March 26, 2018
Facebook’s stock slides as Federal Trade Commission confirms inquiry into whether the company engaged in ‘unfair acts’
Facebooks privacy practices are under investigation, FTC confirms
Facebook’s privacy practices are under investigation by the US Federal Trade Commission following a week of scandals and public outrage over the company’s failure to protect the personal information of tens of millions of users.
“The FTC takes very seriously recent press reports raising substantial concerns about the privacy practices of Facebook,” said Tom Pahl, acting director of the FTC’s bureau of consumer protection in a statement on Monday noting that the investigation would include whether the company engaged in “unfair acts that cause substantial injury to consumers”.
Facebook’s stock, which already took a big hit last week, slid as a result falling by as much as 6% at one point.
“We remain strongly committed to protecting people’s information,” Facebook’s deputy chief privacy officer, Rob Sherman, said in a statement. “We appreciate the opportunity to answer questions the FTC may have.”
Facebook’s privacy practices have come under fire after revelations in the Observer that Cambridge Analytica got data on Facebook users, including information on friends of people who had downloaded a psychological quiz app, even though those friends had not given explicit consent to sharing.
The fact that the data obtained by Cambridge Analytica was harvested in 2014 has raised questions about whether Facebook violated a 2011 consent decree with the FTC.
The consent decree included fines of up to $40,000 per violation, meaning that if Facebook were found in violation for all 50m users whose data was obtained by Cambridge Analytica, the penalty could conceivably be in the trillions of dollars.
David Vladeck, a former FTC official who oversaw the 2011 investigation, told the Washington Post that he believed there was a “strong possibility” that Facebook had violated its agreements.
Marc Rotenberg, executive director of the Electronic Privacy Information Center, said he believed Facebook was in violation of the 2011 settlement in letting Cambridge Analytica harvest data on friends of Facebook users.
“This is what Facebook was doing 10 years ago that people objected to, what the FTC should have stopped in 2011,” Rotenberg said. “It makes zero sense that when a person downloads their apps, they have the ability to transfer the data of their friends.”
Although Zuckerberg talked about changes in 2014 that would have prevented this, Rotenberg said it should have been banned already under the 2011 consent decree. He said the FTC had dropped the ball in failing to enforce that.
But Chris Hoofnagle, faculty director of the Berkeley Center for Law and Technology, said that legal language in the consent decree would make it difficult for the government to show that Facebook had violated the agreement, because it allows Facebook to give the information of a user’s friends to third-party developers.
“The consent decree doesn’t give the FTC a lot of traction, but what’s going to happen is what happened in the first FTC case,” Hoofnagle said, referring to the investigation that resulted in the 2011 agreement. “The FTC went in investigating A, then discovered B, C, D, E, F and G. The same thing is going to happen here. They’re going to go in under the consent decree logic, and then they’re going to find other wrongdoing.”
Facebook is also facing questions over reports that it collected years of contact names, telephone numbers, call lengths and information about text messages from Android users.
Facebook said on Sunday that this information was uploaded to secure servers and came only from people who gave explicit consent to allow it.
Officials said the data was not sold or shared with users’ friends or outside apps. They said the data was used “to improve people’s experience across Facebook” by helping to connect with others.
But the company did not spell out exactly what it used the data for or why it needed it.
Meanwhile, the chief law enforcement officers for 37 US states and territories are demanding to know when Facebook learned of the Cambridge Anaytica breach.
The officers say in a letter to Zuckerberg that users’ trust in the social media platform is “broken”.
The attorneys general are asking how Facebook monitored what these developers did with all the data they collected and whether Facebook had safeguards to prevent misuse.
They also asked Zuckerberg for an update on how Facebook will allow users to more easily control the privacy of their accounts.
Related Stories
Latest News
Top news around the world
Coronavirus Disease

Coronavirus disease (COVID-19) is an infectious disease caused by a newly discovered coronavirus.

Most people infected with the COVID-19 virus will experience mild to moderate respiratory illness and recover without requiring special treatment. Older people, and those with underlying medical problems like cardiovascular disease, diabetes, chronic respiratory disease, and cancer are more likely to develop serious illness.

