Meta is once again at the center of a storm – this time not over data privacy or political content, but the very foundation of its business model. Internal documents suggest that up to 10% of the company’s annual revenue – roughly $16 billion – may stem from ads linked to scams, illegal gambling, fraudulent investments, and banned medical products. On the surface, it looks like a system glitch; in reality, it’s a structural flaw baked into the platform’s design.
At NewsTrackerToday, we see this as a red flag not only for Meta but for the entire digital advertising ecosystem. When an algorithm built to protect users ends up monetizing their vulnerability, it’s not a technical issue – it’s a distortion of corporate incentives.
Meta claims its fraud-detection system can identify suspicious campaigns and deactivate ad accounts only when it is 95% certain of wrongdoing. Below that threshold, instead of blocking potential scammers, the company simply charges them higher rates to discourage ad purchases – effectively profiting even from those it suspects of fraud. As financial analyst Liam Anderson notes, “It’s the paradox of the digital era: platforms profit both from user trust and from its erosion.”
Officially, Meta says it has reduced user reports of scam ads by 58% over the past 18 months and removed more than 134 million fraudulent campaigns. Yet, these numbers raise another question: if the company truly removes millions of bad actors while revenue from questionable ads remains massive, the issue isn’t moderation – it’s monetization, as we at NewsTrackerToday have observed in our analysis of the company’s broader revenue patterns.
Corporate strategist Isabella Moretti puts it bluntly: “Meta is walking a tightrope between profitability and accountability. On one side lies short-term revenue growth; on the other, the long-term erosion of user trust and regulatory goodwill. For a company whose valuation is built on reputation, that’s not just a risk – it’s an existential threat.”
Inside sources claim that Meta processes up to 15 billion high-risk ads per day, exposing millions of users to potentially harmful content while continuing to collect revenue from the same ecosystem that breeds those risks. It’s a cycle where vigilance and profit collide – and profit keeps winning.
From our editorial perspective, this controversy goes beyond regulation – it’s about philosophy. Digital platforms are no longer mere intermediaries between brands and audiences; they’ve become full-fledged economies, where the line between ethics and efficiency grows thinner by the quarter.
Unless Meta redefines its priorities – recognizing that sustainable growth can’t coexist with systemic exploitation – the company may soon face intensified scrutiny from global regulators. The real question isn’t how many scam ads are being removed, but how many remain unseen – and how much user trust will vanish with them, a concern that News Tracker Today has repeatedly highlighted in our investigations into digital platform accountability.