Mark Zuckerberg Called Out For 'Illegal Practices' and 'Surveillance-Based Ads' As Social Media Sees Continued Hot Water Over Privacy Practices

Caleb Naysmith
Mon, March 4, 2024 

Meta Platforms Inc. (NASDAQ:META) CEO Mark Zuckerberg is again under scrutiny as European consumer organizations take aim at Meta’s alleged illegal practices.

Eight groups from The European Consumer Organisation (BEUC) have raised concerns about Meta’s data collection methods. They allege that the social media giant is facilitating a surveillance-based advertising system, disregarding user privacy and flouting data protection laws.

"With its illegal practices, Meta fuels the surveillance-based ads system, which tracks consumers online and gathers vast amounts of personal data for the purpose of showing them adverts. It is also the main way Meta makes its profits," according to the BEUC.

In November 2023, Meta gave users the choice to pay for an ostensibly ad-free service or consent to the company's full commercial surveillance with ads.

"We introduced this choice, called ‘Subscription for no ads', as our consent solution to comply with a unique combination of connected and sometimes overlapping EU regulatory obligations with differing compliance deadlines," Meta said.

While Meta presented this as a solution to comply with EU regulatory obligations, BEUC deemed it unfair and misleading to users, adding to the mounting criticisms against the tech giant.

These recent filings add to the ongoing scrutiny Meta faces, with previous complaints already lodged against the company for misleading and aggressive practices. Leveraging the General Data Protection Regulation (GDPR) and data protection laws, consumer advocates are intensifying their efforts to hold Meta accountable for its actions.

Meta, the parent company of Facebook, Instagram, WhatsApp and Threads, has incurred many fines from European regulators.

Last year, Meta was fined $1.3 billion for transferring data of users in Europe to the United States as regulators said the company failed to comply with a 2020 decision by the European Union's highest court.

"The unprecedented fine is a strong signal to organizations that serious infringements have far-reaching consequences," said Andrea Jelinek, the chairwoman of the European Data Protection Board.

In addition to that, Meta was also previously fined €390 million ($423.3 million) for forcing users to accept personalized ads as a condition of using Facebook and another €265 million for a data leak.

With 408 million active users in the European Union, regulators are sending a clear message to Meta that serious infringements will have far-reaching consequences.


© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.