Meta Plunges 3.32% Amid Senate Testimony on China, Data Security

On April 10, 2025, Meta's stock experienced a 3.32% drop in pre-market trading, reflecting investor concerns and market sentiment.

Meta faced significant scrutiny as former global public policy director Sarah Wynn-Williams testified before the U.S. Senate, alleging that the company collaborated with China to develop censorship tools and share user data, particularly during sensitive events like the Tiananmen Square massacre anniversary. Wynn-Williams also claimed that Meta had considered sharing user data with the Chinese government during the Hong Kong protests, raising concerns about data security for users in the region.

Wynn-Williams further accused Meta of exploiting the emotional states of teenagers for targeted advertising, using technology to identify moments of vulnerability and directing specific ads to them. She highlighted that Meta views teenagers as a valuable but vulnerable demographic for advertisers, a strategy she found unethical and contrary to the company's public image.

Meta has denied these allegations, stating that Wynn-Williams' claims are filled with false information and that the company is not currently operating in China. The company also refuted the accusations of targeted advertising, asserting that the claims are unrealistic and baseless.