Meta Hit with Lawsuit by US Virgin Islands Regarding Fraudulent Advertisements and Issues of Child Safety
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Meta Engages in Legal Dispute Over Alleged Fraudulent Advertisements and Child Safety Concerns
Overview
- The US Virgin Islands is suing Meta regarding purported scam advertisements and child safety issues.
- The lawsuit suggests that 10% of Meta’s anticipated 2024 income may originate from deceptive advertisements.
- Two US senators have called for an investigation into Meta’s advertising practices.
- Meta refutes the allegations, pointing to a decline in reported scams.
- Internal documents indicate contentious guidelines for chatbots.
Charges Against Meta
The government of the US Virgin Islands has filed a lawsuit against Meta Platforms, the parent entity of Facebook and Instagram, claiming it has gained financially from scam advertisements while failing to adequately protect children on its platforms. The complaint alleges that Meta deliberately exposes users to deceptive material to enhance engagement and profit.
Expected Income from Deceptive Advertisements
As outlined in court filings, Meta is expected to generate around US$16 billion (AU$23.9 billion) in 2024 from advertisements related to scams, illegal gambling, and prohibited products, according to a Reuters report. The lawsuit alleges that Meta’s algorithms only prevent advertisers suspected of scams when there is a 95% chance of wrongdoing.
Reactions from Industry and Government
In light of these disclosures, US senators have urged the Securities and Exchange Commission and the Federal Trade Commission to investigate and take necessary action. The lawsuit seeks sanctions against Meta for infringing upon consumer protection laws.
Meta’s Response
Meta spokesperson Andy Stone has rejected the allegations contained in the lawsuit, stating that the company is actively pursuing the elimination of scams on its platforms. He claims that reports of scams have decreased by half over the last 18 months. Stone further denied assertions regarding the safety of young users on Meta’s platforms, emphasizing a dedication to child protection.
Contentious Chatbot Protocols
In a related matter, internal documents from Meta reportedly permitted AI chatbots to have inappropriate discussions with minors. Subsequently, Meta has updated these protocols to eliminate any allowances for romantic interaction with children.
Conclusion
The US Virgin Islands has initiated legal action against Meta, alleging that the company has profited from fraudulent advertisements and has not sufficiently safeguarded children on its platforms. While Meta denies these allegations, the lawsuit has prompted demands for regulatory scrutiny and has brought to light ongoing issues surrounding online safety and advertising ethics.
Q&A Section
Q: What are the primary accusations against Meta?
A: The lawsuit claims that Meta is profiting from fraudulent advertisements and is not adequately protecting children on its platforms, including Facebook and Instagram.
Q: What is the projected revenue for Meta from deceptive ads?
A: Meta is projected to earn approximately US$16 billion (AU$23.9 billion) from scam-related advertisements in 2024.
Q: What steps have US senators taken concerning these allegations?
A: US senators have requested that the Securities and Exchange Commission and the Federal Trade Commission investigate Meta’s advertising practices.
Q: How has Meta reacted to the lawsuit?
A: Meta has rejected the allegations, citing a notable decrease in reports of scams and reaffirming its commitment to user safety.
Q: What adjustments were made to Meta’s chatbot protocols?
A: Meta revised its protocols to exclude any provisions allowing chatbots to engage in romantic or inappropriate conversations with minors.
