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Facebook and the US Federal Trade Commission have agreed to a $ 5 billion settlement as part of the investigation into the dubious practices of the social network in the processing of user data. The settlement must now be approved by the Department of Justice, which is seen as a simple procedural step with little chance of changing the outcome.
The probe was launched in early 2018 after revealing that user data shared by Facebook with the Cambridge Analytica badytics company had been used to influence the 2016 presidential campaign. Subsequently, other controversial practices have been updated, such as storing Instagram pbadwords in plain text.
The penalty, a record number in itself (the second largest fine awarded for violating an FTC order is $ 22.5 million, imposed on Google in 2012), is considered by some to be a slap, not a significant incentive to improve. corporate policies regarding sensitive user data processing. Investors seemed to think the same way: the stock market reacted to the 1.8% rise in the price of Facebook shares, even if the settlement was $ 2 billion higher than the one initially allocated by the company .
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