INTERNATIONAL POLICY DIGEST

French regulators have launched a major antitrust investigation into Meta’s advertising practices, potentially reshaping digital ad competition across the EU.

French antitrust authorities have launched a formal probe into Meta, scrutinizing whether the company has exploited its powerful position in online advertising to stifle competition. On July 9th, officials confirmed that Meta had received a formal notice outlining the regulators’ concerns. While the letter doesn’t amount to a final judgment, it signals that the authorities believe the case warrants serious scrutiny.

This “statement of objections” is a procedural cornerstone of European Union competition law. It allows regulators to present preliminary findings and gives the company an opportunity to respond. Meta now has limited options: it can either submit a written rebuttal or request an in-person hearing. In many cases, this phase leads to negotiated settlements. If not, the case could proceed to penalties or compel Meta to restructure its business practices.

The investigation originates from a 2022 complaint by Adloox, a French firm that audits the quality of digital advertising. Since then, Adloox has been acquired by Scope3, a U.S.-based company focused on curbing the carbon footprint of digital media. The complaint asserts that Meta’s advertising model makes it nearly impossible for smaller firms to compete—especially in sectors where visibility and ad placement are essential. These markets are acutely sensitive to how ads are served and who gets access to audiences. Smaller platforms have begun to fill the gaps where larger networks fall short. If you were to go to BestCompetitions, for instance, you’d find a site promoting verified prize draws with real cash rewards. Such models usually offer clear, accessible promotions—an approach gaining traction as users become increasingly selective about how their data is handled online. It’s also a direction Meta could potentially consider as it rethinks its strategies.

With Instagram, Facebook, and WhatsApp under its control, Meta’s influence in Europe’s online ad market is hard to ignore. It may not be a monopoly by the strictest legal definition, but it operates with a dominance that borders on it. Data from the Interactive Advertising Bureau Europe shows that Meta and Google together account for over 70 percent of digital ad spending in most EU countries. That level of concentration has triggered growing criticism from individuals and small companies alike. Industry experts and officials argue that such power makes it exceedingly difficult for alternative platforms to gain meaningful traction.

Meta’s edge lies in the sheer volume and granularity of user data it controls. By collecting information across its services, it offers advertisers the ability to target audiences with pinpoint precision based on interests, behaviors, and geographic location. Campaigns can be dynamically tailored in real time. For smaller ad tech companies lacking access to this scale of first-party data, replicating Meta’s performance is not only difficult—it’s borderline impossible. That imbalance sits at the heart of this investigation, as well as several others now making their way through the EU’s regulatory apparatus.

The signs weren’t hard to spot. This case has been building for some time. Earlier this year, a coalition of France’s largest broadcasters—including TF1, France Télévisions, and BFM TV—filed lawsuits against Meta. Their central claim is that Meta’s dominance in the ad market siphons off advertisers from local media and imposes business terms that smaller outlets cannot afford.

France may have drawn first blood, but the legal momentum is spreading. In Spain, more than 80 media companies have joined forces in a separate lawsuit that’s scheduled to be heard this October. The group is seeking €551 million in damages, citing unfair competition and skewed access to the digital advertising ecosystem.

The European Commission has also entered the fray. Earlier this month, it imposed fines on Meta and Apple in unrelated antitrust rulings. While the cases differ in specifics, the complaint against Meta again zeroed in on how the company’s use of user data underpins its advertising business. The broader concern is that Meta’s architecture not only secures its market dominance but also entrenches it at the expense of open competition.

Beyond antitrust scrutiny, Meta is also facing increasing pressure from privacy advocates. In February, a coalition of digital rights groups filed GDPR-related complaints in several EU countries. These groups argue that Meta’s approach to personalized advertising may not comply with European data protection laws. If those challenges are successful, Meta could face new penalties or be required to overhaul its ad targeting practices across its platforms.

French regulators have stressed that Meta will have ample opportunity to defend itself and present evidence. But the very fact that the investigation has reached this stage highlights growing unease about the role of large tech platforms in shaping access to audiences and advertising revenues across the continent.

Should Meta ultimately be found in breach of competition rules, the fallout could extend far beyond France. Other member states may be emboldened to pursue similar actions, and the European Commission might consider tightening rules around digital advertising and data access more broadly.

Smaller publishers and startups, in particular, rely on affordable and fair advertising tools to reach their target audience. When access to those tools is skewed, it’s not just visibility that suffers—it’s sustainability. These cases are about more than market rivalry. They pose foundational questions about who holds the keys to digital reach, and what that means for innovation, information diversity, and consumer autonomy.

Some new platforms are consciously steering away from opaque targeting systems. Increasingly, they focus on verified engagement and transparent, user-first experiences. These models are attracting attention, especially as public skepticism about data collection intensifies.

While the French investigation is still in its early phases, its implications are already reverberating. With pressure mounting from legal, regulatory, and civil society angles, Meta’s advertising model finds itself at a precarious crossroads. The outcome may well redefine not only the company’s business playbook—but the broader rules of digital engagement across the European Union.