FTC Looking Into Facebook's Responsibility In Cambridge Analytica Incident

Under Investigation

The FEDERAL TRADE COMMISSION has opened an investigation into FACEBOOK’s privacy practices to see if it violated a 2011 agreement settling claims it was deceiving users about its privacy policy by allowing their private data to be shared and made public, HUFFINGTON POST reports. 

The new probe has been launched after revelations that CAMBRIDGE ANALYTICA misused data harvested from 50 million FACEBOOK accounts ostensibly to help DONALD TRUMP’s 2016 campaign. If found liable of violating the 2011 decree, FACEBOOK could face millions in penalties.

“Companies who have settled previous FTC actions must also comply with FTC order provisions imposing privacy and data security requirements,” FTC Bureau of Consumer Protection Acting Dir. TOM PAHL said. “Accordingly, the FTC takes very seriously recent press reports raising substantial concerns about the privacy practices of FACEBOOK. Today, the FTC is confirming that  it has an open non-public investigation into these practices.”

Separately, a group of 37 state attorneys general on MONDAY sent an inquiry to FACEBOOK, asking the company to explain its relationship with CAMBRIDGE ANALYTICA and answer “serious questions regarding consumer privacy.”

“We remain strongly committed to protecting people’s information,” FACEBOOK  Deputy Chief Privacy Officer ROB SHERMAN told HUFFPOST. “We appreciate the opportunity to answer questions the FTC may have.”

Lori Lewis On The Bottom Line

"There is a reason MARK ZUCKERBERG calls this a 'breach of trust' and not 'breach of privacy.'” CUMULUS and WESTWOOD ONE VP/Social and MERGE author LORI LEWIS said. "It could mean millions and millions in fines or nothing at all.

"FACEBOOK settled with the FTC Nov. 2011 on eight counts of different violations. The settlement required FACEBOOK to give consumers 'clear and prominent notice and obtaining consumers' express consent before their information is shared beyond the privacy settings already established.

The FTC will now investigate if 50 million FACEBOOK users were given that agreed upon “clear and prominent notice.”

« see more Net News