Meta, Facebook’s parent company, has announced that it will cease political ad sales and displays in the European Union (EU) from October onward. This decision comes in light of the Transparency and Targeting of Political Advertising (TTPA) legislation within the Bloc. Meta’s concerns revolve around the complexity of the law and its potential impact on personalized advertising.
The TTPA mandates a high level of transparency for political ads, requiring clear labeling, sponsor disclosure, and consent for data usage.
Meta expressed that the new regulations pose operational challenges and legal uncertainties, making it difficult for advertisers and platforms to operate within the EU. These restrictions affect ad targeting and delivery, potentially leading to users encountering less relevant ads on Meta’s platforms.
The company highlighted that despite engaging with policymakers extensively, the new rules leave them with a dilemma. Meta can either alter its services to comply with the law, risking dissatisfaction from users and advertisers, or simply discontinue political, electoral, and social issue ads in the EU. This situation is viewed as a threat to the core principles of personalized advertising by Meta.
The TTPA, enacted by the European Commission in 2024, enforces strict transparency measures for political ads, including clear labeling, sponsor disclosure, and limitations on the use of certain personal data for profiling purposes.
Furthermore, Google has also decided to end the sale of political ads in the EU by October due to similar concerns over operational challenges and legal uncertainties arising from the TTPA legislation.
