EU advises Meta to stop asking users to pay for ads, mandates free, private 'third option'
On April 17, 2024, the European Data Protection Board (EDPB) announced its opinion that Meta's 'Consent or Pay' model, which forces users to choose between consenting to the use of their personal information for targeted advertising or subscribing to a paid plan, does not comply with the EU General Data Protection Regulation (GDPR).
EDPB: 'Consent or Pay' models should offer real choice | European Data Protection Board
Statement on EDPB 'Pay or Okay' Opinion
https://noyb.eu/en/statement-edpb-pay-or-okay-opinion
EU Regulators Challenge Meta's 'Consent or Pay' Model •
https://contxto.com/en/europe/eu-regulators-challenge-metas-consent-or-pay-model/
Meta, the company behind Facebook and Instagram, has launched a paid plan for European users that allows them to remove ads for 9.99 euros (about 1600 yen) per month. However, critics say that this practice, which seems to hold personal information hostage and demand a ransom, violates EU law, which defines privacy as a fundamental right.
Europe's largest consumer group files complaint against Meta's approach to forcing users to choose between giving up their personal information or paying for ads - GIGAZINE
In response to a request made by the data protection authorities (DPAs) of the Netherlands, Norway and Germany under Article 64(2) of the GDPR, the EDPB adopted an opinion in its plenary session on 17 April 2024 stating that 'the consent-or-pay models offered by major online platforms should provide for a truly meaningful third option.'
'If online platforms adopt a consent-or-pay model, users should be given a real choice. The current model typically requires individuals to either provide all of their data or pay. As a result, most users consent in order to use the service, but the implications of their choice are not fully understood,' EDPB Chair Anu Tals said in a statement.
In its decision, the EDPB stated that 'it should not be the norm for services that process personal data for the purposes of behavioral advertising to only offer a paid alternative,' and that the Consent or Pay model that Meta is forcing on users does not comply with the GDPR, which requires free consent to be obtained without undue pressure.
The opinion could have a significant impact on Meta's future operations and the services of other large platforms operating in the EU.
The EDPB also states that in addition to consenting to the use of personal information and signing up for a paid subscription, consumers should be offered 'equivalent alternatives' that do not involve payment of fees or behaviorally targeted advertising, such as less frequent advertising that does not use personal information.
Max Schrems, president of the Austrian non-profit organization NOYB, welcomed the EDPB's decision, but said he was concerned that the first opinion published today was quite cautious and based on only limited facts. 'Consent or Pay would raise the consent rate from 3% to 99%, but to say that this is free consent is like saying North Korea is a democratic country; it is far from the truth. We are convinced that once the full extent of this issue is revealed, Consent or Pay will be found completely illegal,' he said, calling for further action.
The EDPB will now invite stakeholders to participate in the development of guidelines for the Consent or Pay model.
Related Posts:
in Web Service, Posted by log1l_ks