FTC Chair Calls for Review of Political Bias in Apple News
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 12 2026
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Should l Buy AAPL?
Source: CNBC
- Political Bias Allegations: FTC Chair Andrew Ferguson has urged Tim Cook to review potential political bias in Apple News, following reports that the platform systematically suppresses conservative news, impacting the diversity of public information access.
- Legal Compliance Issues: Ferguson noted in his letter that Apple News could be violating Section 5 of the FTC Act if its content promotion or suppression contradicts consumers' reasonable expectations, which could lead to significant reputational damage for the company.
- Supporting Research Findings: A study from the Media Research Center revealed that right-leaning outlets were not featured in a sample of 620 stories on Apple News, indicating a potential bias in content selection that could trigger a broader public trust crisis.
- Political Environment Impact: While Apple has navigated Trump's presidency effectively, the current allegations may strain its relationship with conservative users, potentially affecting its brand image and market performance.
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Analyst Views on AAPL
Wall Street analysts forecast AAPL stock price to rise
27 Analyst Rating
17 Buy
9 Hold
1 Sell
Moderate Buy
Current: 264.350
Low
239.00
Averages
306.89
High
350.00
Current: 264.350
Low
239.00
Averages
306.89
High
350.00
About AAPL
Apple Inc. designs, manufactures and markets smartphones, personal computers, tablets, wearables and accessories, and sells a variety of related services. Its product categories include iPhone, Mac, iPad, and Wearables, Home and Accessories. Its software platforms include iOS, iPadOS, macOS, watchOS, visionOS, and tvOS. Its services include advertising, AppleCare, cloud services, digital content and payment services. The Company operates various platforms, including the App Store, that allow customers to discover and download applications and digital content, such as books, music, video, games and podcasts. It also offers digital content through subscription-based services, including Apple Arcade, Apple Fitness+, Apple Music, Apple News+, and Apple TV+. Its products include iPhone 16 Pro, iPhone 16, iPhone 15, iPhone 14, iPhone SE, MacBook Air, MacBook Pro, iMac, Mac mini, Mac Studio, Mac Pro, iPad Pro, iPad Air, AirPods, AirPods Pro, AirPods Max, Apple TV, Apple Vision Pro and others.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- New Position Disclosure: On February 4, 2026, Liberty Wealth Management LLC disclosed a new position by acquiring 367,041 shares of Dimensional Global ex U.S. Core Fixed Income ETF, with an estimated trade value of $19.3 million, indicating a strategic interest in international fixed-income markets.
- Asset Allocation Strategy: DFGX represents 2.5% of Liberty Wealth's 13F assets, and while it does not rank among the top five holdings, the firm's total asset value stands at $775 million, reflecting a balanced investment strategy across a diverse portfolio.
- Market Environment Impact: Following two rate cuts by the Federal Reserve last year, further cuts are anticipated in 2026, making the current purchase of bond funds a strategic move to lock in higher yields and potentially position for a bond rotation in the upcoming year.
- Portfolio Diversification: DFGX offers a low-cost avenue for investors to gain exposure to foreign government bonds, enhancing the stability of Liberty Wealth's portfolio while complementing its second-largest holding, the iShares S&P 500 Growth ETF, demonstrating a balanced approach to pursuing quality growth and income.
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- Lawsuit Initiated: West Virginia Attorney General JB McCuskey has filed a lawsuit against Apple, alleging the company failed to prevent the storage of child sexual abuse material (CSAM) on its iCloud platform, which violates state law and could lead to severe legal repercussions for Apple.
- Disparity in Reporting: The lawsuit highlights that Apple submitted only 267 CSAM reports to the National Center for Missing and Exploited Children (NCMEC) in 2023, in stark contrast to Google and Meta, which filed 1.47 million and 30.6 million reports respectively, indicating significant deficiencies in Apple's technology deployment and compliance.
- Privacy vs. Safety Conflict: While Apple claims its platform is the safest for children, the lawsuit argues that its excessive focus on user privacy has led to the proliferation of unreported CSAM, with Apple's design attracting participants engaged in high-risk activities, thereby creating a public nuisance.
- Multiple Legal Liabilities: The lawsuit states that Apple may be liable under various legal theories, including design defect, negligence, and violations of consumer protection laws, demanding that Apple take reasonable measures to abate the public nuisance caused by its conduct and pay restitution and penalties.
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- Market Performance: In 2025, all seven Magnificent Seven stocks saw gains, with six achieving double-digit increases, but the trend reversed in 2026, leading to a general market downturn and diminished investor confidence.
- Investment Dynamics: Berkshire Hathaway sold 77% of its Amazon stake in Q4 2025, while Bill Ackman's Pershing Square Capital increased its Meta holdings and Amazon exposure, indicating diverging investor sentiments towards these tech stocks.
- Future Outlook: Despite the downward pressure, analysts believe that Alphabet and Tesla will continue to attract investor interest in 2026, especially as their strategic relevance remains intact, making the risk-reward profile increasingly appealing.
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- Lawsuit Initiated: West Virginia's Attorney General has filed a consumer protection lawsuit against Apple, alleging the company failed to effectively prevent child sexual abuse material from being stored and shared via iCloud and iOS devices, potentially exposing the company to significant damages and mandatory changes.
- Conflict of Privacy and Safety: Attorney General John McCuskey accuses Apple of prioritizing privacy branding and business interests over child safety, while other tech giants like Google and Microsoft have taken more proactive measures using technologies like PhotoDNA to combat such content.
- Impact of Technological Withdrawal: Apple had tested its own CSAM detection features in 2021 but withdrew them due to privacy advocates' concerns, leading to widespread criticism of the company's efforts to address child sexual abuse material, which could negatively impact its brand image and user trust.
- Potential Legal Consequences: Should West Virginia's lawsuit succeed, Apple may be forced to implement significant design or data security changes, with the state's pursuit of statutory and punitive damages directly affecting the company's financial standing.
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- New ETF Launch: XMAG, launched on October 21, 2024, tracks the BITA US 500 ex Magnificent 7 Index, currently holding 493 stocks with net assets of $137.79 million, reflecting a rising demand for diversified investments in the market.
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- Lawsuit Background: West Virginia Attorney General John McCuskey has filed a lawsuit against Apple, alleging the company failed to effectively curb child sexual abuse materials on its iOS devices and iCloud services, seeking statutory and punitive damages along with injunctive relief for effective CSAM detection.
- Privacy vs. Safety Conflict: Apple is accused of prioritizing its privacy branding over child safety, unlike other tech giants such as Google and Microsoft, which have proactively employed systems like PhotoDNA to identify and block child sexual abuse materials.
- Withdrawal of Technical Plans: Apple tested its own CSAM detection features in 2021 but withdrew them due to privacy advocates' concerns, resulting in ongoing criticism of the company's insufficient efforts to protect children from online exploitation.
- Potential Impact: Should West Virginia's lawsuit succeed, it could compel Apple to implement significant design or data security changes, potentially altering its market positioning regarding privacy and safety.
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