Austrian-based privacy rights organization Noyb, founded by data protection advocate Max Schrems, has formally demanded that Meta stop these data practices by issuing a cease and desist letter.

Meta Platforms Inc. (META) is facing mounting legal pressure in Europe over its intention to harvest data from Facebook and Instagram users to train artificial intelligence models. 

Austrian-based privacy rights organization Noyb, founded by data protection advocate Max Schrems, has formally demanded that Meta stop these data practices by issuing a cease and desist letter. 

The action comes ahead of a planned policy update on May 27, 2025, when Meta aims to begin using personal user data without prior opt-in approval, justifying the approach through a so-called 'legitimate interest' as defined in the European Union’s (EU) General Data Protection Regulation (GDPR).

Last month, Meta announced plans to train its AI systems using publicly available posts and comments from adult users in the EU.

The company said EU users of Meta platforms will receive in-app and email notifications explaining how their data may be used to improve Meta’s AI. The messages include a link to an objection form, which users can submit anytime. 

The tech giant also added that it does not use private messages or public data from EU users under 18 to train its generative AI models.

Noyb claims Meta’s strategy contradicts GDPR rules by bypassing the need for clear and informed user consent. The group criticized the opt-out process, calling it unnecessarily complicated as it burdens individuals with defending their privacy. 

It also warns that Meta’s broad interpretation of “AI technology” may allow the company to use personal data for various purposes, such as targeted advertising, without proper oversight. Complaints have been submitted to regulators in 11 EU countries.

Schrems indicated that Meta could face injunctions and a collective lawsuit for intangible harm, with the overall compensation amounting to as much as €200 billion (approximately $223.80 billion).

"We would expect that the use of social media data for AI training would trigger a lot of litigation throughout the EU. Even just managing this litigation will be a huge task for Meta,” said Schrems.

The outcome of this legal dispute could have significant implications for how tech companies handle user data in the context of AI development. If Noyb succeeds in its legal challenges, Meta may be required to revise its data processing practices.

On Stocktwits, retail sentiment surrounding Meta shares turned ‘bearish’ from ‘neutral’ a day ago.

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