A commercial court in Madrid has ordered Meta Platforms to pay €479 million (about US $552 million) to 87 Spanish digital media outlets. The ruling found that the company gained a “significant competitive advantage” by using personal data to drive its advertising business on Facebook and Instagram. The court said Meta’s change of legal basis for processing user data, from consent to “performance of a contract”, violated the EU’s General Data Protection Regulation and Spain’s unfair competition law. The decision covers practices between May 2018 and August 2023.

 

 

Meta disputed the ruling and said it plans to appeal. In a statement, the company described the claims as lacking evidence of harm and said it offers tools for users to control data use. Meta said it complies with applicable laws and believes the case misunderstands how online advertising works. The company has previously faced regulatory action in Europe, which adds context to the current dispute.

Legal experts said the ruling may set a precedent for how digital platforms are held accountable in both privacy and competition law. The court estimated Meta earned at least €5.3 billion in profits from targeted advertising during the period under review. The decision could inspire similar actions in other EU countries where regulators and publishers challenge data-driven business models. Some observers expect companies to reassess how they process personal data for broad advertising purposes.

The publishers involved had argued that Meta’s use of personal data gave it an unfair business edge in the online ad market. They claimed the shift in legal basis allowed Meta to process user data without clear consent and deliver highly personalised ads at scale. The court accepted the publishers’ view and found that Meta’s practices distorted competition. Meta will now need to determine how much of the amount will be paid up front and how the individual media outlets will share the compensation.

For digital service users, the ruling highlights how personal data has become a key component of business models for large platforms. While users may appear to have control, the legal dispute shows how companies can invoke broad legal frameworks to justify data collection. This case reminds users to review privacy settings, consider how their data is processed, and understand how even free services may rely on personal information as value. Platforms that operate globally may face increasing pressure to ensure transparency about how data is used.

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