Facebook badly needs to buff up its communications and public image to avoid fight with EU

A risk warning in the recent annual report published by Facebook’s holding company said it could pull the social network out of Europe over data transfer issues. James Moore says this serves as a reminder of the group’s image problem

Facebook has sought to clarify statements interpreted as a threat to pull out of Europe (AP)

One of the more amusing business stories to have emerged over the last week is the supposed threat by Meta – which is what Facebook calls its holding company now – to pull the social network and its Instagram unit out of Europe.

The furore was kicked off by one of a list of 24 separate “factors” which could “negatively affect user retention, growth, and engagement” listed in the group’s latest annual report.

The list was part of more than 30 pages of risk warnings. Because of how pernickety US securities law is, American companies tend to throw everything into these sections, including the kitchen sink (which may affect our business performance if it springs a leak).