The Federal Trade Commission confirmed on Wednesday it has agreed to a settlement by Facebook for violating consumer privacy in the Cambridge Analytica scandal, with the social network paying a $5 billion penalty and agreeing to new restrictions.
Facebook's negotiations with the Federal Trade Commission to end an investigation into the social network's alleged privacy violations may involve a 20-year period of government oversight, with a deal between the two potentially a month away from completion.
Facebook is preparing to pay a record-setting fine to the U.S. Federal Trade Commission for privacy violations following the Cambridge Analytica fiasco, as the social network is earmarking $3 billion to go towards its expenses and a potential $5 billion fine, depending on how it negotiates with the regulator.
The firm best known for harvesting political data ignored a legal order to provide personal information when asked by a US academic. This contravenes UK data protection laws and saw them fined a total of $27,000.
In response to the Cambridge Analytica scandal, the European Parliament this week adopted a resolution calling on Facebook to take actions to stop interference in elections, and let E.U. agencies perform a full audit of the company's data protection.