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Cambridge Analytica

The business, the turning points, and the decisions behind them.

Founded2014
Event year2018

01 / WHAT IT BUILT

What the company did

Cambridge Analytica was a British political data-analytics firm founded in 2014 as an offshoot of the SCL Group. It combined data mining and psychographic profiling to build voter-targeting models for political campaigns. The firm is best known for harvesting personal data from as many as 87 million Facebook users — collected via a personality quiz app developed by researcher Aleksandr Kogan — which it used to build psychographic profiles for clients including Donald Trump's 2016 U.S. presidential campaign and Ted Cruz's campaign.

02 / Cambridge Analytica FAILURE REASONS

Failure factors supported by the current evidence

The Facebook-data scandal damaged the company’s reputation and was followed by client losses and rising legal costs, leaving the business unable to continue.

Governance

The Facebook-data scandal damaged the company’s reputation.

Economics

Client losses and rising legal costs left the business unable to continue.

03 / EVENT HISTORY

Events in the structured record

  1. Company founded

    Cambridge Analytica was founded.

  2. Bankruptcy

    Cambridge Analytica entered bankruptcy.

04 / CONTEMPORARY REBUILD ASSESSMENT

Difficulty of rebuilding this project today

Material for this section is being gathered and checked. It will appear here once ready.

Rebuild difficultyPending assessmentNot completed
Scoring basisNot completed
ScalabilityPending assessmentNot completed
Scoring basisNot completed

Overall assessment: Not completed

05 / CAUSAL CHAIN

How the factors connect

  1. 01

    Faced an international media investigation in March 2018 (Guardian, New York Times, Channel 4 undercover reporting) over its harvesting of Facebook user data and secretive campaign tactics, prompting multiple official investigations in the U.S. and Europe.

  2. 02

    Lost virtually all of its customers and suppliers as the scandal unfolded, while facing mounting legal fees.

  3. 03

    Ceased all operations effective May 2, 2018; parent company SCL Elections Ltd began bankruptcy proceedings for Cambridge Analytica and its U.S. affiliates and moved to apply for insolvency in the U.K.

  4. 04

    No reliable disclosed figure exists for the realized financial loss on the wind-down; reported figures concern the 87 million affected Facebook users, not a loss amount.