Home / Business and Economy / Meta Fined 479M Euros for Data Abuse
Meta Fined 479M Euros for Data Abuse
20 Nov
Summary
- Meta ordered to pay 479 million euros to Spanish publishers.
- Unfair competition and data protection violations cited.
- Five-year profit from breached data estimated at 5.3 billion euros.
Meta, the parent company of Facebook and Instagram, has been ordered by a Spanish court to pay 479 million euros to 87 digital media publishers. The significant fine is a result of unfair competition practices and infringements upon European Union data protection regulations. The court determined that Meta unlawfully processed user data to gain a competitive edge in Spain's online advertising market.
The ruling centers on Meta's shift in legal basis for data processing in May 2018, when the General Data Protection Regulation (GDPR) took effect. Meta changed from user consent to 'necessity for the performance of a contract' for behavioral advertising, a justification later deemed inadequate by regulators. The court estimated Meta's profits from advertising during this five-year period, obtained in breach of GDPR, at approximately 5.3 billion euros.
This penalty is the latest in a series of legal challenges Meta has faced across Europe regarding its business practices. Similar claims are under review in France, and Meta has previously been fined by the European Commission for other violations. Spain's government has also initiated investigations into Meta's alleged privacy breaches.
