Facebook let Netflix peek into user DMs, explosive court docs claim
In a groundbreaking revelation that has sent shockwaves through the tech industry, Meta, formerly known as Facebook, is accused of allowing Netflix unprecedented access to private user messages. These explosive allegations have surfaced from court documents unsealed last week, laying bare the intricate relationship between the two colossal tech entities. The lawsuit, initiated by U.S. citizens Maximilian Klein and Sarah Grabert, alleges a decade-long collusion aimed at tailoring advertisements at the expense of user privacy and market competition.
Millions in Ad Revenue and a Special Relationship
The lawsuit claims that Meta enjoyed a lucrative relationship with Netflix, one that translated into millions of dollars in advertising revenue, cemented by an agreement that guaranteed Netflix would spend $150 million on Facebook ads in 2017 alone. Moreover, it is alleged that Netflix’s co-founder, Reed Hastings, significantly influenced Facebook’s decision-making after joining its board of directors, leading to the termination of Facebook Watch, a service that directly competed with Netflix.
At the heart of this “special relationship” was a series of agreements that facilitated the sharing of user data between Facebook and Netflix. This enabled Netflix to gain “bespoke access” to private Facebook APIs, allowing the streaming service to peek into users’ private messages to better tailor its advertising strategies.
The Allegation of API Misuse
The Particulars of the API agreement have raised eyebrows, as it allegedly allowed Netflix access to users’ direct messages, under the guise of enabling Netflix to send video recommendations to Facebook users. According to the claims, Facebook provided Netflix with access to its so-called “Titan API,” granting Netflix the ability to access not just the messages, but also the friend lists of Facebook users.
Despite these allegations, Meta contends that it did not violate user privacy, stating that the accessed API only allowed Netflix to send messages to users, not read their private messages. They assert that such agreements were standard practice in the industry and that users’ consent was always obtained.
Previous Allegations and Fines
This isn’t the first time Meta has been embroiled in privacy controversies. In 2018, The New York Times reported on similar data-sharing agreements with companies like Spotify and Netflix, which allegedly allowed them access to users’ private messages. Since then, Meta has faced several hefty fines for data breaches, including a $284 million fine by Ireland for exposing user data and a $725 million settlement over the Cambridge Analytica scandal, where user data was used without consent to target U.S. voters.
As this lawsuit unfolds, it will be interesting to see how Meta and Netflix respond to these allegations and what implications this will have on privacy laws and the tech industry’s practices regarding user data and advertising strategies.
Tweets highlighting these allegations have sparked considerable online discussion, with many expressing concern over privacy and antitrust issues:
Facebook, $META, let Netflix, $NFLX, see user DMs to help them tailor content as part of a close collaboration between the two tech giants, new court documents claims per DailyMail.
— unusual_whales (@unusual_whales) April 2, 2024
As this story develops, it poses significant questions about the balance between innovative advertising practices and the ethical handling of user data. Both companies have yet to make detailed public responses to these allegations, leaving the tech community and their user bases eagerly awaiting further developments.