Meta has agreed to give EU users a choice between fully personalized advertising and a less personalized option, as part of compliance with the Digital Markets Act. The new options will be rolled out in January 2026.
The agreement follows a €200 million fine imposed by the European Commission for Meta’s previous “pay or consent” model, which the Commission found to violate DMA provisions on user choice. The new “ad‑light” tier provides a middle ground between full personalization and a subscription fee, limiting the amount of personal data used for targeting.
Meta’s spokesperson highlighted that personalized advertising drives significant economic activity in Europe, citing €213 billion in GDP contribution and 1.44 million jobs linked to the platform’s ad ecosystem. The company therefore views the new tier as a way to preserve the value of its advertising business while meeting regulatory requirements.
The rollout will allow EU users to opt in or out of data sharing for personalized ads. Users who choose the less personalized option will see ads that rely on aggregated signals rather than individual browsing history, reducing the depth of targeting. Meta expects the change to mitigate potential revenue impacts from regulatory pressure, though it acknowledges that advertiser spend and user engagement may shift as the new model takes effect.
The move is part of a broader regulatory scrutiny that includes investigations into Meta’s AI enhancements to WhatsApp and ongoing discussions about data protection. By offering a clearer choice, Meta aims to demonstrate compliance and reduce the risk of further penalties, while positioning itself to adapt its ad strategy in a tightening European regulatory environment.
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