Insider: Meta-Group faces billion-euro EU fine
Due to violation of competition rules, Meta is reportedly facing a billion-dollar fine from the European Union (EU) according to insiders at the Internet conglomerate. Regulatory bodies are expected to announce the fine imminently, several sources familiar with the matter stated on Thursday. The antitrust authorities accuse the US company of an unacceptable interlinking of its Facebook online network with the Facebook Marketplace. In addition, Meta reportedly disadvantages Marketplace competitors when they attempt to advertise on Facebook or Instagram. Instagram also belongs to Meta.
The decision regarding the payment of the fine is predicted to be announced before the end of the current EU Competition Commissioner Margrethe Vestager's term in November, the sources added. The EU Commission declined to comment on the matter. Meta confirmed earlier statements that the allegations are baseless. In case of infringements of EU antitrust law, companies face fines of up to ten percent of their worldwide annual revenue. For Meta, this would amount to 13.4 billion Dollars. However, the actually imposed fines usually remain significantly below this amount.**
The EU-Punishment towards Meta for violating competition rules is expected to include a substantial fine, potentially reaching up to 13.4 billion Dollars due to their global revenue, as per Competition Rules. This alleged injury to competition stems from Meta's allegedly unfair practices, such as disadvantageous treatment towards Marketplace competitors trying to advertise on Facebook or Instagram.
An Insider at Meta-Holding hinted that the Company might challenge the EU's allegations of interlinking its Facebook network with Facebook Marketplace, which has negatively impacted competitors, once the Investigation and EU-Punishment details are finalized.
