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EU court deals blow to Meta in German data case

Facebook, Instagram and WhatsApp may need to overhaul how they collect the data of users in Europe after the top EU court ruled against parent company Meta on Tuesday.

The Meta logo on a smartphone and a computer monitor.
The Meta logo on a smartphone and a computer monitor. Photo: picture alliance/dpa/SOPA Images via ZUMA Press Wire | Pavlo Gonchar

The European Court of Justice (ECJ) ruled in favour of Germany’s anti-cartel watchdog, which had argued that it could take data privacy issues into account when considering antitrust cases.

One of the key issues in the case was Meta’s ability to link data across platforms, which allows it to closely target adverts at users, the principal way it makes money.

The German watchdog barred Meta from mixing personal data gathered on Facebook with details harvested from Instagram or WhatsApp, arguing that it amounted to an abuse of its dominant market position in Germany.

The European court said cartel offices were within their rights to carry out investigations under the EU’s huge data protection regulation (GDPR).

“The judgment will have far-reaching effects on the business models used in the data economy,” tweeted Andreas Mundt, head of the anti-cartel watchdog.

Echoing many previous rulings against Meta and other big tech firms, the court ruled that the US company must ask for permission to collect large amounts of personal data, striking down various workarounds that Meta had offered.

Meta is likely to need to find a different method of gathering data in Europe as a result.

“We are evaluating the Court’s decision and will have more to say in due course,” a Meta company spokesperson told AFP.

Privacy campaign group noyb welcomed the ruling, saying it clarifies once again that Meta cannot sidestep the GDPR.

“This will mean that Meta has to seek proper consent and cannot use its dominant position to force people to agree to things they don’t want,” said the group’s Max Schrems.

The ruling could also imperil other big platforms like Google, which has a similar ad-tech business model.

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SCHOOLS

What is Germany’s digital pact for schools and how does it affect pupils?

A key programme for digitalision in German schools expires on May 16th. Has the initiave been successful - and what comes next?

What is Germany's digital pact for schools and how does it affect pupils?

When it comes to digitalisation, Germany is a country very much under construction – and nowhere has that been more apparent than in schools. 

During the Covid-19 pandemic years, pupils suffered major setbacks as schools struggled to set up the infrastructure for remote and digital learning. 

This failure to set up digital learning quickly enough is seen as a key reason for Germany’s dismal performance in recent rankings of schools around the world.

Perhaps the most shocking of these came from a 2018 PISA study that ranked Germany 66th out of 78 countries in the availability of digital learning tools and 76th out 78 in the digital skills of teaching staff.

Desperate to turn things around, the federal and state governments launched their ‘Digital Pact for Schools’ back in 2019, earmarking a total of €6.5 billion for improving things like Wifi, the availability of digital equipment and administrative support.

Five years later – as the scheme expires – there are signs that the project has been a success. 

READ ALSO: German school pupils plummet to ‘lowest score ever’ in international rankings

How has the Digital Pact changed schools in Germany?

The €6.5 billion investment package consisted of €5 billion for boosting digital infrastructure in schools, €500 million for administrative support, €500 million for digital tools for teachers and a €500 emergency package for helping schools get set up for remote learning during the pandemic.

This was divided between the 16 federal states, with larger sums going to the states with the biggest populations and the highest number of schools. 

According to the Ministry of Education, around 90 percent of this sum has been either spent or earmarked since the fund was set up, with schools mostly using the money to purchase equipment like tablets and laptops for their classrooms. 

Out of the some 32,000 schools in Germany, around 29,000 benefited from the investment, the ministry revealed.

In the state of Bavaria alone, the Digital Pact helped fund 280,000 additional tablets in schools, bringing the total number up to 336,000. The number of digital classrooms, meanwhile, rose by 53,000 to 77,000 and the number of classrooms connected to wifi jumped by more than 60,000 to 101,000. 

Summing up the progress made in the last half decade, Stefan Düll, president of the German Teachers’ Association, said: “Most schools now have a good internet connection right up to the edge of the street,” even if no high-speed internet is available in the area. 

READ ALSO: School drop-outs rise across Germany as resources and teachers spread thin

According to the headteacher, there has also been significant steps forward in learning platforms, training for teachers and the availability of devices like tablets in schools. “Teaching can now utilise digital possibilities in many places,” he added. 

Is there still room for improvement?

Despite the investment, progress has been much slower in some regions and there are still many schools that don’t have access to wifi at all.

Düll also pointed out that, for schools to maintain high standards, there needs to be continuous investment for renewing subscriptions and replacing outdated or broken devices. This hasn’t always been forthcoming, he said. 

In addition, teachers often lack the administrative support they need to ensure that a digital lesson actually takes place in the case of technical problems. When it comes to training courses to get set up for digital learning, teachers are often unable to find the time while working more than 40 hours per week and coping with ever-worsening staff shortages.

School pupil in Germany

A school pupil studies history on a laptop at school in Germany. Photo: picture alliance/dpa | Marijan Murat

Finally, Düll sees room for improvement in the government’s attitude towards artificial intelligence (AI) and finding safe and ethical ways to incorporate it in the classroom.

“AI has an incredible amount of potential, an incredible amount of opportunities for our country as a whole, for Germany as a business location,” he said, “and Germany still has the chance to be at the forefront.”

However, since the current Digital Pact only mentions AI in passing, schools currently have to shell out for this themselves – and licensing software with high data protection standards doesn’t come cheap. 

Will there be a Digital Pact 2.0? 

There should be, but currently it’s unclear what form it will take or how it will be financed. 

Though the new pact is due to kick off in 2025, Education Minister Bettina Stark-Watzinger (FDP) is currently locked in a battle with the state culture ministers over where the money for the next investment programme should come from.

Previously, 90 percent of the funding came from the federal government, while just ten percent was put forward by the states. This time around, however, Stark-Watzinger is demanding a 50/50 split and also wants more say in how the programme should work.

One key sticking point is the amount of funding put into additional training for teachers. “The Digital Pact 2.0 must not become a mere order list for digital devices,” the FDP politician said recently. “Teachers are central to good digital education and need appropriate further training.”

Education Minister Bettina Stark-Watzinger (FDP) in Berlin

Education Minister Bettina Stark-Watzinger (FDP) in Berlin. Photo: picture alliance/dpa | Christophe Gateau

From the Education Ministry’s perspective, the next Digital Pact should expire in 2030 and function as the last major investment from central government. 

However, the states disagree on almost every front.

Not only would state education ministers like to see the 90/10 funding continue, but they also reject the idea of the federal government interfering on what the money should be used for. That’s largely because, under Germany’s federal system, states are primarily responsible for governing schools and education. 

In addition, the Länder reject the idea of an end date and would like to see the investment continue indefinitely.

READ ALSO: Six surprising facts about Germany’s school system

It’s still unclear when the next Digital Pact may be finalised. Relations between Stark-Watzinger and the state culture ministers have soured to such an extent that the FDP politician refused an invite to the next Culture Ministers’ Conference (CMK) that’s due be held in Saarland this June.

That means the deadlock is likely to continue into the foreseeable future. 

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