In 2018, following the Cambridge Analytica data scandal, Meta (formerly Facebook) faced significant backlash, compelling CEO Mark Zuckerberg to appear before Congress to address the situation. The scrutiny over Facebook’s extensive data collection, including the existence of “shadow profiles” for individuals not using the platform, impacted financial markets and eventually led to Zuckerberg embarking on a public apology tour.
Today, during Sheryl Sandberg’s testimony in the FTC v. Meta case, a slide revealed that the company’s board had considered offering ad-free Facebook subscriptions as a response to the negative response. This idea emerged amid growing awareness among users that their personal data essentially paid for the platform’s “free” services, and a subscription model could potentially reposition the company’s image.
Regarding the proposed product and goals:
Initially, rather than launching a subscription service, Meta chose to limit the amount of data accessible to external developers. However, in 2023, Meta introduced an ad-free subscription option exclusively in the European Union. Despite this initiative, the “pay or consent” model received criticism from regulators concerning its execution. In response, Meta reduced the subscription price by 40 percent last November.
