U.S. court rules that social media cannot use personal data indefinitely.
Meta could face a substantial fine following the recent decision by the European Union regarding its use of users' personal data for targeted advertising.
The European Union has once again taken measures to limit the use of user information by Meta. The highest court in the EU ruled that restrictions must be established on the time that Meta and other social networks can use people's data for their advertising strategies.
Reports indicate that the European court's decision supports a previous opinion issued in April by a court advisor, which also recommended setting limits on the time companies can retain personal data for targeted advertising purposes. These restrictions align with the retention guidelines established in the EU's General Data Protection Regulation (GDPR), which was implemented in 2018. Recital 65 of the GDPR promotes the “right to be forgotten” as well as the right to rectification and deletion of personal data.
Non-compliance with the GDPR could result in fines of up to 4% of global annual turnover, a figure that could reach billions for a social corporation like Meta. In the previous year, Meta had to pay a fine of $414 million (approximately €390 million) for forcing users of its platforms, such as Facebook, Instagram, and WhatsApp, to accept personalized ads without proper consent.
The EU has been at odds with Meta and other major tech companies, such as Apple and Google, regarding the use of personal data under the Digital Markets Act. Currently, Meta is awaiting a resolution regarding a fine for violating this law when it required users to pay to prevent the company from collecting and sharing their personal data. Last year, the EU Court of Justice ruled that Meta needs to obtain user consent before showing them personalized ads in the region.
