Meta – the technological giant founded by Mark Zuckerberg and owner of Facebook, Instagram and WhatsApp – has received a fine from the European Antitrust of 797.72 million euros for abuse of a dominant position in the online advertising sector linked to the online classifieds service Marketplace. This is the e-commerce platform integrated into the famous social network, which has now caught on incredibly well in Europe (including Italy).
The accusations for Facebook Marketplace
The service Marketplace Facebook, launched globally in 2016, allows users to sell and buy goods directly through the social platform. However, according to the European Commission, Meta abused its dominant position to favor its own ads to the detriment of third-party providers. This practice, regulated by the article 102 of the Treaty on the Functioning of the European Union (TFEU)is considered incompatible with the internal market when it uses dominance to damage competition and trade between Member States.
These are the main accusations:
- Priority placement of ads: Marketplace ads automatically appear in users’ feeds, while ads from third-party vendors don’t receive the same visibility. With beyond 260 million active users in Europethis practice guarantees Meta a significant competitive advantage.
- Data exploitation: Meta uses advertising data from third-party companies to improve the performance of its Marketplace, further reducing the possibility of fair competition.
The Commission highlighted how these actions have harmed both competition and consumers by limiting the choices available on the market. The financial penalty was calculated considering the duration and severity of the infringement, but above all the impact that these practices had on the European market.
Meta’s response
Meta announced it would appeal the decision, saying the fine was based on a “distorted reading” of market dynamics. According to the company, Marketplace was created to meet consumer demand and there is no concrete evidence of economic harm to rivals or consumers. Meta also argues that the decision risks protecting “legacy marketplaces” from innovative competition.
Antitrust in the United States: An Indictment of Monopoly
On the other side of the Atlantic, Meta faces accusations of a completely different kind. There Federal Trade Commission (FTC) authorized the initiation of a trial against the company for alleged monopolistic practices, with the accusation of having consolidated its dominance in the social network market through strategic acquisitions and anti-competitive behavior.
At the center of the US investigations are two key acquisitions:
- Instagram (2012): At the time a potential direct competitor to Facebook in the image sharing industry.
- WhatsApp (2014): An instant messaging application that could pose a threat to Facebook’s dominance in digital interaction.
According to the FTC, these acquisitions were not aimed at improving services for users, but at eliminating potential rivals, consolidating a monopoly. Although the transactions were approved at the time of purchase, antitrust authorities now argue that they had a negative impact on competition and innovation.
The FTC had also challenged Meta for restricting access to APIs (programming interfaces) for developers of potentially competing applications. However, this specific charge was dismissed by the judge, reducing the number of violations to be investigated.
A global landscape of Big Tech regulations
Meta’s cases fit into a broader context of regulation of large technology companies, which have come under scrutiny from antitrust authorities globally in recent years.
- Google: the company was convicted of abusing its dominant position in the search engine market and risks a second trial for unfair practices in the online advertising sector.
- Amazon: Expected in court in the United States in 2026, it is accused of monopolistic behavior that limits competition in ecommerce.
- Apple: is under investigation in Europe for abusing its iOS ecosystem, favoring its services to the detriment of competitors.
These proceedings signal increased attention from authorities around the world towards the growing power of Big Tech and their impact on global markets. The goal is to find a balance between promoting innovation in the tech world and protecting consumers.
What it means for consumers and the market
The allegations against Meta raise important questions for consumers and the future of competition in digital markets:
- Equitable access: Prioritizing visibility of Marketplace ads reduces the ability of third-party vendors to reach audiences. This can result in fewer choices for consumers.
- Data and privacy: The exploitation of third-party advertising data raises concerns about the use of users’ personal information and the ethics of company practices.
At the same time, Meta and other Big Tech argue that excessive regulations could stifle innovation and slow the development of new technologies.
A necessary change: towards a fairer digital market
The proceedings against Meta, both in Europe and the United States, represent a crucial milestone in the regulation of large digital platforms. On the one hand, the objective is to guarantee a fairer and more competitive market; on the other hand, a balance must be found between the need for regulation and the risk of hindering innovation.
The Meta story is not just a confrontation between authorities and Big Tech, but a signal of the importance of reviewing the rules of the game in the digital world. The future of the sector will depend on the ability of institutions to promote fair competition, while protecting innovation and consumer rights.
