Facebook faces record fine over Cambridge Analytica scandal

Social media giant could be forced to pay
£500,000 for failing to safeguard people’s personal data

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The UK’s Information Commissioner’s Office (ICO) today announced
that the social media giant will be fined £500,000 for breaching
data protection laws.

The watchdog also announced plans to a bring a criminal action
against Cambridge Analytica’s defunct parent company SCL Elections.
 

Facebook “will get a chance to respond to the proposed penalties
before the ICO releases a final decision”, Bloomberg reports.

It is the first financial penalty Facebook’s has faced since the
data leak was revealed earlier this year.

More than 50 million Facebook users – including one million
people in the UK – had data harvested by Cambridge Analytica
without their consent.

The London-based firm worked for Donald Trump’s campaign team in
the 2016 US presidential election and used the data to build a
software program to predict and try to influence votes.

The information was gathered through an app that paid users to
take a personality test but that also harvested details about their
Facebook friends.

The fine “sends a clear signal that I consider this a
significant issue, especially when you look at the scale and the
impact of this kind of data breach,” said Information Commissioner
Elizabeth Denham.

 “It’s an important moment for data protection,” she added.
“Very few people had an awareness of how they can be
micro-targeted, persuaded or nudged in a democratic campaign, in an
election or a referendum.”

The decision was welcomed by former Cambridge Analytica employee
and whistleblower Christopher Wylie. 

However, Sky News notes that the £500,000 fine will be
“pocket change” for a company valued last year at around $590bn
(£445bn).

“The scandal took place before new EU data protection laws that
allow much larger fines came into force,” the broadcaster says.
 

Facebook has said it will be reviewing the report and responding
to the ICO soon.

“As we have said before, we should have done more to investigate
claims about Cambridge Analytica and take action in 2015,” said
Erin Egan, Facebook’s chief privacy officer. “We have been
working closely with the ICO in their investigation of Cambridge
Analytica, just as we have with authorities in the US and other
countries.”