Facebook parent company fined 800m euros by European Commission
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The European Commission has fined Meta almost 800 million euros for illegally tying Facebook Marketplace to its social network. Meta also abused its dominant position in relation to other competing advertising services, the Commission said on Thursday.
With Facebook and Instagram, Meta is the dominant player in the European social networking market. But the US multinational is flouting EU competition rules, the Commission said.
First, Facebook users are knowingly directed to Facebook Marketplace, Meta's online advertising service, where products can be bought and sold. This is a competitive disadvantage for providers of other advertising services who cannot benefit from Facebook in the same way.
Secondly, Meta can use the data generated by its competing service providers that advertise on Facebook and Instagram. This data is then used to Facebook Marketplace's advantage. This is also unacceptable, according to the Commission, following an investigation launched in 2021.
Meta to appeal
Meta has given Facebook Marketplace "advantages that other online classified ads service providers could not match. This is illegal under EU antitrust rules. Meta must now stop this behaviour," said EU Competition Commissioner Margrethe Vestager.
"This is illegal under EU antitrust rules. Meta must now stop this behaviour"
Meta responded to the fine in a blog post on Thursday. The company says it plans to appeal the Commission's decision because it "ignores the realities of the thriving European market for online classifieds services and protects large incumbents from a new entrant, Facebook Marketplace".
© PHOTO KENZO TRIBOUILLARD / AFP
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