Meta Platforms launched a legal challenge against Ofcom in London's High Court. The dispute concerns the new Online Safety Act.
The hearing began on Tuesday. It centers on Ofcom's calculation of fees and potential fines. Fines can reach 10% of a company's global revenue.
Meta argues Ofcom's method is disproportionate and unlawful. Ofcom uses a company's worldwide revenue to determine penalties, not just UK-specific income.
Meta contends this approach could result in the largest fines ever imposed by a UK regulator. It also argues the method unfairly burdens a small number of large companies. These companies would bear the majority of regulatory costs.
Ofcom stated it will robustly defend its position. The regulator asserts its methodology carefully and proportionately interprets the law passed by Parliament.