The European Union has imposed a substantial fine on Meta Platforms, amounting to €797.72 million ($840.24 million), for engaging in what it described as "abusive practices" that benefited Facebook Marketplace.
The European Commission, the EU's executive arm, accused Meta of breaching antitrust rules by tying its online classified ads service, Facebook Marketplace, to its dominant social network, Facebook. This practice allegedly imposed unfair trading conditions on other online classified ads service providers.
The decision followed formal proceedings initiated by the EU in June 2021, with concerns raised in December 2022 about Meta's conduct. The Commission argued that Meta's actions could potentially hinder the growth of large incumbent online marketplaces within the EU.
Despite these allegations, Meta contended that Facebook users have the choice to engage with Marketplace and that there was no evidence of harm to competitors.
Meta, headquartered in Menlo Park, California, announced its intention to appeal the decision but stated it would comply in the interim. The company expressed its commitment to working quickly and constructively to address the issues highlighted by the European Commission. This move comes two years after the initial accusations against Meta, highlighting ongoing scrutiny of the tech giant's business practices in Europe.
Comments