Around the World

Celebrity News

> Latest News in Media

Watch It
Julia Fox defends viral ‘Uncut Gems’ interview moment: ‘I was stoned’ | Page Six Celebrity News
February 17, 2022
4m-p0_-ePd8
Alexia Echevarria pushed ‘RHOM’ producers to show more of son Frankie’s recovery | Page Six
February 17, 2022
E-wTaN9NfkI
Pete Davidson rejoins Instagram amid Kanye West drama | Page Six Celebrity News
February 17, 2022
SsC3dmsI6t4
Aaron Rodgers And Shailene Woodley Reportedly Break Up | TMZ LIVE
February 17, 2022
FoErdRE8Qe4
Chet Hanks Done Talking About Famous Parents, Becoming Personal Trainer | TMZ
February 16, 2022
5_UrULOkQ6o
Woman Stabbed at Foot Locker During Nike Shoe Release
February 16, 2022
TfuXMs1JdVg
Steph's Freaky Side, "Summer House" & "Love During Lockup"
February 17, 2022
9W_raO0zlA8
Tay or Nay, Offset's Sushi Anxiety & Nick on Monogamy
February 17, 2022
PauYHpJRA6o
Kim Kardashian & North West TWINNING in Matching Pajamas | E! News
February 17, 2022
b-_Oib6R108
Adam McKay - Hollywood Walk of Fame Ceremony
February 17, 2022
tYtzsHoOZzo
Tom Holland, Mark Wahlberg, and the Cast of 'Uncharted' Talk Most Challenging Stunts
February 15, 2022
d3ksX-SKi8c
Ryan Reynolds and Walker Scobell on ‘The Adam Project’, ‘Deadpool’, and Possible ‘Star Wars’ Role
February 16, 2022
5TxJsbJr9Dk
TV Schedule
Late Night Show
Watch the latest shows of U.S. top comedians

Sports

Latest sport results, news, videos, interviews and comments
Latest Events
04
May
CONCACAF CHAMPIONS LEAGUE: Playoffs
Seattle Sounders - Pumas
04
May
USA: Major League Soccer
FC Cincinnati - Toronto FC
03
May
ENGLAND: Championship
Bournemouth - Nottingham Forest
02
May
ENGLAND: Premier League
Manchester United - Brentford
02
May
ENGLAND: Championship
Fulham - Luton
02
May
SPAIN: La Liga
Getafe - Real Betis
02
May
GERMANY: Bundesliga
Bayer Leverkusen - Eintracht Frankfurt
02
May
GERMANY: Bundesliga
Borussia Monchengladbach - RB Leipzig
02
May
ITALY: Serie A
Atalanta - Salernitana
01
May
ENGLAND: Premier League
Tottenham Hotspur - Leicester City
01
May
SPAIN: La Liga
Barcelona - Mallorca
01
May
ITALY: Serie A
Roma - Bologna
01
May
ENGLAND: Premier League
West Ham United - Arsenal
01
May
ENGLAND: Premier League
Everton - Chelsea
01
May
ITALY: Serie A
Udinese - Inter Milan
01
May
ITALY: Serie A
AC Milan - Fiorentina
01
May
ITALY: Serie A
Juventus - Venezia
01
May
SPAIN: La Liga
Rayo Vallecano - Real Sociedad
30
Apr
GERMANY: Bundesliga
Mainz - Bayern Munich
30
Apr
GERMANY: Bundesliga
Borussia Dortmund - Bochum
30
Apr
ENGLAND: Premier League
Newcastle United - Liverpool
30
Apr
SPAIN: La Liga
Athletic Bilbao - Atletico Madrid
30
Apr
ENGLAND: Premier League
Leeds - Manchester City
30
Apr
SPAIN: La Liga
Real Madrid - Espanyol
30
Apr
ITALY: Serie A
Napoli - Sassuolo
28
Apr
ENGLAND: Premier League
Manchester United - Chelsea
27
Apr
CHAMPIONS LEAGUE: Semifinal
Liverpool - Villarreal
27
Apr
ITALY: Serie A
Bologna - Inter Milan
26
Apr
CHAMPIONS LEAGUE: Semifinal
Manchester City - Real Madrid
25
Apr
ITALY: Serie A
Sassuolo - Juventus
24
Apr
SPAIN: La Liga
Barcelona - Rayo Vallecano
24
Apr
ITALY: Serie A
Lazio - AC Milan
24
Apr
ENGLAND: Premier League
Liverpool - Everton
24
Apr
ENGLAND: Premier League
Chelsea - West Ham United
24
Apr
ITALY: Serie A
Empoli - Napoli
23
Apr
ENGLAND: Premier League
Brentford - Tottenham Hotspur
Find us on Instagram
at @feedimo to stay up to date with the latest.
Featured Video You Might Like
zWJ3MxW_HWA L1eLanNeZKg i1XRgbyUtOo -g9Qziqbif8 0vmRhiLHE2U JFCZUoa6MYE UfN5PCF5EUo 2PV55f3-UAg W3y9zuI_F64 -7qCxIccihU pQ9gcOoH9R8 g5MRDEXRk4k
Copyright © 2020 Feedimo. All Rights Reserved.