Meta is reportedly being sued by nearly 90 Spanish media outlets after the Big Tech company allegedly used its users' data on personalized ads to the point that it caused an unfair advantage, thus violating EU data protection rules.
The complaint, which was filed jointly by 83 newspaper organizations through the AMI media alliance, claims Meta broke EU data protection by having an unfair edge in producing and providing personalized adverts because of its "massive" and "systematic" usage of users' data from Facebook, Instagram, and Whatsapp platforms between May 2028 and July 2023.
The US tech giant was reportedly able to provide targeted ads that amount to unfair competition by utilizing data that it "obtained illegitimately," according to a statement released by the association supporting the complaint filed in a commercial court. As a result, this behavior produced unfair competition in the advertising industry.
The Manila Times further reported that AMI president Jose Joly states that by ignoring the laws pertaining to personal data protection, Meta has established its dominating position in the advertising industry. The president further claimed that it harmed Spanish media to the point where it jeopardized the companies' survival capacity.
Legal Challenges on Meta's Personal Data Processing
As per a Tech Crunch report, AMI's challenge cites the European Union's "urgent binding decision" last October 27, that immediately requested to forbid the processing of personal data for behavioral advertising within the European Economic Area on the grounds of "contract" and "legitimate interest" after Meta's continued processing of personal data without a valid legal basis in the months following the decision.
Meta shifted in November to claiming consent to maintain legal standing for its tracking-ads business in the EU. However, its option for local customers requires them to either "agree" to being followed and profiled or pay a monthly membership fee for an ad-free version of its products.
This is true even though the EU General Data Protection Regulation (GDPR) stipulates that consent must be "freely given" to be validly acquired.
Privacy and consumer rights organizations have reportedly challenged Meta's most recent attempt to try to wriggle its tracking advertisements business out of EU privacy regulations, claiming the choice it gives customers is unfair and unlawful.
Traditional Media's Ironic Claims
AMI's lawsuit claiming unlawful user data monitoring and recording proves to be ironic as Tech Crunch further reports that privacy organizations have also challenged newspapers regarding their problematic user data monitoring.
Non-profit organizations centering on digital rights 'noyb' have long challenged digital newspapers, dating back to 2021, as many European newspapers websites utilize so-called "cookie paywalls" to obtain agreement in monitor readers. These websites require users to either pay a subscription fee to access the content or consent to being monitored in return for free access.
Noyb was also reportedly the driving force behind the first May 2018 general data protection regulation (GDPR) complaint against Meta's legal foundation for monitoring and is currently contesting Meta's most recent "pay or okay" approach to permission.
Reuters reports that this lawsuit proves to be traditional media's most recent attempt to defend its territory in court against Big Tech companies. Media organizations have long battled in legislatures and courts throughout the globe to get other digital companies to pay reasonable amounts for utilizing and distributing their material.
Related Article : EU Bans Meta From Using Personal Data for Targeted Ads
