Facebook didn't read terms of app that harvested millions' data

Saturday, 28 Apr, 2018

Facebook's share rose 7.1% yesterday on the New York Stock Exchange and closed at $ 171.

The report detailed how Cambridge Analytica paid a researcher to harvest millions of U.S. voters' Facebook data using a personality quiz app to try to target them with political advertising. The mobile ad business grew on a push to add more video content.

Facebook said 1,040 people in the United Kingdom had installed Kogan's app, which allowed it access to around 1 million friends' personal information.

"Facebook confirms to parliament that Cambridge Analytical spent no money on ads on their platform for the European Union referendum".

Facebook and Alphabet's Google together dominate the Internet ad business worldwide.

"A bigger worry for investors is what's around the corner", Ives said, noting that Facebook will need to prove that it is able to "navigate a more treacherous regulatory environment". This definition, Ravel said, will fail to arrest new forms of election interference, such as ads placed months before an election.

Facebook may still be mired in the Cambridge Analytica scandal, but if all you were looking at is its bottom line, you might never know anything was wrong. "You want us to say we're responsible, which we have on multiple occasions", Schroepfer said.

Zuckerberg said the two days of hearings this month were "an important moment for the company to hear the feedback, and to show what we're doing". "We've said before that if we can't, then we don't deserve the right to their information".

It has resulted in calls from legislators and policymakers for greater regulation of social media, helping to shave billion of dollars from the company's market value. Facebook already faces a class action lawsuit in the US for collecting or storing users' biometric information without prior notification and consent.

Aleksandr Kogan, the Cambridge University researcher who created the app that collected the data of millions of Facebook users for Cambridge Analytica, told lawmakers earlier this week that Facebook did not look at its terms of services until after a report surfaced in media. Lucas was very critical: "I remain unconvinced the company has integrity".

Earlier this month, Mr Zuckerberg apologised to USA senators for issues that have beset Facebook, including shortcomings over data protection. Facebook's problems, however, began even before reports of voter profiling by Cambridge Analytica.

Others aren't convinced. Oliver Coen, a watch company based in London, gets more than 80 percent of its sales in the USA, and puts half its advertising dollars into Facebook.

The comments from the Facebook official appear to disprove claims from a "whistleblower" and Christopher Wyllie, a former employee, who had both implied that Cambridge Analytica data had been obtained by Aggregate IQ, a Canadian company that was employed by the Leave campaign. This is hardly surprising: "Cambridge Analytical didn't work on the referendum", Cambridge Analytical said in a tweet.

Murphy considered leaving Facebook, but also doesn't see an advertising alternative that would have the same reach.

Facebook said it ended the first quarter with 27,742 employees, up 48 per cent from a year earlier.

"We're not anxious about it - maybe because we live in a place that's so data-driven here, in the Silicon Valley", says Angel Moore, vice president for business development of the Alameda County Fair Association.

"We believed the matter was resolved".