EU threatens Meta with 6% turnover fine over addictive design

The European Commission has ordered Meta to fundamentally alter the design of Facebook and Instagram, warning that core features like infinite scroll and personalised recommendations encourage compulsive use. If the tech giant refuses to implement suitable changes, regulators warned it could face a financial penalty of up to 6% of its total global annual turnover.

In its preliminary findings, the Commission argued that endless content streams "shift the brain into autopilot mode, contributing to unhealthy habits." Regulators raised specific concerns about features such as Reels and Stories, claiming Meta failed to adequately assess the risks posed by its architecture. The EU is particularly focused on the time children spend on the platforms, especially late at night.

Forcing Meta to dismantle these engagement mechanisms would directly threaten the company's primary revenue driver: selling ads against maximum user attention. The Commission effectively dismissed the company's current safeguards, stating that default time-management tools for teenagers do not meaningfully reduce usage because they can be simply dismissed. Regulators also criticised parental controls as ineffective, arguing they demand too much time and technical expertise from parents.

Meta strongly contested the regulator's characterisation of its platforms. A company spokesperson said it disagreed with the findings "which don't accurately take into account the significant steps we've taken to protect teens." The company pointed to its recently introduced Teen Accounts, which it stated "automatically protect teens and put parents in control - allowing them to block access to Instagram at night and cap daily screen time at just 15 minutes."

"Protecting the physical and mental health of Europeans must be a priority for social media platforms," EU tech chief Henna Virkkunen said in a statement. These preliminary findings are not a final binding decision. Meta now has the opportunity to review the evidence assembled against it and submit a formal defence.

The intervention underscores a hardening regulatory stance in Europe towards the attention-economy models of major tech platforms. The EU has recently stepped up efforts to force social media companies to protect users, with an expert panel set to propose new ways to shield children from harmful content on Monday. The Commission is also navigating growing political pressure from member states like France, which is advocating for a complete social media ban for minors following Australia's restrictions for under-16s.