In-depth Analysis: Facebook and Cambridge Analytica Data Scandal

This report provides an in-depth analysis of the Facebook and Cambridge Analytica data scandal, focusing on the ethical issues surrounding the misuse of user data and the breach of trust. It examines the facts of the case, the parties affected, and the implications of Facebook's actions, including the resulting financial losses and reputational damage. The report also compares the Australian Computer Society (ACS) code of ethics with the ACM code of ethics and professional conduct, highlighting their differences and similarities. Furthermore, it explores various ethical theories, such as consequence-based, duty-based, contract-based, and character-based ethics, in relation to the scandal, and suggests potential solutions for Facebook to prevent future incidents. The document concludes by emphasizing the importance of duty-based ethics and strict security measures for companies handling personal data.

Running head: ANALYSIS OF DATA SCANDAL
ANALYSIS OF DATA SCANDAL
Name of the Student
Name of the University
Author’s note

1ANALYSIS OF DATA SCANDAL
Executive summary
The aim of the report is to analyse the data scandal that occurred from the case of facebook
and Cambridge analytic. The report also contains the comparison between the Australian
society of computer code of ethics and the ACM code of ethics. The third part of the report
contains a details of the theoretical concept of the rule of deontological ethics and the act of
the deontological ethics.

2ANALYSIS OF DATA SCANDAL
Table of Contents
Introduction................................................................................................................................3
Question 2..................................................................................................................................6
Question 3................................................................................................................................10
References................................................................................................................................12

3ANALYSIS OF DATA SCANDAL
Introduction
The ethical issues that are related with the data scandal of Facebook and Cambridge
analytical is mainly related with the privacy of the users of the social network platforms. The
major concern that rises is that Cambridge used the personal details of millions of people who
have accounts with Facebook. The breach of trust of the people effected the share price of
Facebook. The founder of Facebook mark Zuckerberg himself give statement that they have
failed to protect the trust of the people who share their personal details to Facebook.
Question 1
What is going on
The personal details of the users of Facebook become vulnerable and has been used
by others has become the major ethical issue in the data scandal case. The people who opened
account will lose their faith from Facebook as they feel that their personal data are not safe
and any one can access the data from Facebook. The security contact that Facebook make
with the users have been breached and that is treated as unethical.
What are the facts
This is not the first instance that that face book has faced the issue of breach of the
privacy of its clients. The main issue with Facebook is that it never followed any ethical issue
regarding the privacy of their clients. Their platform is framed in such manner that it can be
easily hacked and Facebook does not have any security system that prevent the occurrence of
the data manipulation.
What are the issues

4ANALYSIS OF DATA SCANDAL
The irresponsible behaviour of Facebook has raised the question on the ethical code
of conduct of the company. It is expected that the company should have a specific code of
ethics that will ensure the protection of the interest of the customers of the company.
While receiving the data of the clients the companies should confirm that the data is
collected in a manner that fulfils all the compliances that are required to be done to ensure
better credibility of the data (Vardi, 2019).
The CEO of Facebook has ensured some specific changes in the policy of the
company to protect the interest of the clients but these changes were not related with the
incidents of data scandal (Boiral et al, 2018).
The terms and conditions that are specified in the platform of the Facebook, which a
new user has to accept are to be changed, and should be framed in such a manner that it
protects the information of the clients more efficiently (Alleman, 2018).
Facebook accepted the fact that their APPs were not that improved to protect the
private information of the users and they are trying to improve the APP. The company
declare this after the occurrence of the incident, which again proves that they have not
followed any ethical rules that are essential to protect the client’s interest (Ferguson Thornley
& Gibb, 2016).
Who are affected
The unethical behaviour of Facebook has hampered millions of the users and they
have to suffer the loss of their privacy. Though Facebook tried to protect themselves by
stating that the company has specifically mentioned that which data of the customers are to

5ANALYSIS OF DATA SCANDAL
be made public and which are not to be shared with public but that does not proved to be
good enough to create awareness among the users (Ailon, 2015).
Face book has faced several lawsuits after the occurrence of the issue, which causes
the sharp fall in the share price of the company. This scandal proves that the ethical factors
not only effects the image of the company but it also causes financial loss for the company.
The ethical issue of integrity and trust has been breached by Facebook, which leads to
the damage of the organisation’s reputation (Craig Ketterer & Yousuf, 2017).
Some of the major ethical issues and implications
 No security of personal details
 Accessible to the third parties who are familiar to the account holder.
 Unethical usage of personal details.
 Anybody can access every details of the user.
 Personal life of the user gets affected for opening account in Facebook.
 Breach of security of valuable informations.
 The pictures that are uploaded in Facebook can be easily accessed and tampered
 The virtual people with whom relation is made from Facebook can have criminal
intention, which dismantle the life of the user.
Consequence based theory of ethics
The consequence based theory is concept of ethics that gives central importance on
the consequence of an action all of which maintain an action is morally right only when its
positive are maximised and its negative effects are mitigated example egoism. Facebook does
not follow the basic rule of the consequence-based theory, as it does not care about the
consequence that will happen after the negative affect of the scandal.

