Core Viewpoint - Approximately 200 French media groups are initiating legal action against Meta for alleged unlawful online advertising practices, claiming significant economic harm due to unfair business practices [1][2]. Group 1: Legal Action and Allegations - The lawsuit was filed in the Paris commercial court, with plaintiffs seeking compensation for economic damages caused by Meta's practices [2]. - Meta is accused of unlawfully collecting users' personal data without consent, violating European data protection regulations [2][4]. - The legal representatives describe this joint action as a "historic first" in challenging Meta's advertising practices [3]. Group 2: Market Impact and Dominance - Meta and Google together dominate the online advertising market, accounting for 75% of the market and 90% of its growth [4]. - Advertising constitutes 98% of Meta's global turnover, indicating the company's heavy reliance on this revenue stream [4]. - The plaintiffs argue that without Meta's alleged unfair practices, French media outlets would have captured a larger share of digital advertising investments [4]. Group 3: Regulatory Actions - The European Union recently imposed a fine of 200 million euros (approximately $227 million) on Meta for violating personal data usage rules [5]. - The fine specifically targets Meta's "pay for privacy" system, which requires users to either pay to avoid data collection or consent to share their data to use the platforms for free [7].
200 French media groups sue Meta over 'unlawful' advertising: lawyers