Meta faces €550M data protection trial in Spain over ads model
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Meta faces a €550M trial in Spain as media groups accuse it of unfair competition, misuse of user data, and breaches of EU data protection rules.
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The Meta logo is seen at the Vivatech show in Paris, June 14, 2023 (AP Photo/Thibault Camus)
Facebook's parent company, Meta, defended its advertising model on Wednesday in a €550 million trial in Spain, where more than 80 media organizations accuse the tech giant of breaching EU data protection rules.
Under EU law, companies must obtain explicit user consent before creating personalized ads using personal data. The case, brought by Spain’s main media association AMI, claims Meta engaged in “unfair competition” by systematically violating these rules between May 2018 and July 2023.
AMI, representing outlets including El País, La Vanguardia, ABC, El Mundo, and sports daily Marca, argues Meta’s practices created a monopoly-like environment in digital advertising sales. The lawsuit seeks €551 million ($647 million) in compensation.
“This isn’t a case that affects only AMI’s outlets; it has implications for media worldwide,” AMI director general Irene Lanzaco told reporters before the Madrid court proceedings began. “What’s at stake is the very survival of news media, which is being threatened by the predatory behavior of a platform like Meta.”
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Meta defends its advertising model and user privacy
Meta rejected the accusations, stating that its services comply with EU data protection rules and provide users with clear privacy controls.
“The AMI lawsuit is not based on any evidence regarding the alleged harm,” Meta said in a statement. The company argued that AMI was “deliberately ignoring the evolution of the advertising industry over the past few years.”
At the hearing, Meta executives emphasized that algorithms, not user data alone, are key to delivering targeted ads. “We have invested a huge amount so that advertising reaches the consumer, unlike traditional media,” said Beltrán Seoane of Facebook Spain.
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Wider European lawsuits highlight monopoly concerns
Spain’s trial is set to conclude Thursday with expert reports and closing arguments. Meanwhile, Spanish radio and television stations have filed a separate €160 million lawsuit against Meta for the same reasons.
A similar case has also emerged in France, where around 200 media organizations, including major broadcasters and newspapers, launched legal action in April. These parallel cases highlight growing European concerns over Meta’s influence in digital advertising and its alleged monopoly practices.
