The Norwegian Data Protection Authority has extended the ban it imposed on Meta’s behavioral advertisements on Facebook and Instagram to encompass all thirty countries in the European Union and the European Economic Area.
This prohibition on such ads, which target users by collecting their data, represents a setback for the American tech giant Meta, the owner of the social media platforms. Meta has opposed efforts to curb this practice.
The Norwegian Data Protection Authority pointed out that Meta faces the risk of fines amounting to up to 4% of its global revenue.
The European Data Protection Board stated, “The decision of the European Data Protection Board is tantamount to instructions to the data controller in Ireland to impose a permanent ban within two weeks on the company’s use of behavioral ads.”
The statement continued, “The European Data Protection Board adopted an urgent binding decision on 27th October to impose a ban on the processing of personal data for behavioral ads on the legal bases of contract and legitimate interest throughout the entire European Economic Area.”
Meta has indicated that it will give users in the European Union and the European Economic Area the opportunity to opt in, with plans to roll out a compliance consent form in November.
A spokesperson for the company said, “The members of the European Data Protection Board have been aware of this plan for weeks, and we have been fully engaged with them to reach a satisfactory outcome for all parties, this unwarranted development ignores the meticulous and robust regulatory process.”
Since 7th August, the company has been subject to daily fines in Norway of one million kroner (approximately $90,000) for violating user privacy by using their data for advertisements, such as location or browsing behavior, a business model common among major tech companies.
The Norwegian Data Protection Authority announced in September that it had referred the ongoing fine to the European regulatory authority since the fine only applies to Norway.
This fine is set to expire on 3rd November, but Meta may face a much larger financial penalty, according to Tobias Judin, the Head of the International Department at the Norwegian Data Protection Authority.
Judin stated, “Failure to comply with the ban in the entire European Union and the European Economic Area after we have obtained a permanent ban constitutes a breach of the general data protection regulation, which could impose penalties on the company of up to 4% of its global sales.”
Norway is not a member of the European Union, but it is part of the single European market. The Norwegian Data Protection Authority explained that the decision affects around 250 million Facebook and Instagram users across Europe.
