📰 Meta's First EU Antitrust Fine
Meta, led by CEO Mark Zuckerberg, is about to face its first antitrust fine from the European Union. This comes after the EU accused Meta of giving Facebook Marketplace an unfair advantage by linking it with the Facebook social network. The fine could be as high as $13.4B, which is 10% of Meta's 2023 global revenue. However, EU fines are usually much lower.
📅 Decision Timeline
The European Commission will likely issue its decision in September or October, before EU antitrust chief Margrethe Vestager leaves office in November. This timeline could change, but sources say the decision is imminent. The Commission declined to comment on the matter.
💬 Meta's Response
Meta spokesperson Matt Pollard stated, "The claims made by the European Commission are without foundation. We continue to work constructively with regulatory authorities to demonstrate that our product innovation is pro-consumer and pro-competitive." Meta had previously tried to settle the EU investigation by offering to limit the use of competitors' advertising data for Facebook Marketplace, but the EU rejected this offer.
🔍 Additional Charges
In addition to the antitrust fine, Meta was recently charged by the Commission for not complying with new tech rules related to its pay or consent advertising model introduced in November. These multiple charges highlight the increasing scrutiny Meta faces from European regulators. The company's previous attempt to settle a similar issue was accepted by the UK competition regulator, but not by the EU.
Do you think Meta's practices are anti-competitive?
