Over the last two weeks, Twitter has been in the news. The microblogging service has weathered storms ranging from billionaire investor Elon Musk's contentious acquisition to stakeholders launching a lawsuit alleging market manipulation.


The corporation was fined $150 million by the Federal Trade Commission (FTC) and the Department of Justice (DoJ) last week for sharing customers' data with third parties without their authorization. Twitter gathered email addresses and phone numbers for security reasons, but then exploited the information to target them with advertisements, according to authorities.



"Twitter gathered data from users under the guise of harnessing it for security purposes, but then used the data to target users with advertisements." Lina Khan, the chair of the FTC, made a point. "This behavior impacted over 140 million users while increasing Twitter's principal income stream."


Between May 2013 and September 2019, the cases that resulted to the substantial fine occurred. While users were requested to supply information for two-factor authentication, Twitter exploited this information to allow marketers to target specific groups of Twitter users. Advertisers were able to match phone numbers and email addresses to what they already had in their database, making it simple to send tailored ads.


"While Twitter told users that it needed their phone numbers and email addresses to protect their accounts, it failed to mention that it also utilized this information to help advertisers reach their target audiences." According to a complaint filed by the Department of Justice.


Twitter's chief privacy officer, Damien Kieran, stated that the firm had "cooperated with the FTC every step of the process," and that the company would "guarantee that people's personal data remained secure and their privacy was protected."


Advertising accounts for about 90% of Twitter's yearly income ($5 billion). Twitter is employing unconventional methods to boost its revenue by offering users' data to third parties for advertising purposes.