Spanish Court Orders Meta to Pay €481 Million in Landmark Data Case
A Madrid court has ordered Meta to pay nearly half a billion euros in damages to Spanish media outlets, ruling the social media giant illegally used personal data to gain an unfair advertising advantage.
Key Takeaways
- Meta must pay €481 million ($554 million) to 81 Spanish media outlets
- Court found Meta violated EU data laws for five years
- Ruling could influence similar cases across Europe
- Meta plans to appeal, calling the decision “baseless”
Unfair Advertising Advantage
The mercantile court No. 15 of Madrid ruled that Meta extracted personal data of internet users in violation of European law, using it to create more effective advertising. “The illicit treatment of this enormous quantity of personal data meant Meta had an advantage that Spanish online media could not match,” the court stated.
The court found that Meta’s actions “harmed the online advertising revenues of Spanish digital media outlets” over a five-year period before the company updated its data consent practices in 2023.
GDPR Violations
The ruling centers on violations of the EU’s General Data Protection Regulation (GDPR), which requires companies to implement measures protecting user privacy when collecting personal data.
“Meta’s actions harmed the online advertising revenues of Spanish digital media outlets.” – Madrid Court Statement
Meta’s Response and Appeal
Meta immediately announced it would appeal the decision, calling the ruling “baseless.” The company stated: “This is a baseless claim that lacks any evidence of alleged harm and willfully ignores how the online advertising industry works. Meta complies with all applicable laws.”
Broader European Implications
This isn’t Meta’s first clash with EU data regulations. In 2022, Irish regulators fined the company €265 million for similar violations. The Spanish court noted its ruling could influence other legal cases in Europe, including ongoing proceedings in France.
Meanwhile, Meta has been actively pushing for the EU to loosen its data protection regulations, which currently offer stronger user protections than those in the United States.
AP business writer Kelvin Chan contributed to this story from London.
