Meta, the parent company of Facebook, will stop political ad sales and displays in the EU starting in October. This decision is in response to the Transparency and Targeting of Political Advertising (TTPA) legislation set by the European Union.
The legislation requires a high level of transparency for political ads, including clear labeling, sponsor disclosure, and obtaining user consent for data usage.
Meta stated that the TTPA introduces additional complexities and legal uncertainties, making it challenging for advertisers and platforms operating in the EU.
Impact on Personalized Advertising
Meta expressed concerns that the TTPA’s extensive restrictions on ad targeting and delivery will limit how political and social issue advertisers can connect with their audiences. This could result in users seeing less relevant ads on Meta’s platforms.
The company highlighted the difficulties in balancing compliance with the law and providing effective advertising solutions for users and advertisers.
Google’s Decision
Following Meta’s announcement, Google also decided to suspend political ad sales in the EU by October, citing similar operational challenges and legal uncertainties associated with the new law.