The U.S. Department of Housing and Urban Development is suing Facebook over what it claims are “discriminatory” advertising practices.
The U.S. Department of Housing and Urban Development sued Facebook Thursday over what it claims are"discriminatory" advertising practices.
"[Facebook] holds out its advertising platform as a powerful resource for advertisers in many industries, including housing and housing-related services," the complaint says. But,"because of the way [Facebook] designed its advertising platform, ads for housing and housing-related services are shown to large audiences that are severely biased."
A Facebook spokesperson said in a statement to CNBC Thursday the company is surprised by HUD's decision. Facebook also pointed to a blog post published last week, in which the company said the advertising overhaul marked an important step for the platform and thanked the civil rights organizations who helped improve the ad tools.
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