EU Warns Meta of Potential Daily Fines Over Compliance Issues

Meta Platforms faces possible daily fines if EU find its pay-or-consent model non-compliant with antitrust orders. Changes proposed by Meta are under scrutiny. The Commission's stance highlights its ongoing efforts to regulate big tech and maintain competition, despite criticisms from U.S. companies.

Meta Platforms is under scrutiny as EU regulators contemplate imposing daily fines if the company's proposed changes to its pay-or-consent model fail to meet antitrust requirements. The European Commission's warning comes following a hefty fine earlier this year for Digital Markets Act violations, aiming to curb Big Tech's power.

This development underscores the Commission's persistence in leveling the playing field for smaller competitors, even amidst U.S. criticism that the rules largely target American firms. The fines for not adhering to the DMA could reach 5% of a company's average daily global turnover.

While Meta altered its pay-or-consent model to rely less on personal data, doubts remain about its compliance. Critics argue Meta's business model faces restrictions unlike other European companies, signaling tension between innovation and regulatory compliance in the European business landscape.

(With inputs from agencies.)