A new year, a new day, and yet we keep hearing that Facebook is facing a fine from the FTC. And this time, the money could be much more than what the tech giant has already paid. The amount could run into billions of dollars.
It goes without saying that the main reason behind this record fine is the flaws in the social media platform's privacy practices. Basically, Facebook failed to maintain transparency and clearly inform users about how their data was shared with third parties. It violated a 2011 agreement with the regulator.
However, the FTC and Facebook are still in negotiations over the exact fine the company will have to pay, according to sources familiar with the matter. Facebook is also expected to make some changes to its business practices.
If the social networking platform does not meet the expectations of the regulatory body, then the matter will be taken to court, where of course the company led by Zuckerberg will have to allocate enough money to change this situation.
For the record, it was in 2012 that the FTC collected $22 million from Google, the highest amount ever paid by a tech company. But now it's 2019, and that amount, while large, is just a drop in the ocean when you consider the money Facebook makes in a year. But if the FTC can squeeze cash out of the company, it will certainly set a good example for other companies.
