UPDATE: In a landmark decision, a Madrid court has ordered Meta to pay €479 million to 87 Spanish digital media outlets after the tech giant lost a significant battle over GDPR compliance. This ruling, released on November 20, 2023, marks a pivotal moment for the media industry in Spain and beyond.
The lawsuit, initiated by the Spanish media association Asociacion de Medios de Informacion (AMI) in late 2023, originally sought €550 million. The court found that Meta breached the EU General Data Protection Regulation (GDPR) by using users’ personal data without proper consent from 2018 to 2023, creating an unfair competitive advantage in the advertising sector.
This decision follows a two-year legal battle, revealing that Meta’s net revenue in Spain during the disputed period reached nearly €5.3 billion. AMI’s director general, Irene Lanzaco, emphasized the broader implications of the ruling, asserting, “This isn’t a case that affects only AMI’s outlets; it has implications for media worldwide. What’s at stake is the very survival of news media, which is being threatened by the predatory behaviour of a platform like Meta.”
The court’s findings indicate that Meta failed to adapt its practices to comply with GDPR regulations when they came into effect in 2018. Instead of securing user consent for data processing, Meta opted to justify its behavioral advertising methods, a practice it reverted only in 2023.
Despite the significant legal setback, a spokesperson for Meta announced the company plans to appeal the ruling, describing the lawsuit as “baseless” and lacking evidence of harm. “Meta complies with all applicable laws and has provided clear choices, transparent information, and given users a range of tools to control their experience on our services,” the spokesperson stated.
This ruling could set a precedent for similar cases globally, as the court’s decision directly challenges how major tech companies handle user data. As the digital landscape continues to evolve, the implications of this case will be closely monitored by media organizations and regulators alike.
The next steps for Meta will be critical as they navigate the appeals process. Meanwhile, the decision has already sparked discussions about the future of digital advertising and user privacy rights.
Stay tuned for further updates on this developing story, as it promises to reshape the relationship between tech giants and media entities worldwide.
