Meta was charged by European Union (EU) regulators with breaching landmark tech rules after failing to prevent children under 13 from accessing Instagram and Facebook.

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Commission says tech company does not have effective measures to keep under-13s off Facebook and Instagram

The tech company Meta has been found to be in breach of EU law for failing to prevent children under 13 from using its Facebook and Instagram platforms.

Issuing the preliminary findings of a nearly two-year investigation, the European Commission said on Wednesday that Meta did not have effective measures in place to stop under-13s accessing its services.

BRUSSELS, April 29 — The EU said on Wednesday Meta is failing to prevent children under 13 using Facebook and Instagram, potentially exposing them to inappropriate content – and putting the tech giant at risk of a massive fine.

The European Union has in recent months stepped up efforts to protect children online, with several member countries considering social media bans for under-16s.

The EU executive is also exploring a possible bloc-wide age limit on social media after coming under intense pressure to take broader action following Australia’s groundbreaking ban on using such platforms for under-16s.

In its latest move to enhance protections for children online, the EU said a probe showed Meta broke digital content rules, and told the US firm to “strengthen” its measures to prevent, detect and remove under-13s on Facebook and Instagram.

Under Meta’s own terms and conditions, the minimum age to access the social media platforms is 13.

In its preliminary view, the EU found Meta had ineffective measures to enforce its own restrictions on children using Facebook and Instagram.

“Terms and conditions should not be mere written statements, but rather the basis for concrete action to protect users – including children,” said EU tech tsar Henna Virkkunen.

If the regulator’s views on Meta are confirmed, the EU can impose a fine of up to six per cent of the company’s total worldwide annual turnover.

Meta disagreed with the EU’s findings.

“We’re clear that Instagram and Facebook are intended for people aged 13 and older and we have measures in place to detect and remove accounts from anyone under that age,” a Meta spokesperson said, adding the company would continue to engage with the EU.

Ongoing Meta probe

The EU has vowed to ensure Big Tech gets to grips with the many dangers online for children. In February, it gave the unprecedented warning to China’s TikTok to change its “addictive design” or risk heavy fines.

Wednesday’s preliminary findings against Meta come after the EU opened an investigation in May 2024 under the Digital Services Act (DSA), an online content law that has been fiercely criticised by the US President Donald Trump’s administration.

The DSA is part of reinforced legal weaponry adopted by the EU in recent years to curb what Brussels describes as Big Tech’s excesses.

European regulators found children are able to easily create an account by entering a false date of birth, and said Meta had “no effective controls” to check.

The EU also said Meta’s tool to report the presence of children on Facebook or Instagram was “difficult to use and not effective, requiring up to seven clicks just to access the reporting form”.

Meta also “inadequately” identified the risks of children under 13 accessing the apps, and the potential for exposure to “age-inappropriate experiences”.

Brussels added Meta’s risk assessment “contradicts large bodies of evidence” from across the EU that indicate around 10 to 12 per cent of under-13s access the platforms.

Meta can avoid fines by offering remedies for the breaches.

‘Addictive’

The May 2024 probe into Meta is wide-ranging.

EU regulators are still looking into how Meta protects users’ physical and mental wellbeing, as well as the “addictive” design of Facebook and Instagram.

Alongside the EU’s investigations into online platforms, Brussels this month said an EU-developed age-check app was ready to go and expected to be rolled out in the coming months.

EU officials say the app seeks to replace pop-up banners asking users to click to confirm they are over 18 to access adult content sites.

Last month, the EU said four pornographic platforms including Pornhub were allowing children to access adult content in breach of digital rules. — AFP

Albanese defends plan forcing Meta, Google and TikTok to make deals with Australian news publishers through a levy

The Trump administration has described Australia’s moves to make big tech companies pay for news online as “extortion” but Anthony Albanese defended the plan by saying it was about protecting and rewarding media outlets for the work they produce.

