Facebook fined $40 million for inflating data on video ads

Facebook has been embroiled in a lawsuit for incorrectly calculating the average viewing time for video ads on their platform by a group of advertisers in San Francisco. The advertisers alleged that Facebook was overstating video-viewing metrics over an 18 month period from 2015-2016, costing them extra on each ad.

This legal battle began in 2016. Facebook says it discovered the issue a month before going public with it.  A report by Market Watch said that Facebook only counted video views that lasted three seconds at least and ignored videos of shorter durations which artificially pushed the average length of a view higher.

Facebook has agreed to pay a sum of $40 million to settle the lawsuit.

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