Meta has received approval from the European Commission to implement a new advertising option for users in the European Union. This decision follows a penalty of €200 million imposed on the company earlier this year for violating the Digital Markets Act (DMA). The new measure allows EU users to choose between sharing their personal data for fully personalised ads or opting for less personal data in exchange for limited personalised advertising.
Starting in January 2026, Meta will enable users on its platforms, including Facebook and Instagram, to select their preferred advertising experience. This marks a significant shift in the company’s approach, as it is the first time Meta is offering such a choice. The European Commission will closely monitor the effectiveness of this new ad experience through feedback and evidence provided by Meta and other stakeholders.
The approval comes after a lengthy investigation into Meta’s business practices, particularly its ‘pay or consent’ model. This model required users to either pay for the service or consent to their data being used for personalised ads. According to the Commission, the previous model did not comply with the DMA, as it failed to provide users with a genuine option to choose a service that uses less personal data.
In late 2024, Meta began offering the option for less personalised ads on Instagram and Facebook, shortly after the EU initiated its investigation into the company, along with Apple and Google. While the new advertising option uses less personal data, it is expected to display more advertisements to users.
The EU has been scrutinising Meta’s compliance with the DMA, with potential fines reaching up to 5% of the company’s average daily worldwide turnover if violations continue. Earlier this year, sources indicated to Reuters that Meta would refrain from proposing new changes unless circumstances changed, despite the ongoing risk of additional fines. However, with the recent approval from the EU, Meta has mitigated that risk for now.
Meta and Apple were the first companies to incur DMA penalties, collectively facing fines of €700 million for breaching the regulations. The approval of this new ad experience is a crucial step for Meta in aligning its operations with EU laws and addressing user concerns regarding data privacy.
As Meta navigates this new landscape, the company remains under the watchful eye of EU authorities, ensuring adherence to the Digital Markets Act and promoting a more transparent advertising environment for users.
