Meta CEO Zuckerberg to Testify in Landmark $8 Billion Facebook Privacy Case

Meta CEO Mark Zuckerberg is under intense scrutiny as he prepares to testify in an $8 billion class-action lawsuit. The case stems from the 2018 privacy scandal involving Cambridge Analytica, a political consulting firm tied to Donald Trump’s 2016 campaign. Shareholders allege that Zuckerberg and other top Meta executives misled the public about Facebook’s handling of user data.

Allegations of Data Misuse

The lawsuit claims that Facebook failed to disclose the risks of user data being misused by Cambridge Analytica. Which was able to harvest personal information without consent. Investors argue that Facebook violated a 2012 Federal Trade Commission (FTC) consent order. Which prohibited the platform from sharing personal data without user consent.

Facebook allegedly sold user data to commercial partners and removed required privacy disclosures. It further breaching the agreement. These violations resulted in financial penalties for the company, including a $5.1 billion FTC settlement and additional fines in Europe.

Fallout and Financial Costs

The privacy scandal’s impact has been costly. Meta reached a $725 million settlement with users but now faces a demand from shareholders to reimburse the company for fines and legal fees, totaling over $8 billion.

Zuckerberg & Key Testimonies and Ongoing Trial

Alongside Zuckerberg, former COO Sheryl Sandberg expected to testify, as well as other influential figures, including board members Marc Andreessen and Peter Thiel. The case, which is set to continue into late next week, has already seen testimony from privacy expert Neil Richards, who criticized Facebook’s misleading privacy practices.

Despite the legal drama, Meta has maintained that its leadership is not directly responsible for the violations. Former board member Jeffrey Zients testified in defense of settling with the FTC, saying it allowed the company to move forward and avoid greater financial strain.

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“Facebook’s privacy disclosures were misleading,” Richards said in his testimony.

The trial is set to continue for several more days, and a final ruling may take months. Meta had hoped the Supreme Court would dismiss the case, but the justices refused, leaving the lawsuit to proceed.