Cambridge Analytica, the controversial data consultancy firm behind the recent Facebook scandal, is to close its doors.
The firm and the parent SCL Group, will file for insolvency after claiming the recent negative press had ‘driven away’ all of its customers. Offices on both sides of the Atlantic have been closed with immediate effect.
In a statement confirming the impending closure, the embattled firm said “the siege of media coverage has driven away virtually all of the Company’s customers and suppliers.”
Following an initial report from the Wall Street Journal, the company followed up with a press release.
It claimed to have been the subject of ‘unfounded allegations’ and said it had been ‘vilified’ for legal activities.
Related: Facebook Cambridge Analytica scandal: Have you been affected?
The statement continued: “Over the past several months, Cambridge Analytica has been the subject of numerous unfounded accusations and, despite the Company’s efforts to correct the record, has been vilified for activities that are not only legal, but also widely accepted as a standard component of online advertising in both the political and commercial arenas.”
The company says the decision was “extremely painful” for the leadership, which has endured a stunning fall from prominence in recent months.
The company had been a major player in the Donald Trump presidential campaign and had even played a role in the Brexit referendum, acting on behalf of the Vote Leave campaign.
It has gone from digital kingmaker to bankruptcy filings in very short order.
Related: How to delete your Facebook account permanently
The firm’s current infamy began when it emerged it had purchased data harvested from what would turn out to be more than 80 million Facebook users.
Facebook has been engulfed in crisis ever since and is currently overhauling its privacy policies in an attempt to win back the trust of users.
Has Facebook won back your trust? Or have you deleted your account? Share your thoughts @TrustedReviews on Twitter.
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Editorial independence means being able to give an unbiased verdict about a product or company, with the avoidance of conflicts of interest. To ensure this is possible, every member of the editorial staff follows a clear code of conduct.
Professional conduct
We also expect our journalists to follow clear ethical standards in their work. Our staff members must strive for honesty and accuracy in everything they do. We follow the IPSO Editors’ code of practice to underpin these standards.