Labor’s plan to encourage Meta, Google and TikTok to make deals with Australian news publishers, or face a 2.25% levy, is likely to be supported by the Coalition and Greens in parliament. But a bigger problem may be the ire of Donald Trump, who has strongly opposed extra regulation being imposed on US-based tech companies. A major tech industry lobby group on Wednesday urged the White House to consider retaliatory trade measures.

SYDNEY, April 28 — Australia unveiled draft laws on Tuesday that would tax tech giants Meta, Google and TikTok unless they voluntarily strike deals to pay local outlets for news.

Traditional media companies around the world are in a battle for survival as readers increasingly consume their news on social media.

Australia wants big tech companies to compensate local publishers for sharing articles that drive traffic on their platforms.

Prime Minister Anthony Albanese said tech giants Meta, Google and TikTok would be given a chance to strike content deals with local news publishers.

If they refused, they faced a compulsory levy that amounted to 2.25 per cent of their Australian revenue, he said.

“Large digital platforms cannot avoid their obligations under the news media bargaining code,” Albanese told reporters.

“At this point the three organisations are Meta, Google and TikTok.” The three firms were singled out based on a combination of their Australian revenues and large numbers of domestic users.

Meta, Google and TikTok did not immediately respond to a request for comment.

The draft laws have been designed to stop the tech giants from simply stripping news from their platforms – something Meta and Google have done in the past.

“What we are encouraging is for them to sit down with news organisations and get these deals done,” Albanese said.

When Canberra mooted similar laws in 2024, Facebook parent Meta announced that Australian users would no longer be able to access the “news” tab.

Meta had previously announced it would not renew content deals with news publishers in the United States, Britain, France and Germany.

‘Only fair’

Google has similarly threatened to restrict its search engine in Australia if forced to compensate news outlets.

Journalism needed to have a “monetary value attached to it”, Albanese said.

“It shouldn’t be able to be taken by a large multinational corporation and used to generate profits with no compensation.”

Supporters of such laws argue that social media companies attract users with news stories and hoover up online advertising dollars that would otherwise go to struggling newsrooms.

Australia’s University of Canberra has found that more than half the country uses social media as a source of news.

“People are increasingly getting their news directly from Facebook, from TikTok and Google,” Communications Minister Anika Wells said.

“We believe it’s only fair that large digital platforms contribute to the hard work that enriches their feeds and that drives their revenue.”

The draft laws were presented for public consultation on Tuesday, which will close in May.

They would then be introduced into parliament later this year. — AFP

Meta is preparing to backtrack its acquisition of AI startup Manus, the Wall Street Journal reported late Monday, after China banned the transaction citing national security concerns.

Facebook owner Meta announced in December it had agreed to acquire Manus, an artificial intelligence agent created by a company founded in China but now based in Singapore.

But China’s top body for economic planning, the National Development and Reform Commission, said in a statement on Monday that it will “prohibit the foreign investment in the acquisition of the Manus project” and “requires the parties involved to withdraw the acquisition.

The statement did not specifically name Meta.

Meta had told AFP in a statement on Monday that “the transaction complied fully with applicable law.”

“We anticipate an appropriate resolution to the inquiry,” it added.

Analysts had warned the deal could fall foul of regulators at a time of fierce technological  rivalry between Washington and  Beijing.

The Wall Street Journal, citing sources familiar with the matter, said the U-turn was complicated by the fact that Manus’s investors have already received returns from the deal.

Meta said in December that the deal — the financial details of which were not disclosed — would “bring a leading agent to billions of people and unlock opportunities for businesses across our products.”

Manus, created by startup Butterfly Effect, says on its website that it can do everything from analyzing the stock market to creating a personalized travel handbook for a trip with simple user instructions.

Labor’s draft news bargaining incentive scheme includes 2.25% levy on local revenues of digital giants

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Anthony Albanese has urged Google, Meta and TikTok to make deals with Australian media outlets to avoid a dedicated 2.25% levy on local revenues, warning digital giants should not be able to exploit the work of journalists to boost profits.

