Meta to Face €550 Million Lawsuit in Spain for Data Protection Violations
Meta is set to confront a €550 million lawsuit in a Spanish court next year, initiated by the Association of Information Media (AMI), which represents 90 Spanish media outlets. The lawsuit alleges that Meta, the parent company of Facebook, violated European Union data protection laws by unlawfully collecting and using the personal data of European users without their explicit consent between May 2018 and July 2023. This alleged breach of the General Data Protection Regulation (GDPR) has raised concerns about user consent, which is required before processing personal data for advertising purposes.
AMI claims that Meta generated 100% of its revenue from targeted advertising by systematically and massively ignoring GDPR regulations. The association argues that this non-compliance provided Meta with an unfair advantage in the digital advertising market, adversely affecting smaller media outlets in Spain. The lawsuit aims to seek compensation for the lost revenue experienced by these outlets due to Meta’s dominance and practices that hinder fair monetization of news content.
The European Union has been actively challenging Meta’s data processing policies for several years. The company has faced multiple fines, including over €400 million imposed by the E.U.’s Data Protection Commission for illegally forcing users to accept personalized ads. In response to regulatory pressures, Meta introduced a subscription option allowing European users to opt-out of targeted ads for a fee of €13 per month. However, this approach was deemed a violation of the Digital Markets Act, as it effectively coerced users into consenting to data usage for advertising.
Meta’s ongoing struggles with E.U. regulations reflect the broader effort to protect citizens’ digital rights and hold large tech companies accountable for their data practices. As the E.U. continues to enforce strict data protection laws, Meta’s financial interests are at stake, particularly given that 23.5% of its advertising revenue comes from European users. The outcome of the lawsuit and the regulatory landscape will significantly impact Meta’s operations and its ability to collect and utilize user data in the future.
Source: Meta to Face €550 Million Lawsuit in Spain
