TOPLINE
Facebook stock hit an all-time high on Thursday, closing 6.5% up on the day at $265, despite a wave of negative headlines, from criticism of its moderation of toxic posts against women to further rebukes over how it handles misleading political posts, especially from conservative sources.
Facebook CEO Mark Zuckerberg testifies before the House Judiciary Subcommittee on Antitrust, … [+] Commercial and Administrative Law on “Online Platforms and Market Power” in the Rayburn House office Building on Capitol Hill in Washington, DC on July 29, 2020. (Photo by MANDEL NGAN / POOL / AFP) (Photo by MANDEL NGAN/POOL/AFP via Getty Images)
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KEY FACTS
More than 30 U.S. House Democrats and over 60 other international lawmakers signed a letter sent to Facebook CEO Mark Zuckerberg and COO Sherly Sandberg on Thursday that demanded the social media giant do more to prevent hate speech and threatening posts targeted at women in politics, writing, “It is past time to take a stand, and safeguard online spaces to allow all voices to be heard without manipulation, harassment or intimidation.”
While House Republicans spent much of their time during a Big Tech hearing on July 29 accusing Facebook and other social media platforms of anti-conservative bias, a Buzzfeed investigation published Thursday cited employees who found evidence that Facebook often gives preferential treatment to clear fact-checking strikes against major right-wing voices, which would stave off demonetization on the site.
During an all-hands meeting following the release of the report, Zuckerberg called out employees who leaked information, saying, “Part of that culture means we need to take a pretty heavy hand when people violate that trust,” according to the article’s co-author Ryan Mac.
Zuckerberg additionally would not entirely address a question on whether Facebook has a plan if President Trump declares the results of the November presidential election invalid, saying instead that it’s “unprecedented territory.”
Related to the election, Facebook removed hundreds of accounts promoting conspiracy theories and fake news to promote Trump’s reelection bid, likely fueling further worries the company isn’t prepared to moderate disinformation as the presidential election draws closer.
Despite the controversies throughout the day, Facebook closed at an all-time high stock price of $265.28, similar to how the Big Tech stocks closed higher on the day following their hearings in Congress on July 29.
Chief Critic
Rep. Alexandria Ocasio-Cortez (D-N.Y.) commented on the Buzzfeed investigation: “Remember when I asked Zuckerberg why he allowed a white supremacist-linked org to be an official fact-checker for Facebook and he wouldn’t give a straight answer? Maybe this is why: Facebook’s right-wing radicalization funnels are looking increasingly intentional and designed. The incentives are certainly there. Dems believe in antitrust, reigning in monopolies and checking abuse of corporate power. Zuckerberg himself said he’d go ‘to the mat and fight’ against these points. Could that include weaponizing Facebook’s platform to influence our elections?”
Tangent
Soon after BuzzFeed published its story, Facebook announced it would put a temporary ad ban on the Committee to Defend the President, a pro-Trump super pac, according to MSNBC’s Kyle Griffin. “As a result of the Committee to Defend the President’s repeated sharing of content determined by third-party fact-checkers to be false, they will not be permitted to advertise for a period of time.” In February, representatives for former President Barack Obama sent a ceases-and-desist letter to the pac over its manipulation of his words to allege former Vice President Joe Biden, who is the presumptive Democratic nominee for president this year, supported “plantation politics.”
Key Background
On Wednesday, Facebook removed a false post from President Trump claiming children are “almost immune” to the coronavirus, the first time it’s done so following heavy criticism over its relaxed standards against the president. Conservatives have levied criticism against the company for “censoring” certain posts, for example, regarding hydroxychloroquine, which numerous studies have found does not help alleviate Covid-19 symptoms. Democrats continue to criticize Facebook for profiting off pages touting conspiracy theories, such as the anti-vaxx Plandemic video.