India issues fresh notices to Facebook, Cambridge Analytica over Indians' data misuse
- Author: Zachary Reyes Apr 26, 2018,
Apr 26, 2018, 4:06
There's much more to be learned about how personal information on Facebook was mined and later purchased and used by a consultant who also did work for Donald Trump's presidential campaign in 2016. The social network giant said its net profit jumped 63 percent, to just under $5 billion, on a 49 percent rise in revenue, to just under $12 billion.
The number of daily active users rose 13% year-over-year to 1.45bn, while monthly active users rose by a similar percentage to 2.2bn.
Facebook is the second largest digital publisher in the world, behind Google.
Facebook might be weathering more headwinds than you can shake a stick at right now, but that didn't stop it from posting gangbuster earnings on Wednesday. "This was unequivocally not a data breach", Bosworth said. North America is Facebook's most lucrative market, and another decline in use could be a canary in the coalmine for a more macro problem than Cambridge Analytica - the fact that younger people prefer other social networks to Facebook.
It says the personality characteristics could then be stored in a user's profile and used "to select news stories, advertisements, or recommendations of actions presented to the user". A few companies, including the German bank Commerzbank and speaker-maker Sonos, temporarily paused their ads.
Ives thinks the "worst case scenario" is that as much as $2 billion in ad sales could be "at risk" for the company this year.
Advertising revenue reached $11.795 billion, up 50% from $7.85 billion during the same quarter a year earlier.
Total revenue was $11.97 billion, above the analyst estimate of $11.41 billion. But the 4C numbers give some indication of how smaller brands are behaving.
Chief Operating Officer Sheryl Sandberg said a "handful" of advertisers had "paused" ads on Facebook in the days following the Cambridge Analytical revelations, but one of those had returned.
The firm is now embroiled in a privacy scandal over the use of its data by a political consultancy.
Brian Wieser, an analyst with Pivotal Research, predicts there will be "an ongoing erosion of usage throughout 2018" due to "reduced trust" and "increasing awareness of toxicity of the platform", among other factors. Rob Sherman said Facebook remains "strongly committed to protecting people's information" and appreciates "the opportunity to answer questions the FTC may have".
A year ago, Facebook reported adjusted EPS of $1.04 on revenue of $8.03 billion. According to GBH's advertiser checks and consumer surveys, about 15 percent of FB users have scaled back on using the service.
What this means is that not a single Facebook user in Indonesia knows if their data is safe or if it has been leaked. "We also need to keep moving forward". It was in a statement that was unleashed on Thursday evening that the ministry disclosed that it had sent out a letter to Facebook Ireland Ltd which happens to be its main global business unit.