×
You will be redirected back to your article in seconds

Cambridge Analytica Shuts Down in Wake of Facebook Data Scandal

Data consulting firm Cambridge Analytica is shutting down in the wake of the Facebook data breach scandal that resulted in the lifting of personal data from up to 87 million Facebook users off the platform without their consent.

The United Kingdom-based company that collaborated with Donald Trump’s presidential campaign made the decision to close its doors after many of its largest clients walked out — a result of accusations that it used leaked personal data to inform political campaigns. The firm violated Facebook’s policy in order to obtain knowledge from user accounts.

Cambridge Analytica released a statement Wednesday on its closure, and said it was “vilified for activities that are not only legal, but also widely accepted as a standard component of online advertising in both the political and commercial arenas.” Its parent company, SCL, will also shut down.

In early April, Cambridge Analytica denied having access to 87 million accounts in another statement. “Cambridge Analytica licensed data for no more than 30 million people,” the company said, in addition to reiterating that none of the information obtained informed the 2016 presidential campaign.

During a Congressional hearing on April 11, Facebook CEO Mark Zuckerberg made his most recent of multiple apologies for the incident, stressing his dedication to consumer privacy.

“It’s clear now that we didn’t do enough to prevent [Facebook’s] tools from being used for harm,” Zuckerberg said. “It was my mistake, and I’m sorry. I started Facebook, I run it, and I’m responsible for what happens here.”

More Biz

  • Streaming Placeholder

    TikTok Owner Preparing Streaming Service to Rival Spotify (Report)

    ByteDance, the Beijing-based owner of the TikTok video app, is developing a paid streaming music service aimed at the same emerging markets that Spotify and Apple are seeking to explore, according to a report in Bloomberg. The app could be introduced as early as autumn, according to the report, which adds that the company has [...]

  • Stranger Things

    Coca-Cola Will Revive New Coke in Alliance With Netflix, 'Stranger Things'

    A rush of TV watchers to streaming video has prompted Coca-Cola to test an interesting pour. Coca-Cola will bring New Coke back to market for a brief time, all part of a partnership with Netflix, which has featured Coke in its cult-favorite series “Stranger Things.” The third season of the series, set in 1985, will [...]

  • Doug Davis and Jodie ShihadehVariety Power

    Jodie Shihadeh Named Partner at The Davis Firm

    Jodie Shihadeh has been named Partner at The Davis Firm, PLLC. She joined the firm in 2011 and rose from associate to Managing Attorney and now partner. She graduated from Boston College and received her law degree from Fordham University School of Law in 2011. While still in law school she interned in the Business [...]

  • Peak TV Saturation TV Placeholder

    Nickelodeon Alum Keith Dawkins Sets Kidvid Partnership With Believe Entertainment Group

    Former Nickelodeon executive Keith Dawkins has partnered with Believe Entertainment Group to develop children’s programming. Dawkins will partner with Believe under his newly formed Rock Hill Media Ventures, which aims to advise companies in media, entertainment and sports on working with diverse and emerging talent. Dawkins previously spent 17 years at Viacom, most of which [...]

  • CBS Studios Exterior

    CBS Credit Union Manager Pleads Guilty to $40 Million Fraud

    The manager of a credit union for CBS employees pleaded guilty in Los Angeles federal court on Monday to a $40 million embezzlement scheme. Edward Rostohar, 62, was arrested in March after the scheme began to unravel. According to prosecutors, he admitted to stealing money from the bank for the last 20 years. Rostohar is [...]

  • Norman Reedus as Daryl Dixon - The

    CAA's Packaging Fee Becomes Flashpoint in 'Walking Dead' Litigation

    UPDATED with new statement and response filing The issue that is at the heart of the WGA’s present standoff with talent agencies has flared up as a source of tension in the litigation between AMC Networks and Frank Darabont and CAA over profit participation on “The Walking Dead.” Attorneys for Darabont and CAA called AMC’s [...]

  • Sony Music to Deliver ‘Real Time’

    Sony Music to Deliver ‘Real Time’ Data, Royalty Payments to Artists

    Sony Music today announced two new payment features for its artists — “Real Time Royalties” and “Cash Out” — through its artist portal beginning this fall. 

A memo sent to artists Monday morning and obtained by Variety says  the initiatives will “allow our artists and royalty participants to view and withdraw earnings faster than ever [...]

More From Our Brands

Access exclusive content