But the settlement probably won’t include limits on Facebook’s ability to track users and share data with its partners, mandates that privacy advocates have raised as important for regulation in the United States, and that Facebook has fought. Mr. Simons has argued that the settlement proposal sets a new bar for enforcement of privacy violations and wants to avoid litigation that risks losing that opportunity.
“Five billion dollars is a lot of money,” said David Vladeck, a law professor at Georgetown University and a former head of consumer protection for the F.T.C. “And at the end of the day, it is not in the commission’s interest to go to trial, because there is no guarantee they will get relief beyond what’s already on the table.”
The F.T.C. and Facebook declined to comment for this article.
The roots of the investigation stem from a case that Facebook settled with the agency in 2011. The company was accused of deceiving consumers about how it handled their data. As part of the settlement, it said it would overhaul its privacy practices.
In March 2018, The New York Times and The Observer of London reported that Cambridge Analytica, a British political consulting firm that had worked for Mr. Trump’s presidential campaign, had used a vast trove of Facebook data to compile voter profiles. The agency then opened an investigation into whether the company had violated the 2011 agreement.
Facebook has apologized for reacting slowly to the revelations about Cambridge Analytica. But the company has said an academic researcher with access to the data broke its rules by sharing he data with the consulting firm.
At the same time, sentiment in Washington was turning against Big Tech. It had become clear that Russia used online services to interfere in the 2016 presidential election. YouTube, Twitter and Facebook were being blamed for the spread of harmful content and fake news. Politicians like Senator Bernie Sanders of Vermont, who is now running for the Democratic presidential nomination, were accusing Amazon of unfair labor practices.
Weeks after the investigation started, Mr. Simons, a longtime Republican antitrust lawyer, was sworn in to lead the agency. Two other Republicans, Noah Phillips and Christine Wilson, and two Democrats, Rebecca Slaughter and Mr. Chopra, were confirmed by the Senate as the other commissioners at the same time.
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