Meta to face £3bn UK lawsuit over data monetisation
A lawsuit against Meta, the parent company of Facebook, has been sanctioned to proceed, challenging the company’s data sharing policies between its various platforms. Dr. Lisa Lovdahl Gormsen has initiated legal action on behalf of approximately 45 million Facebook users, arguing that Meta exploits its market dominance by coercing users into a non-negotiable exchange of their personal data across Meta-owned platforms, including Instagram, and with third parties. Despite Meta’s dismissal of the claims as baseless, the Competition Appeal Tribunal (CAT) has reversed its initial decision, allowing the case to advance, with proceedings expected to commence by the first half of 2026.
This case underscores the tension between user privacy rights and the business models of major tech companies, suggesting that Meta has financially benefited from the collection and distribution of user data without adequate compensation to the individuals concerned.
This lawsuit gains momentum in the wake of recent EU rulings that have found Meta’s data policies in violation of the General Data Protection Regulation (GDPR), particularly regarding the legal justification for collecting personal data for targeted advertising. In response, Meta has introduced a subscription model in Europe for an ad-free Facebook experience, though this has sparked controversy, with critics arguing that it presents a false choice between privacy and accessibility.
Meta’s adaptation to the GDPR’s strictures has included the introduction of new data sharing options to align with the Digital Markets Act, allowing EU users to access services like Facebook Messenger, Marketplace, and Games without a Facebook account. However, the UK’s trajectory in data protection law remains uncertain, with the impending Data Protection and Digital Information Bill poised to redefine the landscape by 2026. This ongoing legal saga and the evolving regulatory environment underscore the critical balance between innovation, user privacy, and the imperative of legal compliance in the digital age.
As the EU continues to enforce its GDPR framework, Meta’s recent moves, including the “Pay for Privacy” model, have met with resistance from privacy advocates, highlighting the broader debate over the fairness and ethics of data monetization practices. The outcome of the UK lawsuit and Meta’s compliance strategies will likely influence the global discourse on data protection and privacy rights, marking a pivotal moment in the ongoing effort to safeguard personal information in the digital realm.
Source: Meta to face £3bn UK lawsuit over data monetisation