Export Compliance Daily is a Warren News publication.
‘Renting Data’

Cambridge Analytica Likely Worked With Pro-Russian Groups, Says Ex-Director

Facebook has developed a platform that encourages misuse of user data, and Cambridge Analytica likely improperly supplied data to Russian groups and the Trump campaign (see 1803190056), former Cambridge Analytica Research Director Christopher Wylie told the Senate Judiciary Committee Wednesday during a hearing on data privacy. Cambridge University scholar Aleksandr Kogan, the lead researcher Cambridge Analytica allegedly used to harvest the data, collaborated on physiological profiling campaigns for pro-Russian groups in St. Petersburg and likely allowed access to Facebook data, Wylie said. Chairman Chuck Grassley, R-Iowa, requested Cambridge Analytica appear at the hearing, but the company declined, citing bankruptcy proceedings (see 1805020042).

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

Sen. John Cornyn, R-Texas, cited Facebook CEO Mark Zuckerberg (see 1804100054 and 1804110065), noting the executive repeatedly told Congress Facebook doesn’t sell data. Cornyn described it as “renting data.” Wylie said it’s true Facebook doesn’t sell data, but it’s readily available through its network of applications, making the platform very conducive to data scraping.

Cornyn argued the average Facebook user doesn’t read or understand platform data agreements. Wylie agreed, saying lawyers don’t even understand Facebook’s terms and conditions and it’s unreasonable to expect the average user to understand. Cornyn, who previously noted Republican hesitance to pull the trigger on specific proposals to legislate social media (see 1804300048), asked if informed consent is too much to ask of online platforms. Wylie said it’s not. But he said all employers require a certain level of internet and social media literacy of their employees, so people are forced to use social media platforms.

Citing privacy legislation she introduced with Sen. John Kennedy, R-La., Sen. Amy Klobuchar, D-Minn., said social media companies aren't capable of self-regulating. Wylie agreed. Klobuchar asked if a patchwork of voluntary compliance is a good approach, like the support from Facebook, Microsoft and Twitter for her Honest Ads Act (S-1989) (see 1804090041). Wylie said no, and legislators should require safety and transparency standards on platforms.

Grassley said partisanship clouded the conversation over privacy, which could have begun as early as 2015, based on initial reports of Cambridge Analytica misuse. Presidential campaigns have long used data analytics, which expanded to Facebook in the digital era, he said: “President [Barack] Obama’s campaign developed an app utilizing the same Facebook feature that Cambridge used to capture the information of not just the apps users, but also millions of their friends." Grassley argued the Obama campaign “potentially pulled even more information than Cambridge’s app.”

American Enterprise Institute scholar Mark Jamison agreed organizations have been scraping data for political purposes for years. Tufts University associate professor Eitan Hersh said there's no evidence ad-targeting has significant impact on voting decisions. Kennedy called Hersch’s contention “rubbish,” saying he constantly hears young people using the term “dilly dilly,” which Bud Light popularized. Wylie detailed Cambridge Analytica’s ties to former Trump adviser Steve Bannon, but he said, “The firm’s political leanings are far less relevant than the broader vulnerabilities this scandal has exposed.