We all know very well that the social network giant Facebook was penalized because of the scandal involving Cambridge Analytica, which had access to profiles of 87 million people. Hence, recently, the social network giant Facebook has now received the maximum penalty in the United Kingdom.
Facebook Slapped With Maximum U.K. Fine For Cambridge Analytica Scandal
The social network giant Facebook was penalized because of the scandal involving Cambridge Analytica, which had access to profiles of 87 million people. The social network has received the maximum penalty in the United Kingdom, which is about 500 thousand pounds sterling.
The decision was made after the Information Commissioner’s Office (ICO) imposed that the social network giant Facebook did not offer the appropriate privacy protections on its platform, allowing personal information to be misused.
“Facebook has not provided the protection it needs to comply with data protection laws,” UK Information Commissioner Elizabeth Denham told reporters.
In its report, ICO also recalled that Mark Zuckerberg’s company did not inform users correctly when it discovered that data collected by Aleksandr Kogan had been passed on to third parties. The agency also reviews the conviction of Alexander Nix, former CEO of Cambridge Analytica.
Although it is at the highest level allowed by the British legislation, the fine should not cause Facebook to suffer. According to New York Times columnist Kevin Roose, the figure equals to seven minutes of the company’s revenue in the first quarter of 2018.
I did the math, and using Q1 figures this "maximum penalty" amounts to about 7 minutes' worth of revenue. https://t.co/v24bW6a8cK
— Kevin Roose (@kevinroose) July 10, 2018
The consequences could have been more serious if the process had begun after the GDPR came into force. According to the Guardian, the company could be fined up to 4% of its global turnover, which would total $1.9 billion, according to the latest balance sheet.
The social network giant Facebook has yet to appeal to try to alter the decision of the British authority. “We have worked closely with ICO on its Cambridge Analytica research, just as we have done with the authorities in the United States and other countries,” said Erin Egan, Facebook’s privacy director. “We are reviewing the report and will respond to ICO soon.”
Even if it succeeds, Facebook should not close the matter anytime soon. The company is also investigated by the Federal Trade Commission (FTC). The US body wants to know if there has been a breach of a 2011 agreement when the company has agreed to ask users for permission to share information with third parties.
So, what do you think about this? Simply share all your views and thoughts in the comment section below.