Meta Allowed Scam Ads to Protect Revenue Stream

A Reuters investigation has exposed that Meta knowingly scaled back its crackdown on predatory advertising from China, allowing fraudulent ads to proliferate on its platforms. The social media giant prioritized revenue protection over user safety, allowing scammers to exploit millions of users globally.

Meta’s Chinese Ad Revenue Built on Violation

According to internal documents obtained by Reuters, Meta generated approximately $18 billion in ad revenue from China in 2024. Shockingly, roughly 19 percent of that revenue—approximately $3.4 billion—came from prohibited ads including scams, illegal gambling operations, pornography, and other content explicitly violating the company’s advertising policies.

Internal communications reveal that Meta executives initially recognized the severity of the issue. One executive stated, “The levels that you’re talking about are not defensible. I don’t know how anyone could think this is okay.” This quote demonstrates that leadership understood the ethical violations occurring on their platform.

Leadership Abandoned Crackdown Over Financial Concerns

However, rather than maintaining its enforcement efforts, Meta reversed course after senior leadership expressed concerns about the financial impact of removing these lucrative ads. The company quietly abandoned its crackdown on predatory advertising, choosing profit over protecting vulnerable users from fraud and exploitation.

This revelation raises serious questions about Meta’s corporate values and regulatory compliance. The company faces potential regulatory scrutiny and reputational damage as lawmakers and consumer advocacy groups demand accountability. Users who fell victim to these scams may pursue legal action against the platform.

Meta has not yet publicly responded to the investigation’s findings, though the story continues to generate significant media attention and calls for stricter oversight of tech platforms’ advertising practices.