The European Commission has imposed a penalty on Meta … for violating EU antitrust regulations by linking its online classified ads platform, Facebook Marketplace, to its personal social network, Facebook, and by applying unjust trade conditions on other online classified ads service providers,” the EU's administrative body has announced.
Meta (META) has announced its intention to contest the ruling but will adhere to it in the meantime, aiming to swiftly and effectively develop a solution that addresses the issues highlighted.
This action by the European Commission follows a two-year investigation into allegations that the US technology company provided its classified ads service Facebook Marketplace with an unfair competitive edge by merging the two services.
The European Union initiated formal investigations into Facebook's potential anticompetitive behavior in June 2021, and by December 2022, expressed concerns regarding Meta's practice of linking its dominant social network Facebook to its online classified ad services.
Facebook introduced Marketplace in 2016 and quickly expanded into various European nations the following year.
The EU's decision contends that Meta forces Facebook Marketplace onto users in an unlawful "tie," but Meta argued that this overlooks the fact that Facebook users have the choice to interact with Marketplace, with many opting not to.
Meta also disputed the EU's claim that Marketplace could potentially limit the expansion of large established online marketplaces in the EU, citing no evidence of harm to competitors.
Companies face penalties of up to 10% of their worldwide revenue for violating EU antitrust laws.
0 Commentaires