The European Union has imposed a €798 million ($840 million) fine on Meta Platforms, accusing the tech giant of antitrust violations involving its classified ads service, Facebook Marketplace. The European Commission alleges that Meta unfairly tied Facebook Marketplace to its dominant social network, Facebook, and imposed unfair trading conditions on competing online classified ads providers.
“The European Commission has fined Meta … for breaching EU antitrust rules by tying its online classified ads service Facebook Marketplace to its personal social network Facebook,” the EU’s executive body stated.
Meta announced plans to appeal the decision, asserting that users are not obligated to engage with Marketplace. “We will comply and work quickly and constructively to launch a solution that addresses the points raised,” Meta said.
The fine follows years of scrutiny. The EU began investigating Meta in 2021 and accused the company in 2022 of leveraging Facebook’s dominant market position to promote Marketplace, launched in 2016 and expanded to Europe in 2017.
The Commission argued that Facebook’s bundling of Marketplace was an illegal “tie” that could harm competing platforms. Meta countered that the claim lacked evidence of harm to competitors and ignored the fact that Facebook users are free to opt out of Marketplace.
This penalty is part of the EU’s ongoing efforts to regulate major tech companies and ensure fair competition in the digital marketplace. Meta’s appeal will determine whether the ruling and fine hold or if adjustments to Marketplace’s integration with Facebook will suffice.