Meta Platforms' Paid Ad-free Service is Targeted in EU Consumer Groups' Complaint

FILE - The Meta logo is seen at the Vivatech show in Paris, France, on June 14, 2023. (AP Photo/Thibault Camus, File)
FILE - The Meta logo is seen at the Vivatech show in Paris, France, on June 14, 2023. (AP Photo/Thibault Camus, File)
TT

Meta Platforms' Paid Ad-free Service is Targeted in EU Consumer Groups' Complaint

FILE - The Meta logo is seen at the Vivatech show in Paris, France, on June 14, 2023. (AP Photo/Thibault Camus, File)
FILE - The Meta logo is seen at the Vivatech show in Paris, France, on June 14, 2023. (AP Photo/Thibault Camus, File)

Meta Platforms' paid no-ads subscription service, which it rolled out in Europe this month, breaches EU consumer laws, Europe's largest consumer group said on Thursday as it took its grievance to consumer protection authorities.
The joint complaint from the European Consumer Organization (BEUC) and 18 of its members to the network of consumer protection authorities (CPC) came two days after advocacy group NOYB filed a complaint with the Austrian privacy watchdog, saying Meta's new service amounted to paying a fee to ensure privacy.
Meta has said it launched the paid no-ads subscription service, which applies to Facebook and Instagram, to comply with EU rules requiring companies to give users a choice on whether their data can be collected and used for targeted ads.
BEUC singled out several issues.
"Meta is breaching EU consumer law by using unfair, deceptive and aggressive practices, including partially blocking consumers from using the services to force them to take a decision quickly, and providing misleading and incomplete information in the process," BEUC Deputy Director General Ursula Pachl said in a statement.
BEUC said it was likely that users' data would continue to be collected and used for other purposes even if they select the new service. It also took issue with the "very high subscription fee for ad-free services" which could deter users.
"At this price, consumers are simply going to consent to Meta's profiling and tracking, which is exactly what the tech giant wants. People should not be asked to pay for protecting their privacy," Pachl said.
The ad-free service cost 9.99 euros ($10.96) monthly for Web users and 12.99 euros for iOS and Android users. Meta has said these prices are in line with Google's YouTube and Spotify's premium services and with Netflix.



Microsoft to Invest $3 Bln to Expand AI, Cloud Capacity in India

26 March 2021, Bavaria, Munich: The Microsoft logo hangs on the facade of an office building in Parkstadt Schwabing in the north of the Bavarian capital. (dpa)
26 March 2021, Bavaria, Munich: The Microsoft logo hangs on the facade of an office building in Parkstadt Schwabing in the north of the Bavarian capital. (dpa)
TT

Microsoft to Invest $3 Bln to Expand AI, Cloud Capacity in India

26 March 2021, Bavaria, Munich: The Microsoft logo hangs on the facade of an office building in Parkstadt Schwabing in the north of the Bavarian capital. (dpa)
26 March 2021, Bavaria, Munich: The Microsoft logo hangs on the facade of an office building in Parkstadt Schwabing in the north of the Bavarian capital. (dpa)

Microsoft will invest about $3 billion to expand capacity for artificial intelligence and its Azure cloud-computing services in India, CEO Satya Nadella said on Tuesday.

The tech giant is the latest to pledge investment in India, a country seen as a key growth market for US technology companies thanks to its population of more than 1.4 billion people and low-cost internet access.

Executives ranging from Nvidia chief Jensen Huang to Meta's chief AI scientist Yann LeCun have visited India in recent months.

The $3 billion investment in India would be the "single largest expansion" done in the country, Nadella said at a conference in the southern Indian city of Bengaluru.

Microsoft will also train 10 million people in AI in India by 2030, Nadella said.

When Nadella visited India early last year, he announced the company will provide 2 million people in the country with AI skilling opportunities by 2025, focused on training individuals in smaller cities as well as rural areas.

Nadella met Indian Prime Minister Narendra Modi on Monday, and the pair discussed "tech, innovation and AI" and "Microsoft's ambitious expansion and investment plans in India."

Microsoft has been pouring billions of dollars into expanding capacity across the globe to boost AI infrastructure and its data-center network.

The company last week unveiled plans to invest about $80 billion in fiscal 2025.

The investment, more than half of which will be in the United States, will focus on developing data centers to train AI models and deploy AI and cloud-based applications.