Meta is considering offering European users a subscription-based version of Instagram and Facebook, allowing them to opt out of ad tracking, according to a source. 

This move is in response to the increasing EU regulations aimed at limiting the influence of major US tech companies. 

Meta, founded by Mark Zuckerberg, generates its profits by providing advertisers with highly personalised user data. 

However, recent EU regulations and court decisions have made this practice more challenging. The proposal has been presented to EU regulators, exemplifying how tech giants are adjusting their longstanding practices to align with forthcoming EU guidelines.

Under this potential subscription model, European users could pay €10 per month for a desktop version of Instagram or Facebook, or €13 per month for Instagram on mobile devices. 

This approach represents a significant departure from the advertising-based model that fuelled the social media industry’s rapid growth over the past decade. 

The proposal aims to address various regulations, including the Digital Markets Act, which outlines specific requirements for big tech companies in Europe, including restrictions on tracking users across other sites without clear consent.

Additionally, this move aligns with a recommendation from the EU’s highest court, which stated that Meta platform users who choose not to be tracked should have access to an ad-free alternative “for an appropriate fee.” 

Meta, while not directly commenting on the Wall Street Journal report, emphasised its belief in the value of free services supported by personalised ads. The company reported second-quarter revenues of $32 billion, with $31.5 billion attributed to advertising, including $7.2 billion from Europe.

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