FTC

Profits Over Privacy: A Confirmation of Tech Giants’ Mass Surveillance and a Call for Social Media Accountability

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Profits Over Privacy: A Confirmation of Tech Giants’ Mass Surveillance and a Call for Social Media Accountability

Aysha Vear

 

In an effort to better understand the data collection and use practices of major social media and video streaming services (SMVSSs), the Federal Trade Commission issued orders to file Special Reports under Section 6(b) of the FTC Act[1] to nine companies in 2020.[2] The orders sought to understand how the companies collect, track, and use their consumers’ personal and demographic information; how they handle advertising and targeted advertising; whether they apply algorithms, data analytics, and artificial intelligence (AI) to consumer information; and how their practices impact children and teens.[3] Titled, “A Look Behind the Screens: Examining the Data Practices of Social Media and Video Streaming Services,” the 2024 report has been four years in the making and a key but unsurprising finding was that the business model of targeted advertising was the catalyst for extensive data gathering and harmful behaviors, and companies failed to protect users, particularly children and teens.[4]

Data Practices and User Rights
Companies involved in the FTC report collected a large amount of data about consumers’ activity on their platforms and also gleaned information about consumers’ activity off of the platforms which exceeded user expectations.[5] The Commission found that a massive amount of data was collected or inferred about users including demographic information, user metrics, or data about their interaction with the network.[6] With respect to specific privacy settings, many companies did not collect any information at all about user changes or updates to their privacy settings on the SMVSSs.[7]

The information came from many places as well. Some information on users collected by the companies was directly input by the SMVSS user themselves when creating a profile; passively gathered from information on or through engagement with the SMVSS; culled from other services provided by company affiliates or other platforms; inferred from algorithms, data analytics, and AI; or from advertising trackers, advertisers, and data brokers. Data collected was used for many different purposes including for targeted advertising, AI, business purposes like optimization and research and development, to enhance and analyze user engagement, and to infer or deduce other information about the user.[8] In addition, most companies deliberately tracked consumer shopping behaviors and interests.[9] Little transparency, if any, was provided on the targeting, optimization, and analysis of user data.

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Say “Bonjour” to New Blanket Privacy Regulations?

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The FTC Considers Tightening the Leash on the Commercial Data Free-for-All and Loose Data Security Practices in an Effort to Advance Toward a Framework More Akin to the GDPR

By Hannah Grace Babinski, class of 2024

On August 11, 2022, the Federal Trade Commission (FTC) issued an Advance Notice of Proposed Rulemaking (ANPR) concerning possible rulemaking surrounding “commercial surveillance” and “lax data security practices”[1] and established a public forum date of September 8, 2022.[2] The FTC’s specific objective for issuing this ANPR is to obtain public input concerning “whether [the FTC] should implement new trade regulation rules or other regulatory alternatives concerning the ways in which companies (1) collect, aggregate, protect, use, analyze, and retain consumer data, as well as (2) transfer, share, sell, or otherwise monetize that data in ways that are unfair or deceptive.”[3]

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Leaning into CHAOS (Child’s Health and Online Safety Act): Revision to FTC’s Enforcement of COPPA & New Model Rule for Child Advertising

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Comment

By Gabrielle Schwartz, Class of 2023

I. Introduction

A wise author once wrote, “I know, up top you are seeing great sights, but down here at the bottom we, too, should have rights.”[1] Dr. Suess not only understood the importance of inspiring children but believed it was essential to teach children valuable life lessons. As more children continue to stray away from reading as their source of entertainment, children are more likely to become fascinated by the beauty of the internet. Although the internet’s capabilities may positively impact children, there are also adverse effects through the use of the internet’s products, services, and content. Many companies, individuals (such as parents), and lawmakers are calling for action to be taken to prevent and protect against arguably toxic online content.

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