Meta's European Ad Shift: Less Personalization or Pay

Meta, facing pressure from European regulators, announced a new advertising option for Facebook and Instagram users. Instead of choosing between an expensive, ad-free experience or highly personalized ads, users can now opt for less personalized ads, targeting them based on minimal current session data.

Meta Platforms is adapting to European regulatory demands by offering users of Facebook and Instagram a third advertising option. The social media titan announced users can now enjoy less personalized ads as an alternative to its ad-free subscription model, without the need to pay extra.

This move comes after European Union regulators criticized Meta for presenting subscribers with a false choice between highly personalized ads or a costly ad-free experience. Under the new structure, ad targeting will leverage minimal data from the user's current session and basic demographic details, excluding comprehensive past activities.

Meta indicated the shift aims to enhance data control but might lead to less relevant advertisements for users. In tandem with this update, the company is also reducing subscription costs for those preferring the ad-free model by several euros across platforms.

(With inputs from agencies.)