Spanish Media vs. Facebook: Antitrust Trial Begins
- Eighty-three Spanish media companies are jointly pursuing legal action against Meta,the parent company of Facebook and Instagram,demanding over €550 million (approximately $585 million USD as of September 30,2023)...
- The lawsuit, filed through the Association of Spanish Media (AMI), centers on Meta's data collection and usage practices between May 25, 2018 - the date GDPR went into...
- The AMI asserts that Meta repeatedly ignored the requirement under GDPR to obtain a "legitimate basis" for advertising profiling.
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Spanish Media Outlets Demand €550 Million from Meta Over Data Privacy Violations
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Joint Legal Action Against Meta
Eighty-three Spanish media companies are jointly pursuing legal action against Meta,the parent company of Facebook and Instagram,demanding over €550 million (approximately $585 million USD as of September 30,2023) in damages. The claim alleges unfair competition and systematic violations of European data protection regulations, specifically the General Data Protection Regulation (GDPR).
The lawsuit, filed through the Association of Spanish Media (AMI), centers on Meta’s data collection and usage practices between May 25, 2018 – the date GDPR went into affect – and July 31, 2023. The AMI argues that Meta illegally used the personal data of millions of European users to build its targeted advertising buisness.
GDPR Compliance and Legitimate Basis for Data Processing
The AMI asserts that Meta repeatedly ignored the requirement under GDPR to obtain a “legitimate basis” for advertising profiling. This legal basis is crucial for lawfully processing personal data for targeted advertising. The AMI points to multiple resolutions from European data protection authorities as evidence supporting this claim. These authorities have previously scrutinized Meta’s data handling practices, leading to fines and demands for changes.
According to the AMI, 100% of Meta’s revenue generated from targeted advertising during the specified period was derived from the “massive and unauthorized use” of user navigation data. The lawsuit focuses on the financial benefit Meta gained from this alleged unlawful activity.
Impact on Spanish Media and Competitive Advantage
The Spanish media outlets contend that Meta’s actions created an unfair competitive advantage in the digital advertising market. This advantage, they argue, has jeopardized the economic sustainability of Spanish media organizations. The legal representation for the case has been entrusted to the Office of Professor Nicolás González-Cuéllar, a specialist in procedural law.
The AMI highlights that Meta’s alleged practices allowed it to dominate the digital advertising landscape, diverting revenue away from legitimate news publishers and hindering their ability to invest in quality journalism. This concern is echoed by media organizations across Europe.
Broader European Trend and Calls for Responsible Advertising
This legal action in spain is part of a growing trend of pressure against the data practices of large technology platforms in Europe. Following the Spanish example, a group of 67 media companies representing 200 publications in France has also filed a similar claim against Meta. Le Monde reports on the French lawsuit, detailing similar allegations of GDPR violations.
The AMI is urging both public and private advertisers to prioritize media outlets that demonstrate a commitment to data privacy and responsible advertising practices. They believe this shift in advertising spend will contribute to the long-term sustainability of journalism and the health of Spain’s democratic institutions.
What is GDPR?
The General Data Protection Regulation (GDPR) is a European Union law enacted in May 2018. It aims to give individuals more control over their personal data. Key principles of GDPR include:
- Lawfulness, fairness, and Transparency: Data must be processed lawfully, fairly, and in a clear manner.
- purpose limitation: Data can only be collected for specified, explicit, and legitimate purposes.
- Data Minimization: Only necessary data shoudl be collected.
- Accuracy