Facebook may have taken a huge PR hit from allowing personal data to be misused by Cambridge Analytica, but the impact on the political consultancy itself appears to have been more significant. The firm says that it has ceased most operations, and is filing for bankruptcy …
The company was, however, unrepentant in the statement announcing the news.
However, the NY Times suggests that the operation could arise Phoenix-like from the ashes of the company.
Despite Cambridge Analytica’s unwavering confidence that its employees have acted ethically and lawfully, which view is now fully supported by [an independent report commissioned by the company], the siege of media coverage has driven away virtually all of the Company’s customers and suppliers. As a result, it has been determined that it is no longer viable to continue operating the business, which left Cambridge Analytica with no realistic alternative to placing the Company into administration.
Facebook is still working on repairing the damage done to its reputation, offering users new privacy tools, but it seems the plans are not enough for WhatsApp cofounder Jan Koum, who is leaving the company, reportedly over disagreements about privacy.
Cambridge and SCL officials privately raised the possibility that Emerdata could be used for a Blackwater-style rebranding of Cambridge Analytica and the SCL Group, according two people with knowledge of the companies, who asked for anonymity to describe confidential conversations. One plan under consideration was to sell off the combined company’s data and intellectual property.
An executive and a part owner of SCL Group, Nigel Oakes, has publicly described Emerdata as a way of rolling up the two companies under one new banner. Efforts to reach him by phone on Wednesday were unsuccessful.
