Responding to the announcement that the Competition and Markets Authority will open an investigation into Meta’s commercial terms, News Media Association Chief Executive Theo Bamber said: "Meta has given publishers an invidious choice of giving away their content for free to power its AI products or leaving a platform which millions of Britons use to get their news.
"We applaud the Competition and Markets Authority for taking action to protect British businesses and UK citizens’ access to high-quality news, and Ministers must back them all the way. There is still a lot more work to do, but now is the time start bringing the dominance of Big Tech to an end.
"It’s clear that Meta would not have taken such a brazen step had it already been subject to the CMA’s digital markets regime, and the CMA could take much swifter action if it were. Meta must now be the primary candidate for the next Strategic Market Status investigation, ending its control over publishers' ability to reach audiences."
Sajeeda Merali, CEO of the PPA, commented: “Access to audiences should not come at the price of publishers’ content. Meta is central to how publishers win subscribers, engage audiences and deliver for advertisers, which is exactly why the proposed terms are so concerning.
“Our members’ evidence shows that, although traffic from Meta has declined, their presence on it has not. Publishers invest heavily in trusted, high-quality content, and they should have a genuine say in whether and how it is used by others. Where their content is used beyond what is needed to provide Meta’s services, it should be licensed on fair terms, not taken as a condition of access.
“We welcome the CMA’s investigation and Meta’s decision to pause its changes. The PPA will keep sharing our members’ evidence and engaging with all parties as the process continues, and we look forward to working with the CMA to secure a fair outcome.”
Stacey Gray, a commercial senior associate who specialises in competition law at Square One Law added: “The CMA will examine whether Meta is abusing a dominant position by imposing exploitative terms on publishers and advertisers.
“This focus aligns directly with the core tenets of competition law regarding market power and fair play. By investigating these specific practices, the authority aims to ensure that digital marketplaces remain competitive, transparent and fair for all participating businesses.
“The case highlights the increasing scrutiny of how dominant digital platforms use their power. To avoid falling foul of the regulations, Meta will need to demonstrate that its commercial teams are fair and do not exploit businesses that depend on its platforms to reach audiences and customers.
“Should the CMA rule that Meta’s terms and conditions have infringed UK competition law, the company could face significant consequences.
“Under the Competition Act 1998, the CMA would have the power to impose fines of up to 10% of Meta’s worldwide annual turnover for such an infringement, which given last year’s turnover of $200.97billion, could be one of the authority’s largest fines to date. It could also require Meta to amend or withdraw the offending contractual terms and take steps to bring any abusive conduct to an end.
“Such a ruling could also expose Meta to follow-on damages claims from affected publishers and other content creators and businesses seeking compensation for losses suffered as a result of the alleged abuse.”
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