Reuters' Jeff Horwitz analyzes leaked memos that reveal that: 10% of Meta revenue comes from scam ads, and; Meta knows it, and; decided not to stop about it, because; the fines for facilitating life-destroying fraud are less than the revenue from helping destroy users' lives:
reuters.com/investigations/met…
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If you'd like an essay-formatted version of this thread to read or share, here's a link to it on pluralistic.net, my surveillance-free, ad-free, tracker-free blog:
pluralistic.net/2025/11/08/fae…
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
The crux of the enshittification hypothesis is that companies deliberately degrade their products and services to benefit themselves at your expense *because they can*. An enshittogenic policy environment that rewards cheating, spying and monopolization will inevitably give rise to cheating, spying monopolists:
pluralistic.net/2025/09/10/say…
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Pluralistic: Hate the player AND the game (10 Sep 2025) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
in reply to Cory Doctorow • • •Sensitive content
You couldn't ask for a better example than Reuters' Facebook Fraud Files. The topline description hardly does this scandal justice. Meta's depravity and greed in the face of truly horrifying fraud and scams on its platform is breathtaking.
Here's some details: first, the company's own figures estimate that they are delivering *15 billion scam ads every single day*, which generate *$7 billion in revenue every year*.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Despite its own automatic systems flagging the advertisers behind these scams, Meta does not terminate their account - rather, it *charges them more money* as a "disincentive." In other words, fraudulent ads are more profitable for Meta than non-scam ads.
Meta's own internal memos also acknowledge that they help scammers automatically target their most vulnerable users: if a user clicks on a scam, the automated ad-targeting system floods that user's feed with *more* scams.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
The company knows that the global fraud economy is totally dependent on Meta, with *one third of all US scams going through Facebook* (in the UK, the figure is 54% of all "payment-related scam losses"). Meta also concludes that it is uniquely hospitable to scammers, with one internal 2025 memo revealing the company's conclusion that "It is easier to advertise scams on Meta platforms than Google."
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Internally, Meta has made plans to reduce the fraud on the platform, but the effort is being slow-walked because the company estimates that most it will ultimately pay in fines worldwide ads up to $1 billion, while it currently books $7 billion/year in revenue from fraud. The memo announcing the anti-fraud effort concludes that scam revenue dwarfs "the cost of any regulatory settlement involving scam ads."
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
The memo concludes that Meta will not take pro-active measures to fight fraud, and will only fight fraud in response to regulatory action.
Meta's anti-fraud team operates under an internal quota system that limits how many scam ads they are allowed to fight. A Feb 2025 memo states that the anti-fraud team is only allowed to take measures that will reduce ad revenue by 0.15% ($135m) - even though Meta's own estimate is that scam ads generate $7 billion per year for the company.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
The manager in charge of the program warns their underlings that "We have specific revenue guardrails."
What does Meta fraud look like? One example cited by Reuters is the company's discovery of a "six-figure network of accounts" that impersonated US military personnel, who attempted to trick other Meta users sending them money. Reuters also describes "a torrent of fake accounts pretending to be celebrities or represent major consumer brands" in order to steal Meta users' money.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Another common form of fraud is "sextortion" scams. That's when someone acquires your nude images and threatens to publish them unless you pay them money and/or perform more sexual acts on camera for them. These scams disproportionately target teenagers and have led to children committing suicide:
usatoday.com/story/life/health…
In 2022, a Meta manager sent a memo complaining about a "lack of investment" in fraud-fighting systems.
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These teenage boys were blackmailed online – and it cost them their lives
Rachel Hale (USA TODAY)Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
The company had classed this kind of fraud as a "low severity" problem and was deliberately starving enforcement efforts of resources.
This only got worse in the years that followed, when Meta engaged in mass layoffs from the anti-fraud side of the business in order to free up capital to work on *perpetrating* a different kind of scam - the mass investor frauds of metaverse and AI:
pluralistic.net/2025/05/07/rah…
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Pluralistic: Mark Zuckerberg announces mind-control ray (again) (07 May 2025) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
in reply to Cory Doctorow • • •Sensitive content
These layoffs sometimes led to whole departments being shuttered. For example, in 2023, the entire team that handled "advertiser concerns about brand-rights issues" was fired. Meanwhile, Meta's metaverse and AI divisions were given priority over the company's resources, to the extent that safety teams were ordered to stop making any demanding use of company infrastructure, ordered instead to operate so minimally that they were merely "keeping the lights on."
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Those safety teams, meanwhile, were receiving about 10,000 valid fraud reports from users *every week*, but were - by their own reckoning - ignoring or incorrectly rejecting *96% of them*. The company responded to this revelation by vowing to reduce the share of valid fraud reports that it ignored to a mere *75%* by 2023.
