Woah. Court just ruled to certify the class in lawsuit alleging Facebook sold ads based on inflated potential reach and then fraudulently covered it up. I'll link to more background on the case (and damning discovery) but first we have a few words from the federal judge. /1
Court does a nice job in a few sentences explaining Facebook told advertisers its "potential reach" in the US was 200 million people - note the word "people" is important - before they would narrow to a more targeted group leveraging Facebook's surveillance engine. /2
Facebook's (no, I won't call them Meta) lawyers first tried to suggest the class fails because it includes both small and large advertisers which went over like a lead balloon with this federal judge, errr "the objection is not well taken." /3
Court rules that the class is typical as all advertisers saw the same "potential reach estimates inflated by a similar percentage." /4
Court also ruled the class was adequate and the record hadn't found they didn't suffer a concrete injury among other reasons. Again, fail by Facebook. /5
In fact, the plaintiffs had claimed they would not have spent certain budget $ on Facebook if they knew the Potential reach was inaccurate. So this is a big deal. /6
Court even uses the "word" deceived to describe the effect on the plaintiffs. Keep that word in mind as we continue along this journey to use a word loved by Sheryl Sandberg. /7
In the key question of whether Facebook's inflated potential reach mislead advertisers, the Court rules Facebook doesn't disagree but "hurls a grab bag of challenges to plaintiffs' ability of proving an answer in their favor." Ouch. /8
Back to the word, "people," Court also notes Facebook doesn't dispute it originally described the inflated potential reach as "people" despite it representing "accounts" many of which were duplicate, fake, etc etc etc. /9
Here we get to the Court pointing to docs showing Facebook's knowledge (the fraud allegation) and that this metric was "the most important number in its ads creation interface" impacting budget plans and strategies. /10
And this line from Court speaks to Facebook's market power and antitrust cases also in various courts along with the necessity of class as no reasonable person (read as advertiser in this case) is likely to be able to pursue this lawsuit on their own against Facebook. /11
Bringing us to the order from the Court to certify the class in both the common law fraud claims against Facebook and injunctive relied under the unfair competition law. This case will include millions of advertisers on Facebook. /12
ok, here is archived thread on this lawsuit. You should also know FB whistleblower filed related SEC complaint. FB's very top execs appeared to decide not to share at earnings (since it wouldn't hurt $ and ads biz unless advertisers knew! - yikes). /eof
Woah. Exhibit list just posted for Facebook trial in DE starting in a few weeks. We finally have confirmation Sheryl Sandberg was deposed by the SEC - one week prior to Zuckerberg which also kept secret until a lawsuit unsealed it. Sandberg was also sanctioned in this case. /1
This matters as it gets at Who Knew What When at FB ahead of the world finding out its platform was leaking personal data for years. Zuckerberg was dodgy at best under oath to Congress, FB responses to Parliaments focused on 2018 news. But exhibits include Jan 2017 MZ emails. /2
The DE lawsuit claims Facebook's $5 billion record settlement was inflated in order to protect its CEO, Zuckerberg, and also includes (civil) insider trading claims. Zuckerberg was ordered to sit for multiple day depo this year, will have to testify live. /3
Scanning front pages across America this morning. Still today, the local A1 best captures the biggest story of the day. The majors from NY to LA to Detroit to even Arkansas. /1
From Washington DC all of the way up to the major newspapers in Alaska… the No Kings protest images are everywhere capturing the moment. /2
All of them capture peaceful protest, democracy in action, and what America is all about at a time when social media algorithms may distort what the day was all about. Illinois to Colorado. /3
Incredible work being done by the press to keep facts building on facts. Grateful. This entire WSJ report overnight starting with this lede on how White House orders sparked LA crackdown is both chilling and informative. /1
This statement. “We came to the United States for protection of what we encountered in Russia. It seems that we are encountering here what we fled.” /2
WSJ separating out cases of targeting groups who have not committed crimes but even noting here incredible resources being used against what appears to be clear, First Amendment protected activity alerted the community. Here is the must-read report. /3 wsj.com/us-news/protes…
Confession. Having watched Scott Pelley's outstanding work over nearly three decades, I almost didn't take the time to watch his W.F. commencement speech thinking the news reports told me enough of the facts. Frankly, that would have been a huge mistake on my part. Huge. 1/5
Disclosure: I'm a 60 Minutes fan. In fact, I read Don Hewitt's "Tell Me a Story" after nearly a decade in sports media and it likely tipped the scale in 2007 when I decided to jump to work at CBS. I find Pelley and team brilliant in telling stories in barely 15 min segments. 2/5
“If liberty means anything at all, it means telling someone something that they don’t want to hear. I fear there may be some people in the audience who don’t want to hear what I have to say today but I appreciate your forbearance in this small act of liberty.” - Scott Pelley 3/5
wow, another order for Mark Zuckerberg to sit for another court deposition. This time in a case involving privacy violations with ingesting web-wide health data. Remember they paid billions in cases to try to avoid this. Data and privacy issues are especially sensitive. /1
Zuckerberg depositions are interesting as they often go on for hours with highly informed attorneys driving for answers. And those answers may be put up against the often questioned veracity of his answers to Congress. Yes, as a CEO, he has testified to Congress A LOT. /2
I think his first real depo was SEC on very sensitive data scandal leading to $5B+ settlements with FTC+SEC. That scandal is still playing out in courts (did he overpay to protect himself?) It took 3yrs to get unsealed after I caught it in a footnote. /3
The Verge comes in with a massive scoop on the backstory reporting it was Musk - and Sacks - behind the scenes trying to blow up IP to train AI on behalf of his allies. This wouldn't be a surprise to anyone. /1
they have reports and details on the carnage and firing of the leadership and on the possible incorrect assumption that the new people in charge were running their playbook. /2
It may be rare that @mrddmia is in agreement with Dems but in the world of accountability for big tech abuse whether over data, monetization, IP, censorship, privacy, you name it, these aren't partisan issues. appreciate the shared voice from advocates all around. /3