U.S. regulators approve $5 billion Facebook settlement over privacy issues: source

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U.S. regulators approve $5 billion Facebook settlement over privacy issues: source
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The U.S. Federal Trade Commission approved a roughly $5 billion settlement with ...

- The U.S. Federal Trade Commission approved a roughly $5 billion settlement with Facebook Inc this week over its investigation into the social media company’s handling of user data, a source familiar with the situation said on Friday.

The FTC is expected to include in the settlement other restrictions on how Facebook treats user privacy, according to the Wall Street Journal, which also said that the agency vote was along party lines, with three Republicans voting to approve it and two Democrats opposed.The FTC and Facebook declined to comment.

Facebook’s revenue for the first quarter of this year was $15.1 billion while its net income was $2.43 billion. It would have been higher, but Facebook set aside $3 billion for the FTC penalty. The Cambridge Analytica missteps, as well as anger over hate speech and misinformation on its platform, have also prompted calls from people ranging from presidential candidate Senator Elizabeth Warren to a Facebook co-founder, Chris Hughes, for the government to force the social media giant to sell Instagram, which it bought in 2012, and WhatsApp, purchased in 2014.

Small toy figures are seen in front of Facebook logo in this illustration picture, April 8, 2019. REUTERS/Dado Ruvic/Illustration

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