Sources suggest that Meta’s social networks are contemplating monthly charges of €13 for mobile and €17 for desktop services
Meta, led by Mark Zuckerberg, is contemplating introducing a €13 (£11) monthly fee for users in the EU to access an ad-free version of Instagram or Facebook on their mobile devices. This move comes in response to increased regulatory scrutiny regarding data usage.
Additionally, sources familiar with the matter indicate that Meta is considering a €17 charge to provide an ad-free experience for Instagram and Facebook on desktop devices. For users who wish to enjoy both apps without ads on smartphones, the cost would be approximately €19 per month.
The social media firm is contemplating these fees in light of a July decision by the European Court of Justice, the EU’s top court. The court, based in Luxembourg, ruled that Facebook cannot rationalize utilizing individuals’ personal information for personalized ads, which is its primary revenue source for running the platform, unless it obtains their prior consent, as stipulated by Europe’s General Data Protection Regulation (GDPR).
The court ruling suggested the idea of implementing subscription charges as an alternative, potentially allowing for an “appropriate fee” to access an ad-free version.
Meta is currently in discussions with the Data Protection Commission of Ireland, which oversees the company’s operations throughout the EU due to Meta’s regional headquarters in Dublin. Additionally, Meta is engaging with European officials in Brussels to explore these plans further.
On Monday, TechCrunch reported that TikTok was preparing to trial a subscription service offering an ad-free experience for $4.99 per month, targeting users in an undisclosed English-speaking market outside the United States.
According to the Wall Street Journal, Meta’s ad-free initiative is referred to as SNA, or “subscription no ads.” It would provide users with the option of either continuing to access Facebook or Instagram for free with personalized advertisements or opting to pay for ad-free versions.
This plan could potentially roll out next month as Meta has until the end of November to adhere to the European Court of Justice’s ruling. However, regulatory authorities are scrutinizing the pricing structure to determine if the fees are affordable for individuals who prefer not to be subjected to targeted advertisements.
A spokesperson from Meta stated, “Meta upholds the importance of free services that are sustained through personalized advertising. Nevertheless, we are actively investigating possibilities to ensure our compliance with changing regulatory mandates.”
Max Schrems, a prominent advocate against Meta’s data handling practices, declared his intention to vigorously contest the subscription fee proposals if they were put into effect. Schrems, who has previously filed successful legal grievances against Zuckerberg’s platforms, asserted that these proposals equated to paying for fundamental rights.
The sale of fundamental rights is unacceptable,” he emphasized. “Would we be expected to pay for the privilege of voting or exercising free speech next? Such a concept implies that only the wealthy can access these rights, particularly at a time when numerous individuals are facing financial difficulties. Introducing this notion into the realm of data protection rights represents a significant departure.”
During a Senate hearing, Meta’s founder and CEO, Mark Zuckerberg, assured that “there will always be a free version of Facebook.” Nevertheless, he also indicated openness to “certainly consider” the possibility of a paid service.
This year, Meta ventured into paid accounts by introducing a subscription service that provided benefits such as a verified account and direct customer support, although it did not eliminate ads.
The European Union has recently implemented comprehensive new regulations aimed at overseeing the competitive conduct of major tech companies, with a particular focus on business models involving the utilization of personal data for targeted advertising.
According to the EU’s Digital Markets Act legislation, Meta’s platforms will be required to obtain clear and explicit consent from users before tracking their activities for advertising purposes. Companies subject to this legislation are already making adjustments. In the past month, European Union users who opened an app after a period of inactivity were presented with the option to consent to having their behavior on their mobile devices tracked for services.
This legislation complements the Digital Services Act, which became effective on August 25th and is designed to combat online hate, child sexual exploitation, and disinformation. It marks the first-ever set of laws governing online content.