Facebook fined for data scandal

​The UK Information Commissioner’s Office (ICO) has fined Facebook £500,000

The UK Information Commissioner’s Office (ICO) has fined Facebook £500,000 for ‘serious breaches of data protection law’, the maximum penalty it can impose under previous legislation. 

The fine related to the Cambridge Analytica scandal, when more than 310,000 Australians may have had their data improperly shared with Cambridge Analytica, according to a Facebook update in April. Facebook collected the information of up to 87 million people, mostly in the US, illegitimately, up from the 50 million people originally published. This includes up to one million UK residents, according to the ICO. 

According to a statement, ‘The ICO’s investigation found that between 2007 and 2014, Facebook processed the personal information of users unfairly by allowing application developers access to their information without sufficiently clear and informed consent, and allowing access even if users had not downloaded the app, but were simply ‘friends’ with people who had.’ 

‘Facebook also failed to keep the personal information secure because it failed to make suitable checks on apps and developers using its platform. These failings meant one developer, Dr Aleksandr Kogan and his company GSR, harvested the Facebook data of up to 87 million people worldwide, without their knowledge. A subset of this data was later shared with other organisations, including SCL Group, the parent company of Cambridge Analytica who were involved in political campaigning in the US.’

The ICO went on to say, ‘Even after the misuse of the data was discovered in December 2015, Facebook did not do enough to ensure those who continued to hold it had taken adequate and timely remedial action, including deletion. In the case of SCL Group, Facebook did not suspend the company from its platform until 2018.’ 

‘The ICO found that the personal information of at least one million UK users was among the harvested data and consequently put at risk of further misuse.’

In July, the ICO issued a Notice of Intent to fine Facebook as part of an investigation into the use of data analytics for political purposes.

After considering representations from the company, the ICO has issued the fine to Facebook and confirmed that the amount – the maximum allowable under the laws which applied at the time the incidents occurred - will remain unchanged. This fine was served under the Data Protection Act 1998, which was replaced in May by the new Data Protection Act 2018, alongside the EU’s GDPR. These provide a range of new enforcement tools for the ICO, including maximum fines of £17 million or four per cent of global turnover.

Elizabeth Denham, UK information commissioner, said Facebook failed to sufficiently protect the privacy of its users before, during and after the unlawful processing of this data.

“A company of its size and expertise should have known better and it should have done better,” she said.

“We considered these contraventions to be so serious we imposed the maximum penalty under the previous legislation. The fine would inevitably have been significantly higher under the GDPR. One of our main motivations for taking enforcement action is to drive meaningful change in how organisations handle people’s personal data.

“Our work is continuing. There are still bigger questions to be asked and broader conversations to be had about how technology and democracy interact and whether the legal, ethical and regulatory frameworks we have in place are adequate to protect the principles on which our society is based.”

Facebook launched an eight-week marketing campaign targeted at Australian consumers in June.

As part of a broader communications campaign, ‘Here Together’ was launched to drive awareness of the changes Facebook has made to protect people's privacy, remove fake accounts from the platform and ensure people have a positive experience using the platform.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+:google.com/+CmoAu 

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Latest Videos

Launch marketing council Episode 4: Disruptive category launches

Our multi-part video series, Ready to Launch, is focused on unlocking the secrets of launching brands, products and services by exploring real-life examples from Australia’s marketing elite. The series is being produced as part of the Launch Marketing Council initiative by CMO in conjunction with Matt Lawton, MD at independent agency, Five by Five Global.

More Videos

Nowadays, when everything is being done online, it is good to know that someone is trying to make an improvement. As a company, you are o...

Marcus

10 lessons Telstra has learnt through its T22 transformation

Read more

Check out tiny twig for comfy and soft organic baby clothes.

Morgan mendoza

Binge and The Iconic launch Inactivewear clothing line

Read more

NetSuite started out as a cloud-based provider of Enterprise Resource Planning software or as NetSuite solution provider, which companies...

talalyousaf

NetSuite to acquire Bronto's digital marketing platform for US$200m

Read more

Thanks for sharing this post, its really good information I get through this blog.CDPO Online Exam Training

Infosectrain01

3 ways Booking.com is improving its B2B marketing game

Read more

Time is of the essence, especially for customer service teams. With chatbots, you can interact and assist customers at a larger scale, al...

Jai

Triple-digit customer database growth, personalised engagement become reality for Stone & Wood

Read more

Blog Posts

​Beyond greenwashing: Why brands need to get their house in order first

Environmental, Social and (Corporate) Governance is a hot topic for brands right now. But before you start thinking about doing good, Craig Flanders says you best sort out the basics.

Craig Flanders

CEO, Spinach

​The value of collaboration: how to keep it together

Through the ages, from the fields to the factories to the office towers and now to our kitchen tables, collaboration has played a pivotal role in how we live and work. Together. We find partners, live as families, socialise in groups and work as teams. Ultimately, we rely on these collaborative structures to survive and thrive.

Rich Curtis

CEO, FutureBrand A/NZ

The forgotten art of Acceptor/Rejector Analysis

The way we analyse brand health market research is wrong.

Zac Martin

Planning director, Ogilvy Melbourne

Sign in