New Delhi: Meta is facing renewed scrutiny after reports claimed the social media giant generated an estimated $7 billion in annual revenue from scam related advertisements while exposing users to billions of potentially fraudulent promotions each day. The controversy comes amid increased attention from the Indian government following the temporary removal of a video posted by Prime Minister Narendra Modi.
According to reports, Meta representatives met Union IT Minister Ashwini Vaishnaw on Wednesday after the company was questioned over the incident involving the Prime Minister’s video. During the meeting, Meta reportedly acknowledged that significant amounts of money had been paid to boost certain categories of content, a rare admission that has intensified concerns over its advertising practices.
Earlier reports, based on internal company documents, alleged that Meta projected nearly 10 percent of its overall revenue would come from advertisements linked to scams and prohibited goods. The documents reportedly indicated that the company struggled to detect and remove advertisements promoting fraudulent investment schemes, fake e-commerce platforms and the sale of banned products.
One internal assessment reportedly estimated that users were exposed to around 15 billion higher risk scam advertisements every day, while another suggested that such advertisements generated approximately $7 billion in annualised revenue for the company.
Meta has disputed the interpretation of the documents. Company spokesperson Andy Stone previously said the reports presented a selective view of the firm’s internal assessments and argued that the documents were part of efforts to evaluate and strengthen investments aimed at tackling fraud and online scams.
The company has maintained that it actively works to remove fraudulent content, stating that scam advertisements are harmful to users, legitimate businesses and the platform itself.
The latest controversy also follows reports that Meta chief Mark Zuckerberg apologised for issues related to child sexual abuse material, deepfake content and an operational error involving the temporary removal of Prime Minister Narendra Modi’s video during the recent Cockroach Janta Party protests.
With India remaining Meta’s largest market, the developments have intensified debate over the company’s content moderation policies, advertising practices and responsibility to curb online fraud on its platforms.
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