Facebook was fined $500,000 in the UK over the Cambridge Analytica breach, this was the maximum fine that could be applied. In the US it looks like the privacy scandal is going to cost the company a lot more, around $5 billion.
This really will not have that much if an affect on the company, its shares actually went up in price when the fine was revealed. The fine may be the biggest fine ever levied by the FTC, but the company has earnings considerably higher than this each quarter, they earned $15 billion in the last quarter.
The company will also have to now document how it plans to use peoples data when it launches new products, they will also have to confirm that they are protecting user privacy for these products.
The fine of $5 billion will not have an negative effect on the company, so we guess that it is not big enough, if the FTC had levied a much larger fine it may have had some impact on them.
Filed Under: Technology News, Top News