Shareholders and Investors of Facebook Inc., the world’s largest social network have accused Mark Zuckerberg, the company’s founder of running a corporate ‘dictatorship’.
Shareholders of Facebook who were reportedly angry and embarrassed with the Cambridge Analytica scandal are calling for a review of the company’s voting rights.
CNBC reported the shareholder meeting was the first time Zuckerberg had taken public questions from investors, and they did not hold back.
In particular, they took major issue with the recent breach of the data of 87 million users by UK-based Cambridge Analytica, which turned a spotlight onto the social media company’s practices.
The scandal left lasting damage to Facebook’s reputation and led to a dramatic decrease in share price at the time.
Christine Jantz, chief investment officer at Facebook investor Northstar Asset Management, said in a statement: “If privacy is a right…then we contend that Facebook’s poor stewardship of user data is tantamount to a human rights violation”.
CNBC added shareholders expressed “frustration” with Zuckerberg regarding the data scandals, while stating the recent wave of unrest was not good for the company’s bottom line by leading to a drop in user numbers and, eventually, a fall in advertising revenue.
However, Mark has taken the blame saying the company is saying Facebook was now focused on taking “a broader view of our responsibility to the community we serve”, and the company was now working hard on improving security and protecting users from bad behaviours.
As it stands, Mark and some of his allies control over 70% of the voting rights in Facebook which enables him to override any contrary opinion on how the company runs its affairs.