A Spanish court has ordered Meta, the owner of Facebook, to pay 479 million euros ($552 million) to 87 Spanish digital media outlets for unfair competition and violating European data protection rules. The ruling comes after complaints about Meta’s use of personal data for advertising on Facebook and Instagram.
Madrid’s Commercial Court stated that Meta gained a “significant competitive advantage” in Spain’s online advertising market by unlawfully processing user data. The compensation will be distributed among publishers and news agencies affected by the practice.
Meta disagreed with the ruling and confirmed it will appeal. A company spokesperson said, “This is a baseless claim that lacks any evidence of alleged harm and ignores how the online advertising industry works.” The spokesperson added that Meta complies with all applicable laws, providing users with tools to control their experience on Facebook and other services.
The complaint focused on Meta’s change of legal basis for processing personal data after the EU’s General Data Protection Regulation (GDPR) took effect in May 2018. Meta shifted from obtaining user consent to claiming “necessity for the performance of a contract” to justify behavioural advertising. Regulators later deemed this basis inadequate. Meta reverted to user consent in August 2023.
The court estimated that during those five years, Meta earned at least 5.3 billion euros from advertising and treated the full amount as gained in breach of GDPR. Similar claims are currently under review in France.
This ruling is part of a series of investigations and fines against Meta in Europe. Last year, the European Commission fined the company nearly 800 million euros over unfair practices related to Facebook Marketplace.
Spain’s government has also investigated Meta’s privacy practices. Prime Minister Pedro Sanchez said a lower house committee would examine whether Meta used hidden mechanisms to track Android users’ web activity. Meta confirmed it would cooperate with Spanish authorities.
The case underscores growing scrutiny of Facebook and Meta in Europe over user privacy, advertising practices, and fair competition.
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