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The court stated that the processing of a large volume of data for custom ads without explicit user permission "cannot justify" such practices.
The decision comes as Meta is already appealing a €390 million fine imposed by the EU for requiring users of Facebook, Instagram and WhatsApp to consent to personalized advertising as a condition for using the platforms. The EU General Data Protection Regulation (GDPR) dictates that consent to feature usage must be free, and the court finds that Meta violated this regulation by requiring data for ad targeting during basic platform use.
Meta's spokesperson mentioned that the company is currently evaluating the court's decision and will provide further information in due course.
While the specifics of how the requirement for consent will be implemented remain unclear, Meta may be required to seek permission from users to deliver personalized ads on Facebook and its other platforms.
This move could enhance user privacy but potentially impact the company's advertising revenue. Meta has already faced challenges with the introduction of Apple's iOS 14, which allows users to reject ad tracking within apps.