Releasing an exposure draft for the government’s news bargaining incentive (NBI) scheme on Tuesday, the prime minister said platforms could avoid the levy by signing new deals with publishers to pay for news content, and even greater offsets for making deals with smaller publishers. The government expects the plan will raise up to $250m annually for Australian journalism.

SYDNEY, April 28 — Australia unveiled draft laws on Tuesday that will charge tech giants Meta, Google and TikTok unless they voluntarily strike deals to pay local outlets for news.

“Platforms who elect not to do commercial deals with news publishers will need to pay a charge as a proportion of their revenue, with any charges collected to be distributed back to the news media sector,” Prime Minister Anthony Albanese said in a statement. — AFP

BEJING, April 27 — China has blocked Meta’s acquisition of AI startup Manus, the top economic planning body said today, after a regulatory review that reportedly also saw Beijing restrict two co-founders from leaving the country.

Facebook owner Meta had agreed to acquire Manus, an artificial intelligence agent created by a company founded in China but now based in Singapore, the two firms said in December.

Analysts however had warned then the deal could fall foul of regulators at a time of fierce technological rivalry between Washington and Beijing.

The Financial Times reported last month that China had restricted two Manus co-founders from leaving the country, citing three people with knowledge of the matter.

Chief executive Xiao Hong and chief scientist Ji Yichao, who are usually based in Singapore, were reportedly summoned to a meeting in Beijing in March and told they were not allowed to leave China because of a regulatory review of the Meta acquisition.

Beijing’s National Development and Reform Commission said in a statement on Monday that it will “prohibit the foreign investment in the acquisition of the Manus project” and “requires the parties involved to withdraw the acquisition transaction”, without naming Meta.

It added that this was done “in accordance with laws and regulations”.

AFP has contacted Manus and Meta for comment.

Meta said in December that the deal—the financial details of which were not disclosed—would “bring a leading agent to billions of people and unlock opportunities for businesses across our products”.

Bloomberg Intelligence analysts said the purchase was likely aimed at expanding Meta’s AI agent task capabilities, and that it could be worth more than US$2 billion (RM7.9 billion).

Manus, created by startup Butterfly Effect, can sift through and summarise resumes or create a stock analysis website, according to its website. — AFP

China has blocked Meta’s acquisition of AI startup Manus, the top economic planning body said Monday, after a regulatory review that reportedly also saw Beijing restrict two co-founders from leaving the country.

Facebook owner Meta had agreed to acquire Manus, an artificial intelligence agent created by a company founded in China but now based in Singapore, the two firms said in December.

Analysts however had warned then the deal could fall foul of regulators at a time of fierce technological rivalry between Washington and Beijing.

The Financial Times reported last month that China had restricted two Manus co-founders from leaving the country, citing three people with knowledge of the matter.

Chief executive Xiao Hong and chief scientist Ji Yichao, who are usually based in Singapore, were reportedly summoned to a meeting in Beijing in March and told they were not allowed to leave China because of a regulatory review of the Meta acquisition.

Beijing’s National Development and Reform Commission said in a statement on Monday that it will “prohibit the foreign investment in the acquisition of the Manus project” and “requires the parties involved to withdraw the acquisition transaction”, without naming Meta.

It added that this was done “in accordance with laws and regulations”.

AFP has contacted Manus and Meta for comment.

Meta said in December that the deal — the financial details of which were not disclosed — would “bring a leading agent to billions of people and unlock opportunities for businesses across our products”.

Bloomberg Intelligence analysts said the purchase was likely aimed at expanding Meta’s AI agent task capabilities, and that it could be worth more than US$2 billion.

Manus, created by startup Butterfly Effect, can sift through and summarise resumes or create a stock analysis website, according to its website.

Meta circulated a memo to staff yesterday (Thursday) informing them that the company plans to lay off 10 percent of its workforce in May. That's roughly 8,000 jobs. On top of that, Meta says it will not fill the thousands of jobs it was advertising for.

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