Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Facebook’s Privacy Settlement Argued Consumers Were Never Harmed. Experts Disagree

Facebook’s Privacy Settlement Argued Consumers Were Never Harmed. Experts Disagree

Facebook’s $5 Billion Privacy Settlement Argued Consumers Weren’t Harmed. Experts Think the Damage Was Incalculable

New documents reveal that Facebook didn’t think it harmed consumers when it allowed data from up to to 85 million accounts to be harvested by data analytics firm Cambridge Analytica in 2016.

The argument, which was documented in a February 2019 white paper obtained by The Washington Post, was part of the Federal Trade Commission’s probe into Facebook’s privacy practices that ended with a record fine of $5 billion.

At the time of the white paper, the FTC reportedly was considering hitting Facebook with a fine of tens billions of dollars—a punishment Facebook's lawyers deemed as "unconstitutional" and "unlawful." Vying leniency, Facebook’s lawyers argued that the company didn’t profit from the alleged violations of user privacy, and that consumers didn’t suffer personal injury, according to the Post.


But some privacy experts vehemently disagree.

“Personal information about political affiliation was used to micro-target people, based on the preferences and knowledge that Cambridge acquired illegally,” said David Vladeck, a Georgetown Law professor who served as the director of the FTC’s Bureau of Consumer Protection from 20019 to 2012, “The idea that that has no value… is simply ridiculous.”

Vladeck said that the damage associated with lost data often times is impossible to fix, and therefore equally impossible to quantify in dollars. But that doesn’t mean there's been no harm, he said.

As an example, he referred to Ashley Madison, the website that facilitated affairs for married people. In 2015, hackers leaked personal information, including full names and email addresses, of 36 million people using the service. The result was irreparable harm that included destroyed marriages and even suicides, Vladeck said.

“How do you monetize losing a loved one?” he said.

In Facebook’s case, personal data was used to influence people’s votes in the 2016 presidential election: “Who knows what they would’ve done if they hadn’t seen the ads,” Vladeck said.

Jim Steyer, CEO of Common Sense Media, said Facebook’s attempted defense is a clear sign that even stricter regulations should be imposed on the company.

“What Facebook's very own words show is exactly what we've been saying for years, which is that this company does not believe violating the privacy of consumers is harmful,” he said. “Their business model is based on the data of its users and they are going to continue to do everything they can to profit off of the information they collect."

And Facebook users are still claiming harms by Facebook, according to The Electronic Privacy Information Center.

The organization said it has uncovered more than 32,000 complaints against Facebook, many of which are related to privacy. Since the FTC settled with the company, EPIC has urged the House Appropriations Committee to further investigate the complaints.

But Chris Hoofnagle, faculty director of the Berkeley Center for Law & Technology, said Facebook’s defense is a “perfectly fine legal argument.” That’s because it attempts to address two of the FTC’s factors in determining a civil penalty: whether there was injury to the public and whether there was a desire to eliminate the benefits derived by the violation.

Jane Bambauer, director of the Program on Economics & Privacy at George Mason University Law School, said that in cases like Facebook’s, defining “harm” is becoming increasingly difficult and complex.

Either way, the fact that Facebook used the argument in an attempt to lower a potential fine was pointless, said Georgetown’s Vladeck. The Cambridge Analytica incident proved that Facebook had broken an earlier agreement it made with the FTC about how it would manage users’ data, thus the fine, he said.

“It’s not intended to compensate consumers,” Vladeck said. It’s “to punish Facebook for violating its consent decree… and to send signals to other actors in marketplace, which is, ‘Don’t be Facebook.’”

