Sources report that Meta is exploring a paid-for, ad-free option for Instagram and Facebook users, with an expected charge of between 10 to 17 Euros.
The move, which is expected to impact European users, would see the social media platform charge a premium for the experience of not being advertised to.
The paid-for tier could be a response to new EU regulations, which would ban personalized adverts without consent, which could hugely impact Meta’s adverting revenue.
Meta Could Charge Up to €17 Per Month
Meta is considering charging European users of its social media platforms up to €17 per month for the privilege of an ad-free experience, according to the Wall Street Journal.
The move would affect Instagram and Facebook users who don’t want to be advertised to, although free users would remain unaffected.
This just in! View
the top business tech deals for 2024 👨💻
According to sources, the social media platform has been kicking around several potential price points, of between €10 to €17, but the current preference is at the lower end of this, which would be on a par with other ad-free services, such as YouTube and X/Twitter.
New European Regulations on Adverts
The move from Meta is likely spurred by new EU regulations, which state that users cannot be targeted for personalized adverts without their consent.
To say that that adverts are big business for Meta is something of an under statement. Last year, Facebook alone netted the company a huge $114 billion in ad revenue, and it’s projected to hit $127 billion by 2027.
However, with targeted adverts now requiring consent, they’re a lot less attractive to advertisers, and as such it appears that Meta is exploring other revenue streams.
Will Facebook and Instagram Charges Come to US?
Right now, it’s important to remember that this paid-for tier isn’t confirmed by Meta itself, although all the signs are there that it is coming.
If, as suspected, this is Meta’s response to new EU regulations, it’s unlikely that US residents will be charged for Instagram and Facebook anytime soon.
However, if Meta sees enough take-up in the EU, there’s every chance it could extend the paid-for tier to the US. Other companies, such as X/Twitter and YouTube, offer ‘premium’ subscriptions, and there will always be a market for those looking for an ad-free experience.
