UK Approves Meta's New Ad Data Use Rules

The UK’s Competition and Markets Authority (CMA) has approved revised commitments from Meta regarding the use of advertiser data, as announced on August 20. The changes aim to ensure that data from advertisers on platforms like Facebook, Instagram, and WhatsApp will not be utilized to enhance Meta's Marketplace without explicit consent. This new approach allows advertisers to continue placing ads without concerns about their data being leveraged to improve Meta's services. Following consultations with advertisers and users of Facebook Marketplace, the CMA concluded that Meta's revisions exceed previous commitments and will not disadvantage advertisers. A spokesperson for Meta expressed satisfaction with the CMA's decision to close its investigation, highlighting the implementation of systems to ensure that competitor data is not misused in Marketplace operations. This marks a significant step in addressing concerns about unfair competitive advantages. In 2022, the CMA mandated that Meta limit its use of advertisers' data to prevent it from gaining an edge over competitors in the Marketplace. The original agreement allowed advertisers to opt out of having their data used for enhancements, a provision that has now been revised to further protect their interests. This move aligns with similar commitments made by other tech giants, such as Amazon, to foster a fair marketplace environment. Meanwhile, Meta faces ongoing scrutiny in the European Union, where the European Commission is investigating its compliance with the Digital Services Act and Digital Markets Act, focusing on issues related to data access and competition practices. The company is also embroiled in legal disputes concerning supervisory fees and potential violations of regulations aimed at protecting minors.