Facebook and Instagram’s parent company, Meta, is making significant changes to its targeted advertising strategy for EU users. In response to regulatory rulings challenging its data harvesting practices, the social media networks will now seek permission from users before showing personalized ads. This decision comes after Meta’s legal justification, claiming a “legitimate interest” in processing user data for behavioral advertising, was rejected by EU data laws.
In a blog post, Meta announced its intention to shift the legal basis for processing certain data for behavioral advertising from “legitimate interests” to “consent” for users in the EU, EEA, and Switzerland.
However, the UK data watchdog clarified that Meta’s announcement only applies to the EU and not the UK. The Information Commissioner’s Office (ICO) will closely monitor the situation and assess its impact on people’s information rights in the UK.
This move by Meta comes at a time when its advertising-based business model faces pressure from Apple’s privacy change, which requires user consent for tracking online activity to provide personalized ads. Advertising accounts for a significant portion of Meta’s revenue, making this shift a substantial change to their core money-making strategy.
Johnny Ryan, a campaigner for internet users’ data protection, believes that many users may not consent to their data being used for targeted ads. He suggests that users can still enjoy the service while saying no to certain aspects of Meta’s business model.
The decision to seek users’ consent follows rulings from various regulatory authorities, including the Irish Data Protection Commission, the EU Court of Justice, and the Norwegian Data Protection Authority, which have challenged Meta’s data practices in the EU.
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