Facebook Escapes Recent Data Privacy Scandals with Big Profit Gain

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(1.45 and 2.2 billion daily and monthly active users, respectively.) It may not seem like a huge margin at first glance, but when you're Facebook and you have over 2 billion users, a 13 percent increase is still good enough to move the needle in a significant way.

Under the new rules, Facebook users could potentially limit the amount of data they share with the company, which could make it tougher for marketers to target their online ads as well as before.

The Federal Trade Commission has also started an investigation into whether Facebook violated a consent decree from 2011 in which it promised to protect the privacy of users.

The MeitY had earlier questioned both the companies on the impact of the data breach, following which Facebook had admitted that almost 5.62 lakh people in India were "potentially affected" by the incident.

"We do believe there may be near-term pressure (Q1/Q2) on User and Engagement growth at Facebook, given all the negative media attention on the data controversy, though do not see a material long-term impact", RBC Capital Markets analyst Mark Mahaney told clients ahead of earnings.

"I don't know if we really see a doomsday scenario here", Wehner said. And, on that front, Facebook is more dominant than ever. He'll still post videos on his company's Facebook page, but will advertise instead on Google and use more traditional methods like postcards, brochures and print ads.

"People want [Facebook] to be more about friends and family and less about content consumption", he said.

Investors were looking for any indication that Facebook's wave of recent scandals had led people to flee the service.

Facebook Chief Operating Officer Sheryl Sandberg said on a call with analysts that a "handful of advertising" paused spending after the data breach was made public, but one of those advertisers has returned to the platform.

The company's stock has been under pressure since mid-March, when news outlets reported that Cambridge Analytica, a British data firm, had accessed the personal information of as many as 87 million Facebook users without consent. She reiterated Facebook's promise not to sell user information or disclose their personal identities to ad partners. However, he added GDPR is likely to impact the whole online advertising industry, not just Facebook. Sequentially, the analyst models MAU growth in the USA and Canada of merely 1 million, calling for global advertising average revenue per user (ARPU) to climb 27% year-over-year.

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