Meta has agreed to give Facebook and Instagram users across the European Union clearer control over how much personal data they share for targeted advertising, following sustained regulatory pressure and a hefty penalty under the EU’s Digital Markets Act (DMA).
According to a report by India Today, the move comes after the European Commission fined Meta €200 million in April for violating the DMA through its controversial “pay-or-consent” advertising model. Regulators had ruled that Meta’s earlier system which required users to either pay to avoid tracking or accept extensive data collection, did not offer a legally valid alternative.
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Under the revised framework, starting January, users in the EU will be presented with two explicit choices: consent to full data sharing for personalised advertising or opt for a reduced-data option that limits behavioural targeting. The European Commission has described this as an “effective choice” that improves transparency and user autonomy.
First meaningful opt-out for EU users
India Today reports that this marks the first time Meta has offered EU users a direct and meaningful choice over how much personal data is used for advertising across its two largest platforms. While limited options were introduced last year, EU regulators found those insufficient, noting that users still lacked a genuine alternative that did not rely heavily on behavioural data.
The violation period identified by regulators ran from November 2023 to November 2024. With the updated consent model now approved, Meta avoids the risk of additional daily penalties that could have reached up to 5% of its global average daily turnover.
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The agreement follows months of scrutiny from Brussels and criticism from digital-rights groups, which argued that Meta’s earlier approach effectively forced users into surveillance unless they paid for privacy. The Commission also pushed Meta to simplify wording, improve interface design and ensure users fully understood their options.
Meta, while agreeing to the changes, reiterated the economic importance of personalised advertising. As cited by India Today, the company said its targeted ads contributed €213 billion in economic activity and supported 1.44 million jobs across Europe last year. Meta maintains that the personalised ads remain vital for small businesses and creators, even as it adapts to stricter regulatory demands.
