Australia: Meta to pay A$50M to settle Cambridge Analytica lawsuit
Meta has agreed to pay A$50 million ($31.85 million) to settle a lawsuit with Australia's privacy watchdog, the Office of the Australian Information Commissioner (OAIC). The settlement brings an end to a legal battle over the Cambridge Analytica scandal. The OAIC accused Meta of permitting unauthorized access of personal data of over 300,000 Australians through a third-party app called 'This Is Your Digital Life.' The data was later shared without consent, eventually ending up in the hands of Cambridge Analytica.
Lawsuit's journey and implications for Meta
The legal battle started in 2020 when Australia's privacy regulator sued Meta for not protecting user information. In March 2023, Australia's High Court dismissed Meta's appeal, permitting the lawsuit to proceed. By June 2023, both parties were ordered into mediation, which eventually resulted in this settlement. Despite denying any wrongdoing, Meta continues to face challenges in rebuilding trust after this case.
OAIC emphasizes stricter accountability
Following this case, the OAIC has emphasized stricter accountability in data management practices. The regulator argued that Meta had allowed data of Facebook users to be accessed for purposes they hadn't consented to, primarily targeted political advertising. This case is similar to the legal challenges Meta has faced globally, where regulators in the US and UK imposed fines.
Australia's legal victory may inspire global action
Australia's legal win against Meta could serve as a precedent for other regulators around the world to crack down on companies that don't respect user privacy. The Cambridge Analytica scandal first came to light in 2018 when it was found that Facebook user data had been harvested and abused for political gain, including swaying Donald Trump's 2016 US presidential election campaign and the UK's Brexit referendum.