Mar 20, 2018

Wall Street turns on social media after Facebook scandal

Investors are beginning to sour on some of the biggest tech companies since weekend revelations that data firm Cambridge Analytica improperly accessed 50 million users' data through Facebook's platform. Stock prices were down for Facebook and its competitors — Google, Twitter, Snapchat — in light of the quickly-evolving scandal.

Why it matters: Calls for tighter regulation around user privacy and data transparency could completely upend the powerful business models around tech that have for years served as lucrative investment opportunities. This is the first time investors have reacted this strongly to a controversy around user privacy or election manipulation. Shares remained high for most of these firms throughout the Russia probe.

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Data: Money.net; Chart: Axios Visuals

Unsurprisingly, Facebook's reputation has been hit hardest by the scandal. The company lost $64 billion in market value since the story broke this past weekend, Axios' Dan Primack notes.

The concerns are particularly heightened for open platforms that can more easily be abused by bad actors. Some of the biggest tech companies, like Google, Facebook and Twitter are built to be easily accessible to users and developers around the world. This has allowed them to develop massive user bases and a lucrative marketing business that we are learning now can be exploited.

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Updated 10 mins ago - Politics & Policy

Updates: George Floyd protests nationwide

Police officers wearing riot gear push back demonstrators outside of the White House on Monday. Photo: Jose Luis Magana/AFP via Getty Images

Protests over the death of George Floyd and other police-related killings of black people continued for a seventh day across the U.S., with President Trump threatening on Monday to deploy the military if the unrest continues.

The latest: Four police officers were struck by gunfire while standing near a line in St Louis on Monday after a peaceful demonstration, Police Chief John Hayden said early Tuesday. They were all taken to hospital with non-life threatening injuries. He said a small group of people had thrown rocks and fireworks at police officers.

Updated 2 hours ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 3 a.m. ET: 6,273,402 — Total deaths: 375,683 — Total recoveries — 2,697,873Map.
  2. U.S.: Total confirmed cases as of 3 a.m. ET: 1,811,277 — Total deaths: 105,147 — Total recoveries: 458,231 — Total tested: 17,340,682Map.
  3. Public health: Nearly 26,000 coronavirus deaths in nursing homes have been reported to federal health officials —Coronavirus looms over George Floyd protests across the country.
  4. Federal government: Trump lashes out at governors, calls for National Guard to "dominate" streets.
  5. World: Former FDA commissioner says "this is not the time" to cut ties with WHO.
  6. 🎧 Podcast: The virus didn't go away.
Updated 2 hours ago - Politics & Policy

St. John's clergy: Trump used church as prop, Bible as symbol of division

Photo: Brendan Smialowski/AFP via Getty Images

Clergy of the historic St. John's Episcopal Church expressed furor and confusion over President Trump's visit on Monday, which he claimed was to honor the establishment after George Floyd protestors sparked a small fire on the property Sunday night.

The big picture: Park rangers and military police deployed tear gas and physical force to disperse peaceful protestors from Lafayette Park, which surrounds the White House, so Trump could walk to "pay respects" to the church — and a St. John's rector on the scene revealed in a Facebook post that she was left "coughing" from the tear gas.