According to the Court of Justice of the European Union a social network like Facebook cannot use all personal data obtained from a user without time limitation and without distinction in the nature of that data to propose specific advertising.
This is a resolution reached last Friday, October 4, by the highest court of the community body based on the complaint of the Austrian Max Schrems, privacy activist. It represents a failure that could directly impact the advertising models of large platforms by limiting the amount of data they use to display ads.
Max Schrems sued Facebook before the Austrian courts in 2014
The case dates back to 2014 when Schrems denounced in the Austrian courts that Facebook had collected data about his sexual orientation for his profile, after he publicly stated at a conference that he was homosexual. After several trials in the country, the case was sent to the European court to determine whether there had been any violation of the European Data Protection Regulation (GDPR).
And according to the judicial body, this has been the case. “The fact that Mr. Maximilian Schrems communicated his sexual orientation during a round table open to the public does not authorize the operator of an online social networking platform to process other data relating to his sexual orientation obtained, if applicable, outside of that meeting. platform, in order to aggregate and analyze this data to offer you personalized advertising“, notes the sentence.
From the court’s decision it is inferred that Meta has failed to comply the principle of “data minimization” of the GDPR. This prevents all personal data that a data controller, such as the operating company of a social network, has obtained from the interested party or from third parties, and that has been collected both on said platform and outside it, from being aggregated, analyzed and processed in order to propose specific advertising, without time limitation and without distinction based on the nature of that data.
Along these lines, the court also points out that the fact that a user has revealed information about his sexual orientation has the consequence that said information can be processed, always respecting the provisions of the RGPD. However, the fact in itself is not an authorization, by itself, for the processing of other personal data related to the sexual orientation of the person.
Thus, the ruling assumes that the collection and processing of information carried out by Facebook violates the principle of minimization and, therefore, Meta must obtain explicit consent to use the data for advertising. Especially if it is sensitive data, such as that relating to sexual orientation, in response to Schrems’ complaint.
Possible new limits on segmented advertising
It should be remembered that Meta collects personal data from Facebook users related to browsing and the activities they carry out both on the social network and outside of it. It does this through cookies, social plug-ins and tracking pixels inserted into websites, in order to sell services. segmented advertising.
From Meta, as reported TechCrunchdefend the company’s work on privacy. “Meta takes privacy very seriously and has invested more than five billion euros to integrate privacy into the heart of all our products. Everyone who uses Facebook has access to a wide range of settings and tools that allow people to manage how we use their information.“said a spokesperson.
The ruling could bring greater limitations to the use of user information
The impact that the ruling of the Court of Justice of the European Union has on the advertising model of Meta and other social networks remains to be seen. However, it could have ramifications when it comes to the limiting the use of user information and developing data management protocols.
From Noyb, the pro-privacy association led by Schrems, they celebrate the resolution and hope that it sets a precedent. “Meta has been creating a huge reserve of user data for 20 years, which grows every day. However, EU law requires “data minimisation”. After this ruling, only a small part of Meta’s data can be used for advertising purposes, even when users give their consent.“; commented Katharina Raabe-Stuppnig, Schrems’ lawyer. “This ruling also applies to any other online advertising company that does not apply strict data deletion practices.“.