Core Viewpoint - The United States Securities and Exchange Commission (SEC) is investigating AppLovin over allegations of violating service agreements with platform partners to enhance targeted advertising practices [1][5]. Group 1: SEC Investigation Details - The SEC's investigation is being conducted by enforcement officials focused on cyber and emerging technologies [2]. - The investigation was prompted by a whistleblower complaint and multiple short-seller reports alleging AppLovin's misuse of proprietary identifiers from other platforms [5]. - The SEC has not yet accused AppLovin or its officials of any wrongdoing, and the extent of the investigation remains unclear [5]. Group 2: AppLovin's Response - AppLovin has declined to comment on the investigation, stating that it typically does not discuss potential regulatory matters [3]. - The company has engaged Alex Spiro, a prominent litigator, to conduct an independent review of recent short report activities and investigate the origins of these reports [4]. - AppLovin's CEO previously described short reports as "littered with inaccuracies" and denied the creation of unauthorized device fingerprints [3][4]. Group 3: Company Background and Market Position - AppLovin assists mobile app developers in user acquisition and advertising sales, with a market valuation exceeding $226 billion as of 2025 [5]. - The company was added to the S&P 500 Index in September 2025, indicating significant growth and market presence [5]. - Allegations against AppLovin include unauthorized tracking of users across different platforms, which is prohibited by Apple's App Store and was restricted by Google until a recent policy change [5].

ToplineAppLovin shares tumbled as the Securities and Exchange Commission launched a probe into alleged data-collection violations tied to targeted ads, according to Bloomberg, erasing about $8.65 billion in wealth held by the company’s top executives and key early investors.CHONGQING, CHINA - MAY 04: In this photo illustration, the logo of AppLovin Corporation is displayed on a smartphone screen, with a stock market chart in the background suggesting recent trading activity, on May 04, 2025. AppLovin is a U ...