Meta, Facebook’s parent company, will stop selling and displaying political ads in the European Union (EU) starting October. This decision is based on the upcoming Transparency and Targeting of Political Advertising (TTPA) legislation from the Bloc, which demands extensive transparency for political ads.
The TTPA introduces new requirements and challenges for companies like Meta, leading to concerns over legal uncertainties and operational complexities in advertising. Meta expressed that the limitations on ad targeting and delivery will impact how political and social issue advertisers can connect with their audience, potentially resulting in less relevant advertisements for users.
Despite engaging with policymakers, Meta finds itself in a dilemma—either revamp its services to comply with the law, risking ad effectiveness, or stop political, electoral, and social issue ads altogether in the EU to uphold the principles of personalized advertising.
The TTPA, approved by the European Commission in 2024, mandates strict transparency rules for political ads, including clear labels, sponsor disclosures, and limits on personal data usage without explicit consent. The law also prohibits the use of sensitive personal data for ad targeting, ensuring user privacy and ad relevance.
In line with Meta’s decision, Google also announced its intent to stop political ad sales in the EU by October due to the challenges posed by the TTPA. The enforcement of such laws marks a significant shift in the digital advertising landscape in the EU, emphasizing transparency and data privacy in political advertising.
