Facebook Data Scandal
Cambridge Analytica is a political consulting firm that gained access to data on over 50 million Facebook users. Although the news of this has just surfaced, Facebook has known about this since 2015. There was no hacking or illegal methods involved as Cambridge collected this data. Public trust in Facebook’s ability to keep data safe is obviously at an all time low, and the business side of things is feeling that effect. Facebook lost about $75 billion in market capitalization and shares have fallen 13.9% since the story broke. Elon Musk took action by deleting the Facebook pages of his Tesla and SpaceX companies. Now there are serious talks about government oversight and regulation, something Facebook has been able to escape throughout its lifespan. Even Mark Zuckerberg has been quoted in this article saying regulations may be the way to go.
Do you think government regulation in technology is necessary/needed? How would regulations change the business environment for tech companies whose core business lies with data collection?
Do you believe Facebook will overcome this? Does Facebook hold too much power over its users? Why would Facebook hold this information from the public for three years, including a presidential election?