Cambridge Analytica shuts down in wake of Facebook data scandal, lashes out at being ‘vilified’
But CEO and other top staff are now said to be involved in a new data firm set up last year that could be used to rebrand the controversial company
Cambridge Analytica, the British marketing analytics firm, announced that it was closing and would file for insolvency in Britain and the United States after failing to recover from the Facebook data scandal.
However, several of the individuals involved in the company, including CEO Alexander Nix, have registered a new data firm named Emerdata – although it is unclear what plans they have for the business. The New York Times reported that the new company – registered last August – may be used to try to rebrand the firm.
The decision to shut down Cambridge Analytica follows weeks of intense pressure on the company, hired by Donald Trump’s presidential campaign, after allegations emerged it may have hijacked up to 87 million Facebook users’ data.
It claimed it has been “vilified” by the “numerous unfounded accusations” which torpedoed its business and left the firm with “no realistic alternative” but to go into administration.
“Despite Cambridge Analytica’s unwavering confidence that its employees have acted ethically and lawfully … the siege of media coverage has driven away virtually all of the company’s customers and suppliers,” it said in a statement.