Meta must limit data use for targeted advertising, top EU court rules
In a landmark ruling on Friday, Europe’s highest court has mandated that Meta Platforms must restrict the use of personal data harvested from Facebook for targeted advertising, a significant victory for privacy activist Max Schrems. The decision stems from a case initiated by Schrems in an Austrian court, where he claimed he was subjected to targeted advertisements due to Meta’s personalized advertising practices.
The Austrian court referred the case to the Court of Justice of the European Union (CJEU), which confirmed that Facebook cannot utilize personal data for targeted advertising without specific limitations. The court emphasized the importance of data minimization under the General Data Protection Regulation (GDPR), stating, “An online social network such as Facebook cannot use all of the personal data obtained for the purposes of targeted advertising, without restriction as to time and without distinction as to type of data.”
In response to the ruling, Meta defended its practices, highlighting its investment of over 5 billion euros to enhance privacy features in its products. A spokesperson noted that the company does not use special categories of user-provided data for ad personalization and emphasized that users have access to various tools to manage their data preferences.
Schrems’ attorney, Katharina Raabe-Stuppnig, hailed the decision, stating, “Following this ruling only a small part of Meta’s data pool will be allowed to be used for advertising – even when users consent to ads. This ruling also applies to any other online advertisement company that does not have stringent data deletion practices.”
This ruling adds to a series of legal challenges that Schrems has initiated against Meta, focusing on alleged violations of GDPR. The implications of the court’s decision could reshape the landscape of online advertising and privacy practices across Europe.