Key Points

• The EU Commission said Meta is in breach of the Digital Services Act due to the "addictive" design features on Instagram and Facebook.
• Meta said, "We disagree with these preliminary findings," in comments shared with CNBC.
• The company has faced a slew of scrutiny over the safety of its social media platforms this year.

Instagram and Facebook's "addictive" designs have put Meta in breach of the European Union's digital laws, the EU concluded Friday in a preliminary report.

The tech giant violated the EU's Digital Services Act by failing to adequately consider the risks associated with design features that affected the physical well-being of its users, including minors and vulnerable adults, the European Commission said.

These features include infinite scroll, which constantly shows fresh content, autoplay, push notifications and highly personalized recommendation systems — feeding users' compulsion to continue using platforms and putting them into "autopilot mode."

The EU Commission also accused Meta of ignoring available information about how much time young people are spending on Instagram or Facebook at night, and how different types of content formats, from reels to stories, could lead to excessive use of its services.

It adds that Meta hasn't done enough to mitigate these risks and needs to change the design of its features, going as far as disabling "autoplay" and "infinite scroll" by default and enforcing "screen time breaks."

Meta is facing a fine of up to 6% of its total annual turnover if the Commission's findings are confirmed.

"We disagree with these preliminary findings, which don't accurately take into account the significant steps we've taken to protect teens," a spokesperson from Meta said.

Since the investigation began, Meta has rolled out Teen Accounts that "automatically protect teens and put parents in control" by allowing them to block access at night and cap daily screen time at 15 minutes, the tech giant said.

"We share the European Commission's commitment to providing teens with safe, positive online experiences and will continue to engage constructively with them," it added.

This is the second time this year that the EU Commission has found Meta to have breached its rules; in April, it said the company had failed to prevent under-13s from accessing its platforms.

Meta has faced a slew of intense scrutiny over its handling of the safety of users on its platforms this year, including two high-profile U.S. court rulings in March. The first found that the platform's design contributed to addiction and mental health harms in young people, while the other determined that it misled users about children's safety on its platforms.

Meta told CNBC at the time that it disagrees with the findings: "We're clear that Instagram and Facebook are intended for people aged 13 and older and we have measures in place to detect and remove accounts from anyone under that age."