Greg's Corner

Are cowardly CEOs afraid to face Congress over Russia probe?

Not pictured: Jack Dorsey, Mark Zuckerberg, and Larry Page

This week, Congress continued its probe into alleged Russian influencers purchasing ads on the internet’s three top platforms, Facebook, Google and Twitter. Rather than appearing themselves, the CEOs of each company sent their legal counsel in their stead. Yes, that’s not unheard of for businesses to send their legal representatives to Congress, but we’re talking about these companies taking money from foreign entities that might have influenced the outcome of the 2016 election.

While Congress by and large can be tech-illiterate, at least one Senator seemed to hammer the point home that these companies probably knew who they were taking money from. Minnesota Senator Al Franken showed everyone just how unwilling these companies are to divulge the truth.

Senator Franken put forth a poignant argument to Facebook’s legal Counsel, Colin Stretch…

“People are buying ads on your platform with roubles. They’re political ads. You put billions of data points together all the time. That’s what I hear that these platforms do: they’re the most sophisticated things invented by man, ever. Google has all knowledge that man has ever developed. You can’t put together roubles with a political ad and go hmm, those two data points spell out something bad?”

Stretch replied: “Senator, it’s a signal we should have been alert to and in hindsight–”

But Franken cut him off, asking whether Facebook would pledge not to publish a political ad paid for in North Korean won. As Stretch demurred, Franken interjected fiercely: “Please answer yes or no, sir. You’re sophisticated. You’re the chief legal counsel for Facebook. Please answer yes or no.”

Of course, Senator Franken did not get a straight answer out of Stretch. Instead the counselor hemmed and hawed his way through a non-committal answer.

However, the question remains, why weren’t the CEOs there to answer questions directly? What exactly are they afraid of? Perjury perhaps? Facebook CEO Mark Zuckerberg didn’t comment on the hearings until the day after Stretch’s testimony on an earnings call.

“I’m dead serious,” Zuckerberg said. “I’ve directed our team to invest so much in security on top of the other investments we’re making it will significantly impact our profitability going forward.” That investment will include hiring at least 10,000 new employees to focus on security and enforcement. CFO David Wehner later clarified that many of those new jobs won’t be full time but rather contract positions at partner companies.

“Protecting our community is more important than maximizing our profits,” Zuckerberg said.

Which doesn’t address the problem at hand at all. Zuckerberg was then said to have handed off the remainder of the call to Facebook COO Sheryl Sandberg.

Facebook was the biggest offender in this story having served up alleged Russian ads to at least 125 million American users. Considering the entire population of the US is 323 million, that’s not a small percentage of potential voters who saw these misleading ads. That’s more than enough people to sway an election one way or the other. If protecting the community is more important than profits, why take the foreign money at all for American political ads? Facebook can claim hindsight is 20/20 all they want, but there were accusations of Russian political meddling even before these ads appeared on Facebook. So how could accepting Russian currency for American political ads not throw up a red flag?

If you don’t think the CEOs of this company aren’t cowards, please think of this for a moment. Even Backpage CEO Carl Ferrer eventually appeared before Congress. So when the CEO of a company that reportedly makes money from the sexual slave trade in this country appears before Congress and these other CEOs don’t, it goes a long way in showing just how scared of Congress they probably are.