Facebook Shares Tumble After Report Zuckerberg Knew Of “Questionable” Privacy Practices
Shares of Facebook tumbled on Wednesday after emails emerged which appear to show Facebook CEO Mark Zuckerberg’s knowledge of questionable privacy practices at the company, according to the Wall Street Journal, citing people familiar with the matter.
Within the company, the unearthing of the emails in the process of responding to a continuing federal privacy investigation has raised concerns that they would be harmful to Facebook—at least from a public-relations standpoint—if they were to become public, one of the people said.
The potential impact of the internal emails has been a factor in the tech giant’s desire to reach a speedy settlement of the investigation by the Federal Trade Commission, one of the people said. Facebook is operating under a 2012 consent decree with the agency related to privacy, and the emails sent around that time suggest that Mr. Zuckerberg and other senior executives didn’t make compliance with the FTC order a priority, the people said. –Wall Street Journal
It is unknown exactly which emails the FTC has requested, or how many relate to Zuckerberg.
Facebook has responded in a statement:
“We have fully cooperated with the FTC’s investigation to date and provided tens of thousands of documents, emails and files. We are continuing to work with them and hope to bring this matter to an appropriate resolution.”