When Meta roundfiles and wontfixes valid fraud reports, Meta users lose *everything*.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Reuters reports out the case of a Canadian air force recruiter whose account was taken over by fraudsters. Despite the victim repeatedly reporting the account takeover to Meta, the company didn't act on *any* of these reports. The scammers who controlled the account started to impersonate victim to her trusted contacts, shilling crypto scams, claiming that she had bought land for a dream home with her crypto gains.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
While Meta did nothing, the victim's friends lost everything. One colleague, Mike Lavery, was taken for CAD40,000 by the scammers. He told Reuters, "I thought I was talking to a trusted friend who has a really good reputation. Because of that, my guard was down." Four other colleagues were also scammed.
The person whose account had been stolen begged her friends to report the fraud to Meta.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
They sent *hundreds* of reports to the company, which ignored them all - even the ones she got the Royal Canadian Mounted Police to deliver to Meta's Canadian anti-fraud contact.
Meta calls this kind of scam, where scammers impersonate users, "organic," differentiating it from scam ads, where scammers pay to reach potential victim. Meta estimates that it hosts *22 billion* "organic" scam pitches *per day*.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
These organic scams are actually often *permitted* by Meta's terms of service: when Singapore police complained to Meta about 146 scam posts, the company concluded that only 23% of these scams violated their Terms of Service. The others were all allowed.
These permissible frauds included "too good to be true" come-ons for 80% discounts on leading fashion brands, offers for fake concert tickets, and fake job listings - all permitted under Meta's own policies.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
The internal memos seen by Reuters show Meta's anti-fraud staffers growing quite upset to realize that these scams were not banned on the platform, with one Meta employee writing, "Current policies would not flag this account!"
But even if a fraudster *does* violate Meta's terms of service, the company will not act.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Per Meta's own policies, a "High Value Account" (one that spends a lot on fraudulent ads) has to accrue more than *500* "strikes" (adjudicated violations of Meta policies) before the company will take down the account.
Meta's safety staff grew so frustrated by the company's *de facto* partnership with the fraudsters that preyed on its users that they created a weekly "Scammiest Scammer" award, given to the advertiser that generated the most complaints that week.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
But this didn't actually spark action - Reuters found that 40% of Scammiest Scammers were still operating on the platform *six months* after being flagged as the company's most prolific fraudster.
This callous disregard for Meta's users isn't the result of a new, sadistic streak in the company's top management.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
As the whistleblower Sarah Wynn-Williams' memoir *Careless People* comprehensively demonstrates, the company has always been helmed by awful people who would happily subject you to grotesque tormets to make a buck:
pluralistic.net/2025/04/23/zuc…
The thing that's changed over time is *whether they can make a buck* by screwing you over.
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Pluralistic: Sarah Wynn-Williams’s ‘Careless People’ (23 Apr 2025) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
in reply to Cory Doctorow • • •Sensitive content
The company's own internal calculus reveals how this works: they make more money from fraud - $7 billion/year - than they will ever have to pay in fines for exposing you to fraud. A fine is a price, and the price is right (for fraud).
The company *could* reduce fraud, but it's expensive.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
To lower the amount of fraud, they must spend money on fraud-fighting employees who review automated and user-generated fraud flags, *and* accept losses from "false positives" - overblocking ads that look fraudulent, but aren't. Note that these two outcomes are inversely correlated: the more the company spends on human review, the fewer dolphins they'll catch in their tuna nets.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Committing more resources to fraud fighting isn't the same thing as vowing to remove *all* fraud from the platform. That's likely impossible, and trying to do so would involve invasively intervening in users' personal interactions. But it's not necessary for Meta to sit inside every conversation among friends, trying to decide whether one of them is scamming the others, for the company to investigate and act on user complaints.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
It's not necessary for Meta to invade your conversations for it to remove prolific and profitable fraudsters without waiting for them to rack up *500* policy violations.
And of course, there is one way that Meta could *dramatically* reduce fraud: eliminate its privacy-invasive ad-targeting system.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
The top of the Meta ad-funnel starts with the nonconsensual dossiers Meta has assembled on more than *4 billion* people around the world. Scammers pay to access these dossiers, targeting their pitches to users who are most vulnerable.
This is an absolutely foreseeable outcome of deeply, repeatedly violating billions of peoples' human rights by spying on them.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Gathering and selling access to all this surveillance data is like amassing a mountain of oily rags so large that you can make billions by processing them into low-grade fuel. This is only profitable if you can get someone else pay for the inevitable fires:
locusmag.com/feature/cory-doct…
That's what Meta is doing here: privatizing the gains to be had from spying on us, and socializing the losses we all experience from the inevitable fallout.
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Cory Doctorow: Zuck’s Empire of Oily Rags
Locus OnlineCory Doctorow
in reply to Cory Doctorow • • •Sensitive content
They are only able to do this, though, because of supine regulators. Here in the USA, Congress hasn't delivered a new consumer privacy law since 1988, when they made it a crime for video-store clerks to disclose your VHS rentals:
pluralistic.net/2023/12/06/pri…
Meta spies on us and then allows predators to use that surveillance to destroy our lives for the same reason that your dog licks its balls: because they can.
