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Facebook is facing a $5 billion payout over its privacy woes.
According to a report published by The Wall Street Journal on Friday, the US Federal Trade Commission (FTC) has approved a roughly $5 billion settlement with the Californian technology giant — a record-breaking payout for a tech company.
The reported settlement comes following an investigation by the American regulator into the company’s myriad privacy issues, and follows two years of constant scandals.
Facebook previously warned investors that it expected to pay out between $3-5 billion, and the company’s stock climbed slightly upwards on the news.
The WSJ’s report cited an anonymous source familar with the matter. Spokespeople for Facebook and the FTC did not immediately respond to Business Insider’s requests for comment.
The settlement is equivelant to roughly one month of Facebook’s revenues.
This story is developing…
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Source: Business Insider – rprice@businessinsider.com (Rob Price)