Meta Platforms—FTC imposed record $5 billion fine on Facebook for privacy violations stemming from Cambridge Analytica
On July 24, 2019, the FTC imposed a $5 billion penalty on Facebook — the largest privacy fine ever imposed worldwide — for violating a 2012 FTC consent decree. Facebook had deceived users about their ability to control privacy settings, misused phone numbers obtained for security to target ads, and enabled third-party apps to harvest friends' data. The settlement also required creation of an independent privacy committee on Facebook's board and quarterly compliance certifications by Zuckerberg.
Scoring Impact
| Topic | Direction | Relevance | Contribution |
|---|---|---|---|
| Corporate Governance | -against | secondary | -0.50 |
| User Privacy | -against | primary | -1.00 |
| Overall incident score = | -0.221 | ||
Score = avg(topic contributions) × significance (critical ×2) × confidence (0.59)× agency (compelled ×0.25)
Evidence (1 signal)
FTC announced record $5 billion Facebook privacy penalty
The FTC announced a $5 billion penalty — the largest privacy fine ever imposed worldwide — for Facebook's violations of a 2012 consent decree. The settlement required an independent privacy committee on Facebook's board and quarterly CEO compliance certifications.