In today’s Digest we cover TikTok introducing an ad-free subscription in the UK and Byron Allen taking over BuzzFeed as CEO in a $120m buyout. We also discuss Meta being sued over scam ads in California. 

TikTok launches ad-free tier in UK

TikTok is introducing a new ad-free subscription tier in the United Kingdom, allowing users to pay £3.99 per month to remove advertising and disable the use of their personal data for targeted ads. The move aligns with evolving UK privacy regulations that are giving consumers greater control over how their data is used for advertising, although TikTok has positioned the change as part of a broader effort to provide users with more choice over their in-app experience.

While TikTok says users who do not subscribe will continue to receive personalised ads as normal, the new offering reflects how social media companies are adapting their business models to comply with stricter data protection rules while preserving advertising revenues.

Byron Allen buys BuzzFeed 

BuzzFeed has been sold for USD$120m (£94.8m) to media entrepreneur Byron Allen, after a decline from the company’s peak valuation of USD$1.7 bn (£1.34bn) in the 2010s. Under the deal, Allen will assume the role of chief executive, replacing founder Jonah Peretti, who will remain with the company as president of BuzzFeed AI. The acquisition also includes HuffPost, as Allen looks to expand his media portfolio and deepen his presence in digital publishing and streaming.

Allen said the company’s future strategy will focus heavily on free-streaming video, audio, user-generated content, and AI-driven media experiences, with ambitions to compete more directly with platforms such as YouTube. The deal comes as BuzzFeed continues to struggle financially following its failed public market debut in 2021 and broader challenges facing digital publishers. 

California country sues Meta over scam ads

California has filed a lawsuit against Meta, alleging the company profited from scam advertisements across Facebook and Instagram in violation of California’s false advertising and unfair business practices laws. The complaint, filed in Santa Clara County Superior Court on behalf of California residents, accuses Meta of allowing fraudulent high-risk ads to circulate on a global scale while generating significant revenue from them.

The lawsuit cites leaked internal documents reported by Reuters, claiming Meta earned as much as USD$7bn (£5.53bn) annually from scam-related advertising and failed to implement sufficient enforcement measures. 

Meta has denied the claims, arguing the case misrepresents its anti-fraud efforts and relying on selective reporting.