by Meta to block news links in Canada have had no impact on Facebook daily active users as well as time spent on the app. This supports Meta's assumption that news adds little value to the company. Meta had said that less than 3% of its Facebook Feeds come from news. Meta declined to comment on the data<ref>https://finance.yahoo.com/news/exclusive-metas-canada-news-ban-101134650.html</ref>.
August 29, 2023: According to data from Similarweb and Data.ai, the decision by Meta to block news links in Canada have had no impact on Facebook daily active users as well as time spent on the app. This supports Meta's assumption that news adds little value to the company. Meta had said that less than 3% of its Facebook Feeds come from news. Meta declined to comment on the data<ref>https://finance.yahoo.com/news/exclusive-metas-canada-news-ban-101134650.html</ref>.


August 1, 2023: Meta has said that it will seek user consent before allowing businesses to send targeted ads to them. "Today, we are announcing our intention to change the legal basis that we use to process certain data for behavioural advertising for people in the EU, EEA (European Economic Area) and Switzerland from 'Legitimate Interests' to 'Consent'," Meta said in a blog post. The company noted that the change will not result in an immediate impact to its services in the region and that they factored it into its business outlook. "There is no immediate impact to our services in the region. Once this change is in place, advertisers will still be able to run personalised advertising campaigns to reach potential customers and grow their businesses. We have factored this change into our business outlook," it said. It added that it will share more information on how the process will work in practice in the coming months as it engages with the regulator<ref>https://about.fb.com/news/2023/01/how-meta-uses-legal-bases-for-processing-ads-in-the-eu/</ref>.
August 1, 2023: Meta has said that it will seek user consent before allowing businesses to send targeted ads to them. "Today, we are announcing our intention to change the legal basis that we use to process certain data for behavioural advertising for people in the EU, EEA (European Economic Area) and Switzerland from 'Legitimate Interests' to 'Consent'," Meta said in a blog post. The company noted that the change will not result in an immediate impact to its services in the region and that they factored it into its business outlook. "There is no immediate impact to our services in the region. Once this change is in place, advertisers will still be able to run personalised advertising campaigns to reach potential customers and grow their businesses. We have factored this change into our business outlook," it said. It added that it will share more information on how the process will work in practice in the coming months as it engages with the regulator<ref>https://about.fb.com/news/2023/01/how-meta-uses-legal-bases-for-processing-ads-in-the-eu/</ref>.


=== July, 2023 ===
July 17, 2023: Norway's data protection authority, Datatilsynet, said it will fine Meta $100,000 per day over data breaches unless it takes action aimed at resolving it. The regulator said the fine will start from Aug. 4 and will run until Nov. 3 unless action is taken by Meta. Datatilsynet said Meta can not collect user information such as physical address and use it to targeted advertising. "It is so clear that this is illegal that we need to intervene now and immediately. We cannot wait any longer," head of Datatilsynet's international section, Tobias Judin told Reuters. Meta said it will review the decision while adding that no immediate impact on its services is expected. The company noted, "We continue to constructively engage with the Irish DPC, our lead regulator in the EU, regarding our compliance with its decision." "The debate around legal bases has been ongoing for some time and businesses continue to face a lack of regulatory certainty in this area." Norway is not a member of the EU but is part of the European single market<ref>https://finance.yahoo.com/news/norway-regulator-fine-meta-over-085000683.html</ref>.
July 17, 2023: Norway's data protection authority, Datatilsynet, said it will fine Meta $100,000 per day over data breaches unless it takes action aimed at resolving it. The regulator said the fine will start from Aug. 4 and will run until Nov. 3 unless action is taken by Meta. Datatilsynet said Meta can not collect user information such as physical address and use it to targeted advertising. "It is so clear that this is illegal that we need to intervene now and immediately. We cannot wait any longer," head of Datatilsynet's international section, Tobias Judin told Reuters. Meta said it will review the decision while adding that no immediate impact on its services is expected. The company noted, "We continue to constructively engage with the Irish DPC, our lead regulator in the EU, regarding our compliance with its decision." "The debate around legal bases has been ongoing for some time and businesses continue to face a lack of regulatory certainty in this area." Norway is not a member of the EU but is part of the European single market<ref>https://finance.yahoo.com/news/norway-regulator-fine-meta-over-085000683.html</ref>.


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July 4, 2023: An EU Court of Justice has ruled that Meta must get user consent before sending personalized ads in certain circumstances. Unlike the recent decision by an Ireland court that fined Meta Platfroms $425 million and ruled that the company can't use its contracts to justify sending users personalized ads, today's rulling is not appealable. Meta Platforms started using an EU privacy law provision which cites the “legitimate interest” of its business after the former ruling. It also came up with forms which users can use to opt out of the personalized ads. However, the new ruling has stated that user's interest overrides the firm's " legitimate interest". It further stated that users must give consent freely instead of having to click "yes" to access a service. As such, the ruling will compel the likes of Facebook to ask users to opt in to ads that are of interest to them. It also gives the Ireland court a reason to quash the appeal that Meta is making regarding the former ruling. Meta spokesperson said that the company is evaluating the court's ruling and that it will comment further in due course<ref>https://www.wsj.com/articles/metas-facebook-needs-consent-to-personalize-ads-eu-court-rules-6c705f18?siteid=yhoof2</ref>.
July 4, 2023: An EU Court of Justice has ruled that Meta must get user consent before sending personalized ads in certain circumstances. Unlike the recent decision by an Ireland court that fined Meta Platfroms $425 million and ruled that the company can't use its contracts to justify sending users personalized ads, today's rulling is not appealable. Meta Platforms started using an EU privacy law provision which cites the “legitimate interest” of its business after the former ruling. It also came up with forms which users can use to opt out of the personalized ads. However, the new ruling has stated that user's interest overrides the firm's " legitimate interest". It further stated that users must give consent freely instead of having to click "yes" to access a service. As such, the ruling will compel the likes of Facebook to ask users to opt in to ads that are of interest to them. It also gives the Ireland court a reason to quash the appeal that Meta is making regarding the former ruling. Meta spokesperson said that the company is evaluating the court's ruling and that it will comment further in due course<ref>https://www.wsj.com/articles/metas-facebook-needs-consent-to-personalize-ads-eu-court-rules-6c705f18?siteid=yhoof2</ref>.


