Overview

• The SEC’s cyber and emerging‑tech unit is examining whether AppLovin violated partners’ rules on ad targeting, according to reports, and the regulator has not accused the company of wrongdoing.
• Shares fell 14.03% to $587 at the close after dropping as much as about 19% intraday, then slipped roughly 2% after hours to $573.57.
• Forbes estimates the selloff erased about $8.65 billion in paper wealth for top executives and early investors.
• AppLovin says it regularly engages with regulators and will address inquiries in the ordinary course, and Bloomberg reports the company denies creating alternative device identifiers.
• The review follows short-seller reports and raises risk of potential fines or mandated changes that could reduce ad-targeting precision and strain ties with major platforms, adding uncertainty after the stock’s recent S&P 500 debut.