Are Facebook and Instagram Going Paid?
Is the paid subscription era starting on Facebook and Instagram? Some clues were included in the new decision taken by social media giant Meta. Here are the details!
There have been many news reports about Facebook and Instagram switching to a paid subscription system. However, those news could not reach a conclusion until now because no such decision was made.
According to the new news, the possibility of paid subscription is now very high. According to the New York Times, Facebook and Instagram are preparing to offer an ad-free paid subscription service in European Union (EU) countries. And why?
Strict Rules of the European Union
Meta is not launching a paid subscription service out of the blue. There is an important reason for this: the strict rules of the European Union. The paid subscription service, which is only a claim for now, will be exclusive to European Union countries.
The European Union has a number of regulations to prevent the forced display of personalized ads to users. In fact, Ireland, one of the countries that imposed forced advertising, was fined 413 billion dollars.
Instagram, on the other hand, can bring an ad-free paid subscription service to its users in European Union countries in order to get rid of the data usage and targeted ads regulation with the least damage.
Under this service, users will now be able to use apps for a fee without seeing ads.
However, this does not mean that Instagram and Facebook are fully paid. Because the company will continue to offer its ad-free service in other non-EU countries.
Meta earns most of its revenue from advertising. The European Union was in the top 10% of the company’s ad revenue and was its second most lucrative region after North America.
It is not yet known how many dollars Meta will offer its paid subscription experience, which risks a decrease in revenue while trying to avoid fines.
Do you think this decision could soon apply to other countries? You can share your thoughts with us in the box below.
