Facing Growing Criticism, Facebook Reverses Decision to Sell Ads in WhatsApp
January 21, 2020
Facebook reversed the controversial decision to sell ads in WhatsApp. Before WhatsApp was acquired by Facebook, the company promised users it would not sell ads. But Facebook did not honor that promise to users, causing the WhatsApp founders to resign. When Facebook proposed to acquire WhatsApp in 2014, EPIC filed a complaint with the FTC advising the agency to block the sale unless adequate privacy safeguards were established for WhatsApp user data.The FTC wrote in response "if the acquisition is completed and WhatsApp fails to honor these promises, both companies could be in violation of Section 5 of the Federal Trade Commission (FTC) Act and, potentially, the FTC's order against Facebook." EPIC has challenged the proposed FTC settlement with Facebook, arguing that it is procedurally unfair and that the FTC failed to address growing concerns about the use of WhatsApp user data. The FTC is now considering blocking the integration of Facebook and WhatsApp user data.
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