Cambridge Analytica Officially Filed For Bankruptcy In The US
- Cambridge Analytica has officially filed for bankruptcy in the US.
- The company improperly obtained and exploited the information of millions of Facebook users.
- The aftermath of this case caused a lot of impact on the US Lawmakers and Facebook's guidelines.
After the numerous press coverage and a recent Facebook efforts to repair the damage caused by the misuse of users' data, Cambridge Analytica is finally filing for bankruptcy in the United States.
A UK-based company has declared Chapter 7 bankruptcy protection in the US Bankruptcy Court Southern District of New York. Cambridge Analytica's listed assets are in the range of $100,001 to $500,000 while the liabilities are somewhere between $1 million and $10 million. Filing for Chapter 7 bankruptcy means that the company's assets will be liquidated.
Along with Cambridge Analytica, its parent company SCL Elections also said that both companies will be shut down after losing all of their customers in the aftermath of Facebook revelations.
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Cambridge Analytica is believed to have improperly obtained and misused the information gained from over 80 million Facebook users and is believed to be involved in Donald Trump's 2016 presidential campaign.
The effects of the Cambridge Analytica's case were felt all over the world as governments are forcing new regulation in order to protect online users' privacy. This also led to US lawmakers making new rules which are able to restrict companies from using consumer data however they want.
Facebook also followed by suspending 200 third-party apps which had access to the large amounts of user info. These apps are now pending review while Facebook checks them for any potential misuse of the data.
And let's not forget that Facebook's founder and CEO Mark Zuckerberg had to testify in front of the US Congress in a public hearing. He is also expected to show up in front of the members of the European Parliament in a private meeting and answer additional questions on this matter.