Meta to Pay $725 Million to Settle Cambridge Analytica Lawsuit: Report

The lawsuit was filed in 2018 after Facebook disclosed that it had harvested the information of around 87 million users.

By ANI | Updated: 24 December 2022 12:26 IST

Photo Credit: Reuters

Meta updated its data-sharing practices in 2018 following the Cambridge Analytica scandal

Highlights

Meta said it no longer allows third-parties access to data about users
The consultancy reportedly used data for the purpose of voter profiling
The settlement by Meta does not admit any wrongdoing

Facebook's parent company Meta has agreed to pay $725 million (roughly Rs. (Rs. 5,990 crore) to settle a class action lawsuit that accused the company of sharing users' personal data with the political consultancy firm Cambridge Analytica, American technology publication The Verge reported.

"The proposed Settlement of $725 million is the largest recovery ever achieved in a data privacy class action and the most Facebook has ever paid to resolve a private class action," Keller Rohrback, the law firm representing the plaintiffs, said in a court filing late Thursday.

The lawsuit was filed in 2018 after Facebook disclosed that it had harvested the information of around 87 million users and shared it with Cambridge Analytica, a political consultancy firm linked to the 2016 campaign of former President Donald Trump.

Meta Said to Settle Cambridge Analytica Scandal Case for $725 Million

The consultancy reportedly used the data for the purpose of voter profiling and targeting political advertising.

The court filing states that "Facebook has meaningfully changed the practices that gave rise to Plaintiffs' allegations" and "meaningfully enhanced its ability to restrict and monitor how third parties acquire and use Facebook users' information."

The proposed settlement does not admit any wrongdoing and must still be approved by a judge in the Northern District of California.

Parliamentary Panel Moots Digital Competition Act to Rein in Big Tech

In response to the news, a spokesperson for Meta told CNBC, "We pursued a settlement as it's in the best interest of our community and shareholders. Over the last three years we revamped our approach to privacy and implemented a comprehensive privacy program."

Microsoft Hit With 2022's Biggest Fine Imposed by French Privacy Watchdog

Meta said it "meaningfully changed" its data-sharing practices since the 2018 scandal, and no longer allows third-parties access to the same data about users.

What are the best smartphones you can buy in India in 2022? We discuss this on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.

Affiliate links may be automatically generated - see our ethics statement for details.

Comments

For the latest tech news and reviews, follow Gadgets 360 on X, Facebook, WhatsApp, Threads and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel. If you want to know everything about top influencers, follow our in-house Who'sThat360 on Instagram and YouTube.