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Duty based theory
The theory of duty based theory holds that everyone has certain duties that they have
to fulfil and that is to be fulfilled irrespective of the consequence of the acts. Facebook has
overlooked the concept of the duty-based theory of ethics while performing its duty.
Facebook never bothered about the result of the work that they has done.
Contract based theory
Social contract theory states that people live together in the society in accordance with
an agreement that creates a moral and ethical rules of behaviour.it is the believe of people
that if they live according to a social contract. Facebook ignores the basic rule of the contract
based theory and never give importance to the fact that there irresponsible act can damage the
moral and ethical character of the users.
The character base theory
The character-based theory is also called as virtue ethics, the virtue ethics helps to
frame different approaches to workplace communication that can lead to better outcome for
employees and customers. Facebook has violated the concept of the character-based theory as
the company fails to protect the privacy of the customers.
What can be done
Face book should implement some strict rules and regulations that ensure the ethical
behaviour of the company. The company should try to implement some of the ethical theories
to prevent the happening of another data scandal.
What are the options
The options available to face book is to apply the duty based theory of ethics which
will lead to bring more transparency in the activities of the company.

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What is the best option and why
The best option for Facebook is to apply the duty-based theory of ethics, as it will
make the company more responsible about the acts that they are doing to run their business.
The companies that electronically process personal data of the clients should have strict
security system to better balance the privacy risks and the privacy controls. The companies
that handle the private data of the clients should give more emphasis on the act of
deontological ethics rather than giving emphasis on the rule of deontological ethics.
Question 2
Compare the Australian computer society code of ethics and the ACM code of ethics and
professional conduct.
Definition of ACS
The ACS code is defined as the code of professional behaviour and is the part of the
society’s regulation. The society needs its member to abide by these values and act with
responsibility and integrity in all of their professional dealings.
Definition of ACM
The ACM code of ethics defined as the code of ethics and professional conduct and
the professional behaviour should reflect on the wider impacts of their work consistently
supporting public good.
The comparison between the Australian computer society code of ethics and the ACM
code of ethics and professional conduct are explained in the below mentioned points

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Point of difference ACM ACS
Who it is relates to the
honesty in association with
the highest objective of the
business leadership and
responsibility of the
stakeholders
ACM : contributes to the
society and human well
being to protect the
fundamental rights of the
human beings
To minimise the threat to
health and safety
It promote the honour
dignity and effectiveness in
the profession of
information technology. It
also ensure the maintenance
of integrity of the
profession.
What
This relates with the
stakeholders with the
presumption that influence a
computer project.it is
necessary to avoid
unnecessary offence in the
business environment and it
also highlighted the
objectives of the
management.
ACM
Supports the policies that
saves the dignity of the users
and others affected by the
computer system. It is not
ethical to intentionally
demoralise individuals or
group of individuals. The
information technology
should try to enhance the
dignity and morale of
individuals or groups.
ACS
The code of ethics of the
ACS always try to act with
professional responsibility
and integrity while dealing
with the clients.
The oath of the ethics is to
keep the interest of the
clients on top priority.
The respect of the it
profession should be
enhanced
The IT professionals should
give due regard to the
perception of these people

9ANALYSIS OF DATA SCANDAL
who are affected by the
work of the professional.
When
It is related with the work
culture and stakeholders
relation ship
ACM
The ACM code give lessons
to the IT professionals
should follow the principle
of equal justice.
It also give importance to
the privacy of the others
ACS
The code teaches to the
professionals that the should
give importance to the
feelings and emotions of the
users who use their work.
How
It is in relation to the clients
property and wealth
ACM
The ACM code teaches to
be honest and trustworthy
ACS
The ACS code give
importance on protection of
the property of the clients.
Why
This is related to the
situation of change and
possibility of stress
ACM
Organising training
programs that can bring
discipline in the IT
professionals.
ACS
The IT professionals must
keep distance from these
whose behaviour is unethical
and unsatisfactory
(Mittelstadt et al, 2016).
How much
It is relates to the evaluation
of the external and internal
practice of the business.it
also relates with the redress
ACM
This code teaches to report
any sign of possible loss to
these who have the
opportunity to resolve these
ACS
It teaches the it professional
to react quickly if they find
that the usage of their work
causes damage to the

