Meta needs explicit user consent to run personalized ads, EU watchdog rules

Meta has already been coping with a slump in ad revenue this year, and now a decision from European Union privacy regulators threatens to reduce Meta’s ad revenue even more next year. According to Reuters, a person familiar with the matter said that the European Data Protection Board ruled Monday that Meta cannot continue targeting ads based on its own users’ online activity—like the Instagram reels they've viewed or Facebook profiles they've clicked.

If the EU data privacy watchdog gets its way, Meta could face “hefty fines,” Reuters reported, for continuing to rely on its terms of service to gain user consent for running personalized ads.

But this decision has not yet been publicly disclosed, The Wall Street Journal reported, and it won’t be finalized until Ireland’s Data Protection Commission (DPC) issues public orders. That could take a month, and at any point, Meta could appeal either decision.