- European regulations are leading Instagram to offer ad-free services
- Impact on ad sales unclear given uncertainties over consumer appetite for more subscriptions
Social media companies are shifting their business strategies towards ad-free subscription services in a move that could prove damaging for an already faltering advertising industry.
Meta (US:META) has confirmed it is considering charging users to avoid ads on Instagram, following press reports of a $14 (£11.40) monthly option for Europe. “Meta believes in the value of free services which are supported by personalised ads. However, we continue to explore options to ensure we comply with evolving regulatory requirements,” the tech giant told Investors’ Chronicle.