Meta investors sued after false claims of them ‘managing’ Apple’s privacy update
Tech giant Apple Inc introduced some updates with regards to the privacy for its users concerning many of the investors of social media sites. Meta Platforms however assured that whatever privacy tweaks were being launched, it was manageable.
Earlier yesterday, Metal platforms had falsely reassured the investors that the impact of privacy tweaks by Apple will not impact much but later on it was revealed that there might be a $10 billion loss in ad revenue because of these changes that Apple introduced.
The class-action suit stressed that the investors were misled into believing the impacts of the changes. This was sheer neglect of the executives from the Meta employees. Executives failed to note the importance of giving accurate data to the shareholders when required the most.
They also were kept in the dark regarding the losses that the company was incurring despite the best possible efforts to offset any financial hit and nothing was working for them. On Tuesday, this was supported by the Plumbers and Steamfitters Local 60 Pension Trust when they filed a lawsuit against the misinformation by the tech giant.
In their letter, the trust complained,“Instead of being transparent with investors, defendants painted a false and misleading picture of the mitigation efforts Meta put in place to counteract the changes in iOS and rebuild Meta’s advertising business model.”
Meta is still trying to figure out changes which were introduced by Apple last year. They have been looking for alternatives to counter the privacy track that required the application users for their consent ahead of being tracked. The recent privacy change has led Meta’s Facebook business which is known to rely on user data to sell certain targeted advertisements.