The European Union has hit tech giant Meta with a nearly €800 million fine for violating antitrust laws. The penalty was issued on Thursday after the EU found that Meta unfairly linked its Facebook social platform to its classified ads service, Facebook Marketplace, giving it an unfair competitive edge.
According to the European Commission, Meta also abused its dominant position by imposing restrictive conditions on other classified ads platforms that advertised on Facebook and Instagram. “This behavior is illegal under EU antitrust rules. Meta must now stop,” stated Margrethe Vestager, the EU’s competition commissioner.
Meta announced plans to appeal the decision, arguing that it disregards the dynamics of Europe’s online classified ads market. The company maintained that Facebook users engage with Marketplace voluntarily. “People use Facebook Marketplace because they choose to, not because they are forced to,” Meta claimed.
Key Allegations
The Commission highlighted that tying Facebook Marketplace to Facebook gave it a substantial advantage over competitors, as all Facebook users were automatically granted access to Marketplace, whether they wanted it or not.
The EU also accused Meta of imposing unfair terms on rival classified ads services by leveraging data from their ads for the benefit of Facebook Marketplace, a claim Meta denies. The company stated it has implemented systems to prevent such practices.
One of the Heaviest Fines in EU History
The €797.72 million fine ranks among the largest antitrust penalties imposed by the EU, reflecting what the Commission called the “duration and gravity” of Meta’s actions. The fine also takes into account Meta’s significant revenue, which totaled approximately $135 billion last year.
Big Tech Scrutiny Intensifies
The case is part of the EU’s ongoing crackdown on major tech companies accused of anti-competitive practices. New laws, including the Digital Services Act and Digital Markets Act, equip regulators with stronger tools to impose substantial penalties for violations.
Meta has been under growing pressure from EU authorities. Earlier this year, the company faced criticism for its “pay or consent” system, which required users to either pay to avoid data tracking or consent to share their data. In response, Meta recently announced changes, allowing users in the EU to opt for less targeted ads or pay for an entirely ad-free experience.
This latest penalty underscores the EU’s determination to curb the power of Big Tech and promote fair competition in the digital economy.
