Facebook to Be Fined $5 Billion in Cambridge Analytica Privacy Scandal

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The U.S. Federal Trade Commission has voted to approve a settlement with Facebook that will see the social media giant hit with a roughly $5 billion fine over the Cambridge Analytica privacy scandal, reports The Wall Street Journal.

The matter has been moved to the Justice Department's civil division and it is unclear how long it will take to finalize, the person said. Justice Department reviews are part of the FTC's procedure but typically don't change the outcome of an FTC decision.

A settlement is expected to include other government restrictions on how Facebook treats user privacy. The additional terms of the settlement couldn't immediately be learned.
The scandal revolved around data firm Cambridge Analytica, which improperly collected information on tens of millions of Facebook users without their consent to create targeted political advertisements during the 2016 campaign.

The data collection came through an app called "This Is Your Digital Life," which requested that Facebook users complete a survey for academic use. In reality, the app's permissions allowed it to collect personal information on not just the Facebook users who took the survey but also their friends.

Facebook revamped its privacy practices in the wake of the scandal, but the company still faced investigations by regulators over multiple security lapses and marked a significant moment in efforts to raise awareness about digital privacy.

Apple CEO Tim Cook called the Cambridge Analytica situation "dire" and has on multiple occasions called for increased regulation to protect user privacy.

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Article Link: Facebook to Be Fined $5 Billion in Cambridge Analytica Privacy Scandal
 

charlituna

macrumors G3
Jun 11, 2008
9,631
815
Los Angeles, CA
Good news. FB needs to die in the long run.
Hate to be on insta, but I try to use it rarely.
social media has become so pervasive to our culture that it won't die until something new comes along. same with twitter and Instagram. although that something might not be a single network. it might be time to have services that are more focused than one or two trying to be everything for everyone.
 

SirithX

macrumors 6502
Feb 21, 2007
415
110
San Francisco
Meanwhile Equifax essentially gets a pat on the back.
Seriously, FB gets fined but Equifax does not?

Cambridge Analytica: 87M people affected: FB profile data, likes, interests taken
Equifax: 143M people affected: Social Security numbers, birth dates, addresses, driver’s license numbers taken

SMH


Good news. FB needs to die in the long run.
Hate to be on insta, but I try to use it rarely.
Be careful what you wish for. The decline of today's progressive tech giants could very well mean the rise of foreign, authoritarian companies beholden to their countries' interests rather than the US's. The US may crack down on US tech monopolies but you can bet that China will only keep encouraging their own.
 

bpeeps

macrumors 68040
May 6, 2011
3,127
3,039
But be assured that the govt will make sure that this can happen again. Whether by law or rolling back regulation, there is no way that this new source of income for the govt will be going anywhere anytime soon
This is not a new source of income for the government. Most govt agency fines go straight into the treasury and they have for decades.
 

78Bandit

macrumors 6502a
Jun 13, 2009
660
1,190
As far as Facebook is concerned that is just the cost of doing business. They had to have known the users' data was being accessed inappropriately but chose to look the other way because they decided the potential fine was less than the revenue they would get. For us old fogies, it's like back in the day when Ford decided to not fix the Pinto because they determined losses from wrongful death settlements would be less than the cost to recall the cars. Business will almost always make the decision that most benefits the bottom line no matter what the ethical issues.
 
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