10ANALYSIS OF DATA SCANDAL
of the identified unethical
behaviour
possible loses (Stahl,
Timmermans & Mittelstadt,
2016).
property of the clients
(Brinkman et al, 2016).
Where
Regards the needs of
protection of environment
and the habitat needs.
ACM
For the well being of the
human it is required to
protect the natural
environment.so the IT
professionals who design the
systems must be aware of
any potential damage of the
environment (Lee, Zhu &
Jeffery, 2019.)
ACS
The IT professionals should
behave in such away so that
it does not harm the
environment and should try
to protect the natural habitat
of the human beings.
Example of ACM code of conduct.
 Integrity, honour, efficiency in profession, survival, safety considerations, knowledge
understanding and the reputation in the community are the example of ACM code of
conducts.
 Respect the emotions of others, Service orientation, pleasantness, loyal, Educated are
the examples of ACM code of conducts

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 Self-restraint, courage, discipline caring, loyal examples of ACM code of conducts
 From the code of ACM the IT professionals learn the lessons that they should be fair
and take action not to discriminate. The values of equality tolerance respect for others
and the principles of equal justice should be given high priority (Fluck et al 2016).
Example of ACS code of conduct
 Diplomacy, respect, patience calmness, importance, understanding wisdom are the
example of ACS code of conducts.
 Reliable, trustworthiness, reliability are the example of ACS code of conducts.
 Sincerity, correction, judgement, mercy, restitution, harmony, decisiveness, courage,
strength of character, are the example of ACS code of conducts.
 Kindness, patience, stewardship are the examples of ACS code of conduct.
Question 3
Definition of Act deontology and rule deontology
An act deontology is an ethical theory that presents logical priority to particular moral
judgements rather than following any rules or principles.
A rule deontology theory is a deontological theory that presents logical priority to
rules rather than any particular judgements or principles.
Difference between act of deontology and the rule of deontology
Rule deontology made on the basis of ethical issue in making the ethical decision.
Act deontology on the other hand deny what matters in an action what matters in the
solution of the problem. Act deontology makes argument that when it is required to do two or

12ANALYSIS OF DATA SCANDAL
more duties against each other it is better to assess both the situation and determine which
will be better to select (Hooker & Kim, 2018).
Rule deontology does not make comparison but it only follows a predetermined rule.
Act deontology judges every situation and based on the judgement make every decision.
Rule deontology is obsolete where the specific rule cannot be used to make the
judgement that whether the decision is ethical or not (Gerdes & Thornton, 2015).
Act deontology is perfect for every situation as it makes judgement of every situation
and make decision based on such judgements.
Rule deontology consider the fact that consequence of any action is irreverent and the
rule is the decisive factor to decide whether the action will be treated as ethical or unethical.
Act deontology on the other hand believes that the consequence of the act will decide
that the act will be treated as ethical or unethical.
Rule deontology ignore the special roles that consequences duties social contracts
play in the moral system, especially with respect to determine the appropriate standard to
evaluate moral behaviour (Holyoak & Powell, 2016).
Act deontology give more emphasis on the roles and duties of the social contracts
play in determining the moral behaviour of any act.
Rule deontology give more importance on the criteria having to do with the character
development of nay individual.
Act deontology never give importance on the individual characteristics but it
emphasis on the actions of the individual.
Example of rule of deontology and act of deontology.

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The rule deontology often crates dilemma in doing some moral act. For example if a
computer engineer finds that a particular country is going to launch a nuclear missile on
another country and that leads to major collapse of the country. The engineer knows how to
hack the network of the missile but the rule deontology will prevent the engineer from doing
so as hacking is unethical for the profession of the engineer (Goncalves & Santos, 2017).
The act deontology on the other hand in the same case will treat the act of the
engineer to hack the network as ethical, as the act of hacking will save the life of millions of
human beings.
Facebook has just followed the rule of deontological ethics and not the act of
deontological ethics. The companies required to do more than just following the laws of
cybersecurity as the rules cannot protect the customers every time , the companies has to act
specifically to prevent the occurrence of data scandal (Fleischman et al, 2017).
According to the international organisation for standardization and international
electro technical commission the bodies that govern the global security practices states that
the breach of security means the actions that are lead to the accidental or unlawful destruction
, loss, alteration, unauthorised disclosure or access to protected data . As the system of the
Facebook is not capable to handle all these security problems, it has become a major ethical
issue for the company (Shim Chung & Kim, 2017).
More transparency in the ethical codes of both Facebook and the Cambridge analytic
is required to be checked so that the company become more cautious in the next time.

14ANALYSIS OF DATA SCANDAL
Ethics means some rules and guidelines following which ensure that any specific
work can be done with transparency and integrity. The safety of the data get affected as
Facebook fails to do their activities in ethical way, it is their responsibility to protect the data
of the account holders and they failed to perform their duty effectively. The government also
has to take steps that are beneficial for the customers the ethical issue should give be given
more importance. The government should bring strict rules that ensure the prevention of the
breach of contract between the clients and the service providers.
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