How Does Big Tech Handle Misinformation?
Pressure on the world's largest technology companies to take a firmer stance on misinformation and fake news has never been greater, and public opinion is shifting to match.
A study by the Pew Research Center found that 48% of American adults believe the government should take steps to restrict false and misleading information online, up from 39% in 2018. Meanwhile, 59% said technology companies should act against false or inaccurate information online themselves, even if it limits users' ability to freely access and publish content.
These figures reflect a growing consensus when it comes to the spread of fake news stories and media misinformation, big tech can no longer remain a passive bystander and rely on the media literacy of their user base.
The Scale of the Problem
The challenge facing online platforms like Facebook, X, and Google is enormous. Billions of pieces of content are published, shared, and recommended every day, much of it shaped by proprietary algorithms that prioritize engagement, a mechanism critics argue actively amplifies false information.
The issue came into sharp focus when former Facebook employee Frances Haugen appeared before a US Senate subcommittee, armed with thousands of internal documents showing that Facebook was aware its algorithms were causing measurable harm and damaging the mental health of teenage girls and, in some regions, inciting violence and hate. In Haugen's words, "The company's leadership knows how to make Facebook and Instagram safer, but won't make the necessary changes because they have put their astronomical profits before people."
The case raised a fundamental question about how big tech handles misinformation, is self-regulation ever sufficient when profit motives run in the opposite direction?
The Regulatory Response
Governments around the world are increasingly concluding that it is not.
In the United States, reforms are underway to the Communications Decency Act, which currently exempts social media platforms from liability for misleading content posted on their networks. The Federal Trade Commission has also pursued antitrust action against Facebook, seeking to force the company to divest Instagram and WhatsApp.
In the United Kingdom, the Online Safety Act 2023 places a statutory duty of care on social media companies, stating explicitly that platforms "have a responsibility to make sure you do not expose your users to harm." Ofcom is now overseeing implementation, with platforms facing significant fines for non-compliance. In Australia, Facebook and Google joined Microsoft and X in signing a voluntary code of practice designed to reduce the spread of online misinformation and disinformation, though the real-world impact of voluntary frameworks remains to be seen.
The Structural Problem with Big Tech and Fake News
Critics argue that regulatory efforts, while necessary, miss a deeper structural issue. Christopher Wylie, the Cambridge Analytica whistleblower, has pointed out that technology platforms are products of engineering, yet unlike other fields of engineering, algorithm design is not subject to safety testing or regulatory scrutiny before deployment. "We do not apply to tech companies the existing regulatory principles that apply in other fields of engineering," he said.
Harvard professor Shoshana Zuboff adds another dimension. Big tech's core business model is built on harvesting personal data and converting it into behavioural predictions sold to advertisers and businesses. This creates a fundamental tension. Platforms that profit from maximising user engagement have an inherent commercial incentive to surface content that provokes strong reactions, which misinformation and fake news, by nature, do exceptionally well at.
Until that structural tension is resolved, the question of how big tech handles misinformation will remain complicated by the fact that the misinformation, in many cases, is good for their bottom line.
An Ongoing Battle
John Croll, CEO of Truescope, describes the current environment as a persistent arms race, "There is a constant war of improvement by the tech companies and social platforms on the one hand, while bad actors, businesses or individuals, manipulate their content to use the algorithms to promote false or misleading 'information'. A global solution remains elusive at this stage. In any case, it will continue to be Truescope's role to inform clients of what is being said about them in the public domain, true or false, to give them the opportunity to respond."
The mechanisms big tech uses to handle misinformation like AI-driven content moderation, fact-checking partnerships, labelling policies, and account suspensions are evolving rapidly. But so are the tactics of those who spread misinformation and fake news. Legislation is moving, public expectations are rising, and the platforms themselves are under more scrutiny than at any point in their history.
Where responsibility ultimately lands with the platforms, news organizations, the regulators, or the social media users is still being decided. See how Truescope helps organizations stay ahead of misinformation, contact us.
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