Meta Platforms has proposed slashing the monthly subscription fee for its no-ads service on Facebook and Instagram. The tech giant offered to reduce the fee from 9.99 euros to 5.99 euros after discussions with privacy regulators.
Addressing Mounting User Criticism
This move comes amid mounting user criticism over Meta’s paid subscription service launched in Europe last November. Critics argued the initial paid service unfairly commodified user privacy.
Complying with Digital Markets Act
Meta introduced the service to comply with the Digital Markets Act, which limits its ability to personalize ads without user consent – a key revenue source.
Meta’s Accelerated Solution
Tim Lamb, a Meta lawyer, stated the company “wanted to accelerate” finding a solution, hence offering to drop the fee to 5.99 euros for a single account and 4 euros for additional accounts.
Discussions with Regulators
Lamb revealed Meta made the reduced offer earlier this year. It is now in talks with data protection authorities, specifically Ireland’s watchdog, on the issue.
Free Ad-Supported Option
However, users consenting to tracking will continue receiving a free, ad-supported service funded by Meta’s advertising revenues.
Balancing Privacy and Business Model
By lowering subscription fees, Meta aims to address concerns while complying with evolving privacy regulations restricting personalized advertising without explicit consent. The move could balance user privacy preferences and Meta’s ad-based business model.
