Commission coordinates action by national consumer protection authorities against Meta on ‘pay or consent’ model

On Monday, the Consumer Protection Cooperation (CPC) Network sent a letter following concerns that Meta’s ‘pay or consent’ model might breach EU consumer law. The Commission coordinated this action which is led by the French Directorate General for Competition, Consumer Affairs and Fraud Prevention. The action started in 2023, immediately after Meta had requested consumers overnight to either subscribe to use Facebook and Instagram against a fee or to consent to Meta’s use of their personal data to be shown personalised ads, allowing Meta to make revenue out of it (‘pay or consent’).

Consumer protection authorities assessed several elements that could constitute misleading or aggressive practices, in particular whether Meta provided consumers upfront with true, clear and sufficient information. They analysed whether this information allowed consumers to understand the implications of their decision to pay or to accept the processing of their personal data for commercial purposes on their rights as consumers. In addition, CPC authorities are concerned that many consumers might have been exposed to undue pressure to choose rapidly between the two models, fearing that they would instantly lose access to their accounts and their network of contacts.

This coordinated action by the CPC network against Meta comes on top of other ongoing EU and national procedures related to the same model.

Source: European Commission