Advocacy groups for consumers sue the parent company of Facebook, Meta.
The NRW Consumer Advice Center has accused Facebook and Instagram's parent company, Meta, of violating data protection laws. The center claims that Meta's new "pay-or-consent" model implemented on its platforms in November 2023 was in breach of the General Data Protection Regulation (GDPR).
This model required users to choose between continuing to use the platforms with personalized advertising or paying for an ad-free experience. According to the NRW Consumer Advice Center, Meta hasn't stopped this illegal practice, prompting the center to take the company to Cologne Higher Regional Court.
The center argues that users don't have a real choice between paying or consenting to data processing. They either have to pay for a subscription, which quickly becomes expensive (over 250 euros per year for both platforms), or consent to their data being used for targeted advertisements. This, they say, is a clear violation of data protection.
The design of the options offered forces users to agree to free use and allow Meta to track their behavior for advertising purposes.
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Consumer advocates worldwide have expressed concern over Meta's implementation of the pay-or-consent model, believing it to be a potential violation of data protection laws outside of Europe as well. The pay-or-consent model, implemented by the Facebook parent company, Meta, has faced criticism for not providing a genuine choice to users.
Due to this controversy, various organizations advocating for consumers have called upon Meta to reconsider its approach, citing concerns that the model may not comply with data protection regulations outside of the European Union.
Source: www.ntv.de
