• Meta was fined €797.72 million by the European Commission for antitrust violations related to linking Facebook Marketplace to Facebook, creating unfair competition.
  • Meta plans to appeal, claiming the decision disregards the European market’s competitive landscape.

Meta, the parent company of Facebook, Instagram, and WhatsApp, has been struck with a significant €797.72 million ($840 million) fine from the European Commission for antitrust violations related to Facebook Marketplace.

This hefty penalty is part of an ongoing investigation that began in June 2021, with the Commission accusing Meta of unfairly linking its online classified ads service, Facebook Marketplace, to Facebook’s core platform. According to regulators, this practice created “unfair trading conditions” that disadvantaged other classified ad providers.

In December 2022, the Commission found that Meta had breached EU antitrust regulations by giving Facebook Marketplace an unmerited advantage over competitors. Now, the fine underscores the EU’s commitment to holding tech giants accountable for monopolistic practices within the digital marketplace.

Margrethe Vestager, the EU’s executive vice president in charge of competition policy, stated:

“Today we fine Meta €797.72 million for abusing its dominant positions in the markets for personal social network services and for online display advertising on social media platforms. Meta tied its online classified ads service Facebook Marketplace to its personal social network Facebook and imposed unfair trading conditions on other online classified ads service providers… This is illegal under EU antitrust rules. Meta must now stop this behaviour.”

Meta has responded swiftly, indicating that it will appeal the ruling. In its statement, the company argued,

“This decision ignores the realities of the thriving European market for online classified listing services and shields large incumbent companies from a new entrant, Facebook Marketplace, that meets consumer demand in innovative and convenient new ways.”

This penalty adds to the growing list of substantial fines Meta has faced across Europe, including over $1 billion in May 2023 for GDPR violations and other penalties across recent years.

Edited by Harshajit Sarmah