=== June, 2023 ===
June 23, 2023: Canada's senate passed a bill yesterday that will require Meta and Google to pay news outlets for content shared on the platforms. Meta confirmed that it will comply with the bill by ending news availability on Facebook and Instagram for Canadian users. “We have repeatedly shared that in order to comply with Bill C-18, which was passed today in Parliament, content from news outlets, including news publishers and broadcasters, will no longer be available to people accessing our platforms in Canada,” said Lisa Laventure, head of communications for Meta in Canada<ref>https://finance.yahoo.com/news/canadian-senate-passes-bill-requiring-211255685.html</ref>.
June 23, 2023: Canada's senate passed a bill yesterday that will require Meta and Google to pay news outlets for content shared on the platforms. Meta confirmed that it will comply with the bill by ending news availability on Facebook and Instagram for Canadian users. “We have repeatedly shared that in order to comply with Bill C-18, which was passed today in Parliament, content from news outlets, including news publishers and broadcasters, will no longer be available to people accessing our platforms in Canada,” said Lisa Laventure, head of communications for Meta in Canada<ref>https://finance.yahoo.com/news/canadian-senate-passes-bill-requiring-211255685.html</ref>.


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The Competition and Markets Authority (CMA) has until June 26 to consult on these commitments and if they are satisfied, they will close investigation on Meta platforms<ref>https://techcrunch.com/2023/05/26/to-avert-more-uk-antitrust-woes-meta-to-limit-how-it-uses-ad-data-to-boost-facebook-marketplace/</ref>.
The Competition and Markets Authority (CMA) has until June 26 to consult on these commitments and if they are satisfied, they will close investigation on Meta platforms<ref>https://techcrunch.com/2023/05/26/to-avert-more-uk-antitrust-woes-meta-to-limit-how-it-uses-ad-data-to-boost-facebook-marketplace/</ref>.


=== May, 2023 ===
May 22, 2023: Irish Data Protection Commission announced that it has fined Meta platforms €1.2 billion ($1.3 billion)  for transferring user data to the U.S, where it will be exposed to the prying eyes of the American security services. The commission has also asked Meta Platforms to stop " any future transfer of user data to the U.S" within 5 months. Additionally, Meta Platforms has been asked to stop “the unlawful processing, including storage, in the US” of such data within 6 months. The ban was widely expected though its impact has been reduced by the transition phases included in the decision as well as the possibility of a new EU-US data flows agreement that could be operational by June of this year<ref>https://www.bloomberg.com/news/articles/2023-05-22/meta-fined-record-1-3-billion-in-eu-over-us-data-transfers</ref>. This ruling applies only to Facebook and not WhatsApp or Instagram but the decision could force Meta to delete vast amounts of EU user data. Meta said they will appeal the decision and that no immediate disruption to Facebook services in the EU is expected<ref>https://www.nytimes.com/2023/05/22/business/meta-facebook-eu-privacy-fine.html</ref>.  The company said during the latest earnings call that " roughly 10% of worldwide ad revenue comes from ads delivered to Facebook users in EU countries."<ref>https://www.investmentwiki.org/wiki/Meta_Platforms:Quarterly_Results/2023_Q1#:~:text=Regulatory%20Environmennt%5Bedit,suspension%5B13%5D</ref> It also warned last year that if a new transatlantic data transfer framework doesn't materialize, it will be forced to pull its Facebook and Instagram services from EU<ref>https://www.bloomberg.com/news/articles/2022-07-29/meta-repeats-threat-it-may-pull-facebook-instagram-from-europe</ref>.
May 22, 2023: Irish Data Protection Commission announced that it has fined Meta platforms €1.2 billion ($1.3 billion)  for transferring user data to the U.S, where it will be exposed to the prying eyes of the American security services. The commission has also asked Meta Platforms to stop " any future transfer of user data to the U.S" within 5 months. Additionally, Meta Platforms has been asked to stop “the unlawful processing, including storage, in the US” of such data within 6 months. The ban was widely expected though its impact has been reduced by the transition phases included in the decision as well as the possibility of a new EU-US data flows agreement that could be operational by June of this year<ref>https://www.bloomberg.com/news/articles/2023-05-22/meta-fined-record-1-3-billion-in-eu-over-us-data-transfers</ref>. This ruling applies only to Facebook and not WhatsApp or Instagram but the decision could force Meta to delete vast amounts of EU user data. Meta said they will appeal the decision and that no immediate disruption to Facebook services in the EU is expected<ref>https://www.nytimes.com/2023/05/22/business/meta-facebook-eu-privacy-fine.html</ref>.  The company said during the latest earnings call that " roughly 10% of worldwide ad revenue comes from ads delivered to Facebook users in EU countries."<ref>https://www.investmentwiki.org/wiki/Meta_Platforms:Quarterly_Results/2023_Q1#:~:text=Regulatory%20Environmennt%5Bedit,suspension%5B13%5D</ref> It also warned last year that if a new transatlantic data transfer framework doesn't materialize, it will be forced to pull its Facebook and Instagram services from EU<ref>https://www.bloomberg.com/news/articles/2022-07-29/meta-repeats-threat-it-may-pull-facebook-instagram-from-europe</ref>.


== References ==
== References ==