Meta is dumping independent fact-checkers on Instagram and Facebook, similar to what X (earlier Twitter) did, replacing them with “community notes” where users’ comments decide the accuracy of a post.
On Tuesday, Mark Zuckerberg in a video said third-party moderators were "too politically biased" and it was "time to get back to our roots around free expression".
Tech executives are trying to build better relations with the new US President Donald Trump who will take oath this month, the new move is a step in that direction.
The Republican party and Trump have called out Meta for its fact-checking policies, stressing it censors right-wing voices on its platform.
After the new policy was announced, Trump said in a news conference he was pleased with Meta’s decision to have "come a long way".
Online anti-hate speech activists expressed disappointment with the shift, claiming it was motivated by a desire to align with Trump.
“Zuckerberg's announcement is a blatant attempt to cozy up to the incoming Trump administration – with harmful implications. Claiming to avoid "censorship" is a political move to avoid taking responsibility for hate and disinformation that platforms encourage and facilitate,” said Ava Lee of Global Witness. This organization sees itself as trying to bring big tech like Meta accountable.
The present fact-checking program of Meta was introduced in 2016, it sends posts that seem false or misleading to independent fact-checking organizations to judge their credibility.
Posts marked as misleading have labels attached to them, giving users more information, and move down in viewers’ social media feeds. This will now be replaced by community notes, starting in the US. Meta has no “immediate plans” to remove third-party fact-checkers in the EU or the UK.
The new community notes move has been copied from platform X, which was started after Elon Musk bought Twitter.
It includes people with opposing opinions agreeing on notes that provide insight or explanation to disputed posts.
We will allow more speech by lifting restrictions on some topics that are part of mainstream discourse and focusing our enforcement on illegal and high-severity violations. We will take a more personalized approach to political content, so that people who want to see more of it in their feeds can.
The digital advertising world is changing rapidly due to privacy concerns and regulatory needs, and the shift is affecting how advertisers target customers. Starting in 2025, Google to stop using third-party cookies in the world’s most popular browser, Chrome. The cookies are data files that track our internet activities in our browsers. The cookie collects information sold to advertisers, who use this for targeted advertising based on user data.
“Cookies are files created by websites you visit. By saving information about your visit, they make your online experience easier. For example, sites can keep you signed in, remember your site preferences, and give you locally relevant content,” says Google.
In 2019 and 2020, Firefox and Safari took a step back from third-party cookies. Following their footsteps, Google’s Chrome allows users to opt out of the settings. As the cookies have information that can identify a user, the EU’s and UK’s General Data Protection Regulation (GDPR) asks a user for prior consent via spamming pop-ups.
Once the spine of targeted digital advertising, the future of third-party cookies doesn’t look bright. However, not everything is sunshine and rainbows.
While giants like Amazon, Google, and Facebook are burning bridges by blocking third-party cookies to address privacy concerns, they can still collect first-party data about a user from their websites, and the data will be sold to advertisers if a user permits, however in a less intrusive form. The harvested data won’t be of much use to the advertisers, but the annoying pop-ups being in existence may irritate the users.
One way consumers and companies can benefit is by adapting the advertising industry to be more efficient. Instead of using targeted advertising, companies can directly engage with customers visiting websites.
Advances in AI and machine learning can also help. Instead of invasive ads that keep following you on the internet, the user will be getting information and features personally. Companies can predict user needs, and via techniques like automated delivery and pre-emptive stocking, give better results. A new advertising landscape is on its way.
The US Supreme Court is set to take two landmark cases over Facebook and Nvidia that may rewrite the way investors sue the tech sector after scandals. Two firms urge the Court to narrow legal options available for investment groups, saying claims made were unrealistic.
Facebook's Cambridge Analytica Case
The current scandal is that of Cambridge Analytica, which allowed third-party vendors access to hundreds of millions of user information without adequate check or follow-up. Facebook reportedly paid over $5 billion to the FTC and SEC this year alone due to purportedly lying to the users as well as to the investors about how it uses data. Still, investor class-action lawsuits over the scandal remain, and Facebook is appealing to the Supreme Court in an effort to block such claims.
Facebook argues that the previous data risks disclosed were hypothetical and therefore should not have been portrayed as if they already had happened. The company also argues that forcing it to disclose all past data incidents may lead to "over disclosure," making the reports filled with data not helpful but rather confusing for investors. Facebook thinks disclosure rules should be flexible; if the SEC wants some specific incidents disclosed, it should create new regulations for that purpose.
Nvidia and the Cryptocurrency Boom
The second is that of Nvidia, the world's biggest graphics chip maker, which, allegedly, had played down how much of its 2017-2018 revenue was from cryptocurrency mining. When the crypto market collapsed, Nvidia was forced to cut its earnings forecast, which was an unexpected move for investors. Subsequently, the SEC charged Nvidia with $5.5 million for not disclosing how much of its revenue was tied to the erratic crypto market.
Investors argue that the statements from Nvidia were misleading due to the actual risks but point out that Nvidia responds by saying that such misrepresentation was not done out of malice. However, they argue that demand cannot be predicted in such an ever-changing market and so would lead to unintentional mistakes. According to them, the existing laws for securities lawsuits already impose very high standards to deter the "fishing expedition," where investors try to sue over financial losses without proper evidence. Nvidia's lawyers opine that relaxing these standards would invite more cases; henceforth the economy is harmed as a whole.
Possible Impact of Supreme Court on Investor Litigation
The Supreme Court will hear arguments for Facebook on November 6th, and the case for Nvidia is scheduled for Nov 13th. Judgments could forever alter the framework under which tech companies can be held accountable to the investor class. A judgement in favour of Facebook and Nvidia would make it tougher for shareholders to file a claim and collect damages after a firm has suffered a crisis. It could give tech companies respite but, at the same time, narrow legal options open to shareholders.
These cases come at a time when the trend of business-friendly rulings from the Supreme Court is lowering the regulatory authority of agencies such as the SEC. Legal experts believe that this new conservative majority on the court may be more open than ever to appeals limiting "nuisance" lawsuits, arguing that these cases threaten business stability and economic growth.
Dealing with such cases, the Court would decide whether the federal rules must permit private investors to enforce standards of corporate accountability or if such responsibility of accountability should rest primarily with the regulatory bodies like the SEC.