Facebook to be fined $3 to $5 billion for privacy issues by FTC

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FILE- In this May 1, 2018, file photo, Facebook CEO Mark Zuckerberg delivers the keynote speech at F8, Facebook’s developer conference, in San Jose, Calif. Federal regulators are reportedly considering seeking some kind of oversight over Mark Zuckerberg’s leadership of Facebook over the social network giant’s mishandling of users’ personal information. The Washington Post reported […]

(WTNH) — On Wednesday, April 24th, Facebook released it’s First Quarter 2019 results in a report to investors which outline earnings and growth for the Menlo Park, California-based tech company. 

Within the report, a note was made specifying a legal expense estimated at $3 billion due to an “ongoing matter” with the U.S. Federal Trade Commission (FTC) as an expense loss in the company earnings.

Related Content: Study: Most Facebook users unaware company is recording their interests for targeted ads

On the earnings call, company leaders mentioned that the $3 billion loss was estimated on the low-end. 

The Federal Trade Commission is a United States government department which protects America’s consumers from unfair business practices. The latest investigation by the FTC is in reference to Facebook mishandling private user data from the latest Cambridge Analytica breach as well as inquiries “into the platform and user data practices”.

This fine would be the largest made by the FTC since a penalty was issued to Google in 2012 which cost the tech company $22.5 million in reference to tracking users on Apple Inc.’s Safari browser.

Connecticut’s Senetor Richard Blumenthal tweeted about the matter, mentioning that fines for Facebook should be increased after noting that the tech giant’s profits last quarter surpassed $15 billion:

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