Meta halts political advertisements across EU starting October, citing EU regulations as reason
The European Union has introduced a new law called the Transparency and Targeting of Political Advertising (TTPA) regulation, effective from October 10, 2022, aiming to increase transparency and regulate political, electoral, and social issue advertising on digital platforms.
The TTPA imposes comprehensive obligations on platforms regarding the transparency, consent, and data use of political advertising. Political ads must carry clear labeling identifying the sponsor, the election or referendum they concern, the amount spent, and the targeting methods used. Platforms can only use data for political ad targeting if the user has explicitly consented, and certain sensitive personal data is banned from being used for profiling and targeting.
In response to these regulations, Meta Platforms (owner of Facebook, Instagram, WhatsApp, and Threads) announced that it will cease political, electoral, and social issue advertising on its platform in the European Union starting early October 2022. Meta expressed concerns that the TTPA obligations create an "untenable level of complexity and legal uncertainty" for advertisers and platforms operating in the EU.
Similarly, Google made a similar move in November 2021, stopping political advertising in the EU due to the same regulations. Big Tech companies argue that the mandatory transparency labeling, strict consent requirements, and limitations on personal data usage create excessive operational challenges, reduce ad relevance for users, and impose legal uncertainties on advertisers.
The TTPA aims to counter foreign interference, misinformation, and data misuse in political processes by making online political advertising more transparent and accountable. Platforms will have to enforce stricter controls on advertisers and disclose detailed information about political ads to the public, potentially limiting how political campaigns reach voters. By banning use of certain personal data types, the regulation restricts profiling that has been criticized for manipulative targeting, as seen in scandals like Cambridge Analytica.
In summary, the EU’s TTPA regulation imposes comprehensive obligations on platforms regarding the transparency, consent, and data use of political advertising, compelling major Big Tech companies like Meta and Google to stop offering such ads in the EU because complying would dramatically affect their business models and ad effectiveness. This reflects a significant shift in how political advertising will be regulated and delivered in the European digital market.
Meta has not mentioned any intention to change its decision to cease political, electoral, and social issue advertising on its platform in the EU starting early October 2022, as previously stated. Similarly, Meta has not mentioned any intention to change its decision to cease political, electoral, and social issue ads on its platforms in the EU starting from early October 2025, as previously stated. The EU law is part of an effort to rein in the power of Big Tech companies and increase their accountability and transparency.
[1] https://www.reuters.com/business/media-telecom/facebook-to-stop-political-ads-eu-2021-10-06/ [2] https://www.theguardian.com/technology/2021/oct/06/facebook-to-ban-political-ads-in-eu-from-october-2022 [3] https://www.politico.eu/article/eu-political-ad-transparency-rules-face-legal-challenge-from-facebook-google/ [4] https://www.bloombergquint.com/technology/facebook-says-eu-political-ad-rules-create-untenable-complexity [5] https://www.theverge.com/2021/10/6/22721406/facebook-political-ads-eu-ban-october-2022-election-advertising
- The Transparency and Targeting of Political Advertising (TTPA) regulation, introduced by the European Union, has led to major changes in the finance and business sectors, compelling companies like Meta Platforms and Google to reevaluate their political advertising policies due to the complex and uncertain obligations outlined in the legislation.
- The policy-and-legislation surrounding political advertising in the European Union, such as the TTPA, has garnered attention in the general news, with several news outlets reporting on Big Tech companies' responses to the regulations and their potential impact on the digital advertising market, as well as the broader political landscape.
