Meta has been slapped with a €798 million (£664 million) fine by the European Commission for violating competition laws by embedding Facebook Marketplace into its social network.
According to the EU, this practice placed alternative online classified ad services at a severe disadvantage, creating “unfair trading conditions” and making it difficult for them to compete with Facebook Marketplace.
In addition to the hefty fine, Meta has been ordered to stop imposing these unfair conditions on other services moving forward.
The European Commission’s antitrust chief, Margrethe Vestager, accused Meta of deliberately hindering competitors in the online classifieds market to boost its own Marketplace.
Vestager explained that Facebook’s actions gave the platform an advantage over rivals, making it harder for them to thrive.
She stressed that Meta must cease this conduct and refrain from repeating such behavior in the future.
Meta, however, strongly rejected the Commission’s findings and plans to appeal the decision.
The company argued that the EU had failed to present evidence proving that its actions harmed competitors or consumers.
Meta further criticized the ruling, claiming it would only serve to protect incumbent marketplaces from competition, suggesting that the Commission had not fully considered the market realities.
The fine comes as part of a broader global trend of regulators cracking down on major tech companies.
Meta has previously faced scrutiny from the EU, including a €110 million fine in 2017 for failing to disclose accurate information during its acquisition of WhatsApp.
The European Commission’s ruling follows an investigation launched in 2021 after competitors accused Facebook Marketplace of giving Meta an unfair competitive edge.
As global regulators intensify their efforts, big tech firms like Google are also facing increased scrutiny, with some even considering structural breakups.
