Meta, The Owner Of Facebook, Was Fined $400 Million For Personalised Advertisements.

The Owner Of Facebook, Meta, Was Struck With A Significant Fine

The owner of Facebook, Meta, was struck with a significant fine and is now forbidden from requiring European users to consent to viewing personalized ads based on their online behaviour.

The corporation has just been slammed with a sizable fine from Irish regulators totalling 390 million euros ($414 million), which comes as a result of a number of privacy and data issues.

The penalty relates to two cases that, taken together, may alter how Meta conducts business on Facebook and with other platforms like Instagram.

The watchdog penalised Meta 210 million euros for violating Facebook’s rigorous data privacy policies, and another 180 million euros for violating Instagram’s policies.

Meta expressed its “disappointment” with the result and stated its intention to challenge “both the substance of the rulings and the fines” in court.

4 More Fines For The Meta Business Since 2021 Totaling More Than 900 Million Euros

Following four more fines for the business since 2021 totaling more than 900 million euros, this is the most recent sanction the commission has meted out to Meta for violating data privacy laws.

The General Data Protection Regulation, or GDPR, the privacy laws adopted by the 27-nation EU in May 2018, is what led to the judgement.

By making use of its social media platforms contingent on agreeing to its terms of service, two complainants claimed that Meta Ireland was “forcing” them to consent to the use of their personal data for behavioural advertising and other services. They claimed that did not comply with the GDPR regulations.


In the past, Meta relied on users’ informed consent to process their personal data in order to show them behavioural or tailored adverts. By including a clause in the terms of service for adverts, the company modified the legal basis on which it processes user data when GDPR went into effect, thereby requiring consumers to consent to the use of their data. That goes against EU privacy laws.

Initially siding with Meta, the Irish watchdog then reversed course after the draught ruling was presented to a panel of EU data protection officials, many of whom raised objections.

The Irish watchdog stated that Meta “is not permitted to rely on the ‘contract’ legal basis to offer behavioural advertisements on Facebook and Instagram” in its final ruling.


We strongly believe that our method complies with GDPR, thus Meta said in a statement that it was “disappointed” by these results and “intends to appeal both the substance of the rulings and the fines.”

Due to the fact that its regional offices are in Dublin, the Irish watchdog is Meta’s primary European data privacy regulator.

Top 10 Causes For Meta Verse's Abject Failure In 2023

Metaverse Is Immature.

According to Mark’s recent declaration, “Meta has been able to construct legs for its avatars,” the VR and AR parts clearly lack maturity. In the demo, the legs were animated. Additionally, the ease factor is at odds with the need for a VR headset in order to enter Meta.


No One Can Agree On What It Is.

Right now, Metaverse is not just a Meta project. However, the company will only suffer because of the impression it is trying to make. It existed before Mark Zuckerberg’s “brainwave.” It goes beyond connected virtual worlds with augmented reality capabilities.

No Widespread Interest

According to the most current State of Digital Customer Experience research from CMSWire, 39% of firms have a “wait and see” mentality, while another 42% have no perceivable interest in or attention to the Metaverse.

Big-Tech Collaboration Is Required

Collaboration amongst firms like Meta, Alpha, Microsoft, Apple, and Amazon is necessary for Metaverse to become a single, immersive ecosystem. Although the metaverse is yet only a business opportunity for these organisations, it may end up providing various experiences for various consumers.

Unchanged User Growth

User expansion reaching its limit, the business was forced to settle with modest user growth throughout its family of applications, which also includes WhatsApp, Instagram, and Messenger. By the end of the year, Facebook, the main networking app, had lost nearly a million users.

Virtual Reality Is Popular

Mark changed the name of Metaverse VR, and strange things started to happen. They only surpassed internet video games like BeatSaber or Betamax video in terms of quality.


Investors' Ignorance

For investors, comprehending Meta or, more specifically, where his current trends are going, is like to solving a jigsaw. even more so when senior executives like Sheryl Sandberg leave. Short-term paybacks are lacking, and investors are hesitant to make additional investments as a recession looms.

The Privacy Hurdles Of Apple

With the recent release of the App Tracking Transparency update from Apple, iPhone users now have the option of allowing Facebook to track their internet behaviour. With access to user behaviour, it will seriously harm Meta’s business.

Google Is Reducing Its Advertising Revenue

Google is less reliant on Apple for customer data than Meta is. According to Mr. Wehner, Google’s ad network presumably has “much more third-party data for measurement and optimization purposes” than Meta’s. As a result, the majority of advertisers began using the Google platform.

The Threat Of Tik Tok

Similar to Meta, Tik Tok is putting together a lineup of metaverse hardware, content, software, and platforms. The company’s forays into blockchain and virtual reality are alarming Meta to the point where the CEO of Meta has requested staff to record recordings of the company’s recent reversal.


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