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Pluralistic: Privacy first (06 Dec 2023) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netCory Doctorow
in reply to Cory Doctorow • • •Sensitive content
They are engaged in conduct that is virtually guaranteed by the enshittogenic policy environment, which allows Meta to spy on us without limit and which fines them $1b for making $7b on our misery.
Mark Zuckerberg has always been an awful person, but - as Sarah Wynn-Williams demonstrates in her book - he was once *careful*, worried about the harms *he* would suffer if he harmed *us*.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
Once we took those consequences away, Zuck did exactly what his nature dictated he must: destroyed our lives to increase his own fortune.
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Cory Doctorow
in reply to Cory Doctorow • • •Sensitive content
I'm on a tour with my new book, the international bestseller *Enshittification*!
Catch me next in #Burbank (TODAY!), #Lisbon, #Cardiff, #Oxford and #London!
Full schedule with dates and links at:
pluralistic.net/tour
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Pluralistic: Announcing the Enshittification tour (30 Sep 2025) – Pluralistic: Daily links from Cory Doctorow
pluralistic.netKudra
in reply to Cory Doctorow • • •Sensitive content
thanks as always for your work.
I hope that if even one friend swears off FB as a result of my sharing your posts on this subject, then it will be worth all the demoralising vitriol and taunting I have always, and still regularly receive, for being anti-Facebook.
Cory Doctorow reshared this.
Cory Doctorow
in reply to Kudra • • •Sensitive content
Phil
in reply to Cory Doctorow • • •AnnieBuddy
in reply to Cory Doctorow • • •Sensitive content
Facebook and Cambridge Analytica brought us Trump. He would never have been elected if Facebook had not willingly managed the flow of disinformation.
I have been boycotting them since before that for other reasons but that sealed the deal.
HistoPol (#HP) 🏴 🇺🇸 🏴
in reply to Cory Doctorow • • •*ORGANISIERTE KRIMINALITÄT BEI #META?!?!
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👉#Meta geht davon aus, dass 10 % seiner Einnahmen im Jahr 2024 aus Anzeigen für Betrugsmaschen und verbotene Waren stammen
👈
👉...den Nutzern täglich 15 Milliarden betrügerische Anzeigen zeigen...👈
reuters.com/investigations/met…
#BUNDESKRIMINALAMT: "#OrganisierteKriminalität ist die von #Gewinn- oder #Machtstreben bestimmte planmäßige Begehung von #Straftaten, die einzeln oder in ihrer Gesamtheit von erheblicher Bedeutung sind,...
oscarfalcon
in reply to Cory Doctorow • • •Cory Doctorow reshared this.
Toni Aittoniemi
in reply to Cory Doctorow • • •Cory Doctorow reshared this.
MillardPhillmore
in reply to Cory Doctorow • • •Cory Doctorow reshared this.
lin11c
in reply to Cory Doctorow • • •ItsDoctorNotMrs
in reply to Cory Doctorow • • •Viss
in reply to Cory Doctorow • • •Cory Doctorow reshared this.
Simon Brooke
in reply to Viss • • •@Viss "The documents further note that users who click on scam ads are likely to see more of them because of Meta’s ad-personalization system, which tries to deliver ads based on a user’s interests"
Ethics? What ethics?
reuters.com/investigations/met…
Suburban Druid
in reply to Cory Doctorow • • •Cory Doctorow reshared this.
Cory Doctorow
in reply to Suburban Druid • • •Suburban Druid
in reply to Cory Doctorow • • •Cory Doctorow
in reply to Suburban Druid • • •Wally
in reply to Cory Doctorow • • •Cory Doctorow reshared this.
Petr Skála
in reply to Cory Doctorow • • •GhostOnTheHalfShell
in reply to Cory Doctorow • • •Kee Hinckley
in reply to Cory Doctorow • • •@lottajg Your income and promotions at Meta are partially based on how you have improved the income of the company. You don't get promoted at Meta by reducing revenue. It's not just an issue at the individual level, but at the group level. Those projects will always have the lowest priority. And things at the bottom of the list never get done.
They also know they have a huge false positive problem with reporting content as bad when it's not. But fixing it always ends up at the bottom of the list.
That's what happens when you believe you can measure the worth of someone using just numbers and algorithms.
Stefan Edward Jones
in reply to Cory Doctorow • • •I swear, someday they'll sell DVD compilations of crap-tastic YouTube ads for snake oil cures.
Saw one earlier which promised to reveal the secret of using honey to reverse memory loss. The accompanying video shows a guy putting two squares of aluminum foil is boiling water.
Lars Hansson
in reply to Cory Doctorow • • •