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Trump Called Viktor Orbán: "Why Are You Using the Veto"
Horror in the Skies: Plane Engine Exploded, Passengers Sent Farewell Messages
AI in Policing: Draft One Helps Speed Up Reports but Raises Legal and Ethical Concerns
Shame in Norway: Crown Princess’s Son Accused of Four Rapes
Apple Begins Simultaneous iPhone 17 Production in India and China
A Robot to Give Birth: The Chinese Announcement That Shakes the World
Finnish MP Dies by Suicide in Parliament Building
Outrage in the Tennis World After Jannik Sinner’s Withdrawal Storm
Class Action Lawsuit Against Volkswagen: Steering Wheel Switches Cause Accidents
UK Government Tries to Sue 4chan for Breaching Online Safety Act
Dogfights in the Skies: Airbus on Track to Overtake Boeing and Claim Aviation Supremacy
Tim Cook Promises an AI Revolution at Apple: "One of the Most Significant Technologies of Our Generation"
Are AI Data Centres the Infrastructure of the Future or the Next Crisis?
Miles Worth Billions: How Airlines Generate Huge Profits
Cambridge Dictionary Adds 'Skibidi,' 'Delulu,' and 'Tradwife' Amid Surge of Online Slang
Zelenskyy Returns to White House Flanked by European Allies as Trump Pressures Land-Swap Deal with Putin
The CEO Who Replaced 80% of Employees for the AI Revolution: "I Would Do It Again"
"Every Centimeter of Your Body Is a Masterpiece": The Shocking Meta Document Revealed
Character.ai Bets on Future of AI Companionship
China Ramps Up Tax Crackdown on Overseas Investments
Japanese Office Furniture Maker Expands into Bomb Shelter Market
Intel Shares Surge on Possible U.S. Government Investment
Hurricane Erin Threatens U.S. East Coast with Dangerous Surf
EU Blocks Trade Statement Over Digital Rule Dispute
EU Sends Record Aid as Spain Battles Wildfires
Beijing is moving into gold and other assets, diversifying away from the dollar
China Requires Data Centres to Source Majority of AI Chips Locally, For Technological Sovereignty
Escalating Clashes in Serbia as Anti-Government Protests Spread Nationwide
Category 5 Hurricane in the Caribbean: 'Catastrophic Storm' with Winds of 255 km/h
Trump Backs Putin’s Land-for-Peace Proposal Amid Kyiv’s Rejection
Digital Humans Move Beyond Sci-Fi: From Virtual DJs to AI Customer Agents
YouTube will start using AI to guess your age. If it’s wrong, you’ll have to prove it
Jellyfish Swarm Triggers Shutdown at Gravelines Nuclear Power Station in Northern France
OpenAI’s ‘PhD-Level’ ChatGPT 5 Stumbles, Struggles to Even Label a Map
Zelenskyy to Visit Washington after Trump–Putin Summit Yields No Agreement
High-Stakes Trump-Putin Summit on Ukraine Underway in Alaska
The World Economic Forum has cleared Klaus Schwab of “material wrongdoing” after a law firm conducted a review into potential misconduct of the institution’s founder
A Computer That Listens, Sees, and Acts: What to Expect from Windows 12
Bitcoin hits $123,000
Southwest Airlines Apologizes After 'Accidentally Forgetting' Two Blind Passengers at New Orleans Airport and Faces Criticism Over Poor Service for Passengers with Disabilities
United States Sells Luxury Yacht Amadea, Valued at Approximately $325 Million, in First Sale of a Seized Russian Yacht Since the Invasion of Ukraine
Russian Forces Advance on Donetsk Front, Cutting Key Supply Routes Near Pokrovsk
It’s Not the Algorithm: New Study Claims Social Networks Are Fundamentally Broken
Sixty-Year-Old Claims: “My Biological Age Is Twenty-One.” Want the Same? Remember the Name Spermidine
Saudi Arabia accelerates renewables to curb domestic oil use
The Billion-Dollar Inheritance and the Death on the Railway Tracks: The Scandal Shaking Europe
World’s Cleanest Countries 2025 Ranked by Air, Water, Waste, and Hygiene Standards
Denmark Revives EU ‘Chat Control’ Proposal for Encrypted Message Scanning
Perplexity makes unsolicited $34.5 billion all-cash offer for Google’s Chrome browser
Cristiano Ronaldo and Georgina Rodríguez announce engagement
×