• by Colin Kirkland , October 3, 2023

In a move to make up for potential lost ad revenue resulting from the European Union’s strict data regulations, Meta is considering charging European users almost $14 per month on mobile devices (and $17 per month on desktop) to use both Instagram and Facebook ad-free if they opt out of the tech giant using their personal data for targeted ads.

In September, the New York Times reported similar news, citing Meta’s consideration as a clear attempt to relieve regulatory scrutiny over ongoing ad-tracking and data-privacy concerns overseas. A new report from The Wall Street Journal provides further information on the developing story.

As it develops its plan to charge users in the EU for ad-free experiences on Facebook and Instagram, Meta has talked with digital-competition regulators in Brussels, privacy regulators in Ireland and various other privacy regulators in the EU, according to The Wall Street Journal.

Meta would like to begin rolling out its “subscription no ads” (or SNA) plan in the coming months, although it is unclear whether the EU regulators believe the plan is sufficient. The report says regulators may ask Meta to propose a cheaper offering, or “appropriate fee,” as the company attempts to comply with EU data regulations. 

“Meta believes in the value of free services which are supported by personalized ads,” a Meta spokesperson said. “However, we continue to explore options to ensure we comply with evolving regulatory requirements. We have nothing further to share at this time.”

Through a paid subscription model, EU users would avoid seeing ads in either app -- marking a major shift in Meta's long-standing core business model, which for twenty years has been rooted in offering the public free social networking services while selling advertising to companies interested in reaching a specific audience. 

Because of the privacy rules, Meta’s plans focus specifically on the EU. However, the company did announce Meta Verified in February, a paid verification subscription that offers users increased authenticity and security across Facebook and Instagram. The service costs $11.99 per month on the web and $14.99 on iOS. 

Other leading social platforms like X and YouTube have launched similar paid models for in-app experiences, which allow users to dodge ads and/or receive additional benefits like in-app monetization capability and offline downloads.

Furthermore, TikTok on Monday began testing an ad-free subscription tier for users in one unidentified English-speaking market outside the U.S. for $4.99 per month.