Facebook Shares Sink Over Privacy Fears

Shares in Facebook fell sharply in the US following reports a data mining firm working for the Trump campaign improperly obtained and then kept data on tens of millions of users. The loss had a knock-on effect, dragging down other tech stocks.

Facebook sank US$13.81, or 7.5 percent, to $171.28. That put the stock on pace for its biggest loss since 2012.

Other technology companies also struggled. Microsoft slid $1.86, or 2 percent, to $92.74.

Facebook said on Friday that the data mining company Cambridge Analytica improperly obtained data on some of its users, and that it had suspended Cambridge while it investigates.

Facebook said the company obtained data from 270,000 people who downloaded a purported research app that was described as a personality test.

The New York Times and the Guardian reported that Cambridge was able to tap the profiles of more than 50 million Facebook users without their permission.

Facebook first learned of the breach more than two years ago but hadn't disclosed it.

A British legislator said Facebook had misled officials while Senator Amy Klobuchar of Minnesota said Facebook CEO Mark Zuckerberg should testify before the Senate Judiciary Committee. (AP)