Meta may add a paid subscription option to Instagram and Facebook in Europe, according to The New York Times. The ad-free tier is meant to address European Union (EU) regulations that have diminished some of Metaβs most lucrative data-collection methods. The company said in April that advertising in the EU made up 10 percent of the companyβs total revenue.
The move would be the first time Meta has deviated from its standard model of a single free platform supported by advertising (and associated data collection). The NYT says the company would continue offering free ad-supported versions of Facebook and Instagram in the EU. Itβs unknown exactly when the company would launch the ad-free tiers or how much they would cost.
Company βinsidersβ cited by the NYT believe offering a paid ad-free variant could help βalleviate some European regulatorsβ concerns,β even if few people use it. The optional tier βcould serve Metaβs interests in the region,β they added.
An ad-free option for European users would mark one of the most significant splits between consumer tech in the EU and the US. Meta and other social platforms have been forced to adapt as the GDPR and other regulations take hold. The EU fined Meta β¬1.2 billion in May for moving EU citizenβs data to US-based servers. In addition, the company was fined β¬265 million in 2022 for failing to prevent millions of Facebook usersβ mobile numbers (and other data) from being scraped and posted online.
βThis shows that tech companies are complying with the E.U.βs digital regulations, suggesting that they remain beholden to governments and not the other way around,β Columbia University law professor Anu Bradford told The New York Times.
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