Facebook responds to 1,200 questions posed by U.S. lawmakers on its data privacy practices. It seems that as long as the questions keep coming, Facebook can safely delay and mitigate the risk of regulatory or legal action.
Facebook Cambridge Analytica
In a 229-page document, Facebook attempted to provide some clarity for questions from the congressional testimony to the U.S. House and Senate in April. Here are 10 things you might have missed.
Platforms are increasingly being held responsible by regulators for content governance of user-generated content, raising concerns for Facebook investors.
Despite Facebook pledging that it has figured out its problems, new revelations of data sharing with 60 different device makers has now come to light.
While the Facebook Cambridge Analytica scandal has created its share of problems for Facebook, it’s clear that the scale and scope of the scandal extends to every corner of Silicon Valley. After all, most tech giants are collecting staggering amounts of user data and comprehensive new privacy regulations seem imminent.
In the aftermath of the Cambridge Analytica scandal, many have suggested that Facebook be regulated, fined and perhaps even broken up. After all, if the FTC were to invoke its full power, it could theoretically levy hundreds of millions of dollars of fines, crippling Facebook. But is a big tech company too big to fail?
The congressional testimony was supposed to establish a national debate about data privacy and the right of users to protect their data from being sold, used, or analyzed in ways that were never intended. Instead, it has become very clear that regulating privacy is harder than anyone originally expected.
In an effort to get out in front of the data privacy scandal threatening to engulf the company, Facebook recently announced a new data abuse bounty program, which promises to pay people who report data abuses. But is this new data abuse bounty program going to result in any real changes to data privacy on Facebook?
After nearly two months of non-stop controversy and scandal over its improper use of Facebook data, Cambridge Analytica finally announced that it was ceasing operations, effective immediately. In doing so, Cambridge Analytica has become the new poster child to highlight the perils of data security breaches.
Companies, and even entire industries, are more afraid of Wall Street than they are of Washington. Instead of Facebook’s stock falling on privacy concerns, it is actually rising. Facebook has sensed that Wall Street doesn’t really care about privacy, and as long as Wall Street doesn’t care about privacy, why should it?