Federal Investigation Into Facebook Widens. Company Stock Price Drops

The Boston Globe reported on Tuesday (links added):

"A federal investigation into Facebook’s sharing of data with political consultancy Cambridge Analytica has broadened to focus on the actions and statements of the tech giant and now involves three agencies, including the Securities and Exchange Commission, according to people familiar with the official inquiries.

Representatives for the FBI, the SEC, and the Federal Trade Commission have joined the Justice Department in its inquiries about the two companies and the sharing of personal information of 71 million Americans... The Justice Department and the other federal agencies declined to comment. The FTC in March disclosed that it was investigating Facebook over possible privacy violations..."

About 87 million persons were affected by the Facebook breach involving Cambridge Analytica. In May, the new Commissioner at the U.S. Federal Trade Commission (FTC) suggested stronger enforcement on tech companies, like Google and Facebook.

After news broke about the wider probe, shares of Facebook stock fell about 18 percent of their value and then recovered somewhat for a net drop of 2 percent. That 2 percent drop is about $12 billion in valuation. Clearly, there will be more news (and stock price fluctuations) to come.

During the last few months, there has been plenty of news about Facebook:

• Facebook's Screening for Political Ads Nabs News Sites Instead of Politicians
• How to Wrestle Your Data From Data Brokers, Silicon Valley — and Cambridge Analytica
• How To View The List Of Advertisers Tracking You On Facebook
• How To Check If Your Information Was Collected By Cambridge Analytica In The Facebook Breach
• 4 Ways To Fix Facebook
• Fair Housing Groups Sue Facebook for Allowing Discrimination in Housing Ads