Ads make up Meta’s biggest revenue stream, and the company itself can only offer its social media services worldwide for free because of ads. However, the methods employed by Meta to track users and serve them relevant ads have drawn concerns, especially over fears of privacy and behavioral profiling.
In July 2023, EU courts prohibited Meta from mixing up user data collected across its social media and messaging platforms. At the center of the tussle are personalized ads, which Meta pushed as a mandatory condition for using its platforms. It also explains why Meta fiercely opposed Apple’s rule allowing users to opt out of tracking by apps.
Meta is chasing a November deadline covering a court ruling that Meta can’t use the personal data of users to serve them targeted ads without seeking explicit consent for the same. The company is expected to officially detail plans for an ad-free paid tier of Facebook and Instagram in the coming weeks to comply with regional data privacy laws.
Meta won’t be the only social media platform that is exploring ad-free versions to alleviate privacy concerns. Code snippets spotted by Android Authority suggest that TikTok is also exploring an ad-free version for the U.S. market, where it has faced intense scrutiny over the handling of personal data and alleged targeting of high-profile accounts. TikTok later confirmed to TechCrunch that the plans are indeed in progress.