In earlier court filings, Meta/Facebook warned that it might have to pull out of Europe if officials and courts can’t agree on data transfer regulations, though Meta VP of Global Affairs and Communications Nick Clegg has previously denied that would happen, saying that such a move would imperil Europe’s small and medium-sized businesses because of their reliance on targeted ads.

But the new filing suggests that Meta's business may be in peril if European law forces the company to halt data transfers to the US. If the company were to pull Facebook and Instagram from the market, it would “materially and adversely affect our business, financial condition, and results of operations,” Meta said in the SEC filing.