Meta May Launch Ad-Free Subscription Service in the UK Following Legal Settlement

Meta is considering introducing an ad-free subscription service in the UK after settling a lawsuit with a UK-based user who accused Facebook of misusing her data for targeted advertisements. Although the company has not specified a timeline, it stated that further details would be provided “in due course,” according to The Guardian.

The lawsuit, filed in 2022 by Tanya O’Carroll, a senior fellow at Foxglove Legal specializing in tech accountability and human rights, alleged that Meta violated UK data protection laws by ignoring her request to stop processing her data for personalized ads. The Information Commissioner’s Office (ICO), the UK’s data protection authority, supported O’Carroll’s claims, affirming that individuals have the right to object to their data being used for direct marketing. The ICO also noted that if an organization fails to comply with such requests, individuals can escalate the matter by filing a formal complaint.

O’Carroll described the outcome as a victory for UK and EU citizens, emphasizing that it sets a precedent for challenging surveillance-based advertising models. She stated on X (formerly Twitter), “This is a win not just for me, but for every UK and EU citizen, as it reinforces the right to object to data processing for targeted ads.”

Meta’s Response and Future Plans

Although Meta “fundamentally” disagreed with O’Carroll’s assertions, the company indicated that it is exploring an ad-free subscription model to mitigate future legal challenges, The Guardian reports. This move follows Meta’s rollout of a similar service in the European Union in October 2023 after a European Court of Justice ruling. The EU ad-free subscription is priced at approximately $10.50 per month for desktop users, while mobile subscribers using Android or iOS devices pay a slightly higher fee.

Unlikely US Rollout and Broader Industry Trends

An ad-free Meta subscription in the United States is unlikely, primarily due to the high revenue generated through ad sales. A 2023 Bloomberg report estimated that Meta earns around $220 per user annually in the US and Canada through advertising. For an ad-free subscription model to be sustainable in the US, Meta would need to charge roughly $240 per year, making widespread adoption unlikely.

Other tech giants, including TikTok, have also explored ad-free subscription models. However, research suggests that most users prefer ad-supported services to maintain free access. A 2021 survey by PrivacyHQ found that only 27.1% of users were willing to pay for an ad-free experience, indicating that ad-based models remain the preferred option for the majority.