Italy's communications authority, Agcom, has imposed a fine of 5.85 million euros ($6.4 million) on Meta Platforms Ireland Limited, the parent company of Facebook, for reportedly violating the country's ban on gambling advertising.
The fine comes as a result of an investigation that revealed the presence of promotional content related to gambling on 18 profiles or accounts (five on Instagram and 13 on Facebook), along with 32 sponsored contents.
"The procedure, initiated following numerous reports received by the Authority and concluded with Resolution no. 331/23/CONS, has ascertained the presence of promotional or otherwise content advertising, including indirect, relating to games or bets with money winnings, on 18 profiles/accounts (5 on Instagram and 13 on Facebook), as well as 32 'sponsored' contents," Agcom said in a translated statement.
MENLO PARK, CALIFORNIA - OCTOBER 28: A car drives by a new logo and the name 'Meta' on the sign in front of Facebook headquarters on October 28, 2021 in Menlo Park, California. A new name and logo were unveiled at Facebook headquarters after a much anticipated name change for the social media platform.
Meta Violates Ban on Gambling Advertising in Italy
The ban on gambling advertising in Italy has been in place since 2018 and applies to all forms of media, including social networks.
Agcom's decision to fine Meta is part of its efforts to enforce this prohibition and ensure compliance with the July 12, 2018 legislative decree, known as the "Dignity Decree." The regulatory authority's statement claimed that the company violated the prohibition on gambling advertising outlined in Article 9 of the legislative decree.
The investigation, prompted by numerous reports, concluded that Meta had hosted promotional and advertising content, including indirect forms, promoting online gaming and betting activities with cash winnings on 18 profiles and 32 sponsored contents.
In a similar action taken against other tech companies, such as Google Ireland Ltd. and Twitch Interactive Germany GmbH, Meta was held responsible for the sponsored contents as the owner of the dissemination platforms, namely "Facebook" and "Instagram."
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Notice and Take-Down, Notice and Stay-Down
The regulatory authority claimed that Meta did not merely act as a "passive" host for user-uploaded content but actively provided an advertising service, making the company aware of the potentially illegal nature of the content.
The decision also noted that Meta Platforms Ireland Limited was held responsible for only five out of the 18 profiles on Instagram and Facebook.
After receiving a notification of the dispute, indicating when the company became fully aware of the illicit content, Meta removed only 11 of the 18 reported profiles/accounts. This decision aligns with the provisions of Article 6 of the Digital Services Regulation (DSA).
The sanction imposed by Agcom is accompanied by a notice and take-down order, indicating that Meta must remove the infringing content, and a notice and stay-down order, emphasizing the need to prevent the recurrence of similar violations.
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