In response to the EU, Meta plans to provide an ad-free subscription for Facebook and Instagram
As part of its attempts to comply with changing rules, Meta’s Instagram and Facebook are apparently getting ready to provide subscription-based ad-free services for users in the European Union (EU). Several price possibilities have reportedly been discussed, with a 10 euro ($10.49) per month membership plan seeming to be the most practical, according to individuals familiar with the situation. This action is being taken as pressure from EU legislation that limit Meta’s ability to customise advertisements without user agreement mounts, potentially endangering its main source of income.
Meta is thinking of giving EU consumers the option between a free, ad-supported plan and a paid membership service in response to these legislative hurdles. The goal of this tactical move is to persuade customers to choose the ad-supported alternative, which will enable Meta to comply with EU legislation while preserving its advertising revenue.
According to one of the sources, the membership cost for mobile users would likely rise to about 13 euros as a result of increased commissions levied by Apple’s and Google’s app stores.
To put this monthly fee into perspective, consider that the basic Netflix plan is 7.99 euros, YouTube Premium from Alphabet costs around 12 euros, and Spotify’s Premium service costs about 11 euros.
It’s important to remember that Meta was hit with a hefty punishment of 390 million euros earlier this year by Ireland’s Data Privacy Commissioner. Additionally, the corporation was told not to offer targeted advertisements based on individuals’ online activity using the contentious “contract” premise. In response, Meta said that it will seek user permission in the EU before enabling companies to target adverts, a move meant to accommodate the changing legal environment in the area.
A Meta representative reaffirmed the organization’s dedication to “free services supported by personalized ads” while adding that they are exploring different alternatives to assure compliance with ever-evolving legal restrictions.
As of right moment, neither Meta nor the European Commission nor Ireland’s Data Protection Commission are willing to comment more on this situation.
