Meta is revamping its ad targeting approach in the European Union, offering "less personalized ads" to users who opt not to pay for ad-free versions of its social media services, Facebook and Instagram. The move comes amid intense regulatory pressure over its surveillance ads model, which has been deemed non-compliant with the EU's Digital Markets Act (DMA) and General Data Protection Regulation (GDPR).

The tech giant's latest attempt to comply with EU laws will see it using less personal data for ad targeting, including age, location, gender, and engagement metrics. However, it remains to be seen whether this will satisfy EU regulators, who are expected to conclude their DMA probe next year. Meta is also facing ongoing privacy challenges and consumer protection complaints over its ad tracking model.

In a bid to recover potential revenue losses, Meta is cutting the cost of its ad-free subscriptions by 40%, with prices dropping to €5.99/month on web and €7.99/month on mobile. The company claims the lower pricing will make its ad-free offerings "one of the cheapest across our peers." However, the EU has declined to comment on Meta's announcements, stating that its investigation into the company's compliance with DMA regulations is ongoing.