Meta Stock Plunges 4.11% Amid EU's 8.41 Billion USD Fine

On April 7, 2025, Meta's stock experienced a significant drop of 4.11% in pre-market trading, reflecting investor concerns and regulatory pressures.

Meta Platforms has been fined 7.98 billion euros (8.41 billion USD) by the European Union for bundling its Facebook Marketplace service with its vast social network, marking the first time the tech giant has faced penalties for violating EU antitrust laws. The EU Commission ordered Meta to stop tying its classified ad service to Facebook's social media platform and to avoid imposing unfair trading conditions on competitors' second-hand goods platforms.

Margrethe Vestager, the EU's antitrust chief, stated that Meta's actions were aimed at benefiting its own Marketplace service by leveraging Facebook's extensive user base and data from competitors advertising on the platform. Meta has announced plans to appeal the decision, arguing that the penalty overlooks the realities of the thriving European market and protects established large companies.

This regulatory action comes as Meta continues to navigate significant investments in AI and VR technologies while maintaining growth in its core digital advertising business. The company's financial report for the quarter ending September 30 showed sales of 406 billion USD, a 19% year-over-year increase. However, the regulatory scrutiny and potential legal battles could impact Meta's future strategies and market position.