Facebook shares plummeted on Wednesday after executives said that profit margins would plummet for several years due to the costs of improving privacy safeguards and slowing usage in the biggest advertising markets.
Businesses engaged in online advertising are taking divergent approaches to a new European data protection law, with some shutting services to ensure compliance while others test the limits of what is allowed.
Google’s delayed entry into a consortium of advertising tech companies has spoiled the members’ push to comply with a new European privacy law, people involved in the program said, leaving some firms exposed to fines.
Google is forcing media firms that generate revenue from its advertising services to accept unreasonable responsibilities under a new European privacy law, publisher trade groups told the Alphabet Inc unit late Sunday.
Facebook said on Tuesday it would continue requiring people to accept targeted ads as a condition of using its service, a stance that may help keep its business model largely intact despite a new EU privacy law.