Amazon To Pay $30 Million For Alexa, Ring Privacy Violations (reuters.com) 16
Amazon and its subsidiary, Ring, have agreed to separate multi-million dollar settlements with the U.S. Federal Trade Commission (FTC) over privacy violations involving children's use of Alexa and homeowners' use of Ring doorbell cameras. Amazon will pay $25 million for failing to delete Alexa recordings as requested by parents and for keeping them longer than necessary, while Ring will pay $5.8 million for mishandling customers' videos. Reuters reports: "While we disagree with the FTC's claims regarding both Alexa and Ring, and deny violating the law, these settlements put these matters behind us," Amazon.com said in a statement. It also pledged to make some changes to its practices.
In its complaint against Amazon.com filed in Washington state, the FTC said that it violated rules protecting children's privacy and rules against deceiving consumers who used Alexa. For example, the FTC complaint says that Amazon told users it would delete voice transcripts and location information upon request, but then failed to do so.
The FTC also said Ring gave employees unrestricted access to customers' sensitive video data said "as a result of this dangerously overbroad access and lax attitude toward privacy and security, employees and third-party contractors were able to view, download, and transfer customers' sensitive video data for their own purposes." As part of the FTC agreement with Ring, which spans 20 years, Ring is required to disclose to customers how much access to their data the company and its contractors have.
In its complaint against Amazon.com filed in Washington state, the FTC said that it violated rules protecting children's privacy and rules against deceiving consumers who used Alexa. For example, the FTC complaint says that Amazon told users it would delete voice transcripts and location information upon request, but then failed to do so.
The FTC also said Ring gave employees unrestricted access to customers' sensitive video data said "as a result of this dangerously overbroad access and lax attitude toward privacy and security, employees and third-party contractors were able to view, download, and transfer customers' sensitive video data for their own purposes." As part of the FTC agreement with Ring, which spans 20 years, Ring is required to disclose to customers how much access to their data the company and its contractors have.
Well, at least some lawyers just got rich... (Score:1)
...or richer.
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They wouldnt have been richer if Amazon had actually followed its own statements and policy.
"How dare the lawyers do their job and get paid after suing a company who violated my rights!"
Re: Well, at least some lawyers just got rich... (Score:2)
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You are reallly sounding like a greedy ass lawyer.
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Amen bro.
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You kind of missed my point. I'm complaining the award will do nothing BUT make the lawyers rich. If it had made them Oprah rich, I'd be happy because at least it would have made the corporation change the way they behave.
Re: Well, at least some lawyers just got rich... (Score:2)
Move fast and (Score:1)
...break privacy.
What is the point of a toothless enforcer? (Score:1)
Why is the FTC allowed to settle? Doesn't that violate the purpose of a judicial enforcer? They aren't there to scrounge up a few dollars, they are there to enforce the rules, which cannot be done without a ruling. How can corporations be encouraged to follow the rules if they make more money risk-free when they don't?
Re:What is the point of a toothless enforcer? (Score:4, Insightful)
There's an article on Slashdot today about one of the US government's secret police outfits using illegal spyware and the situation is the same for Amazon: Why wouldn't they? The penalties for being caught are laughable or non-existant.
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The FTC may have, at one time, been about enforcement of law against big businesses. At this point, it's an extension of those big businesses, like most of the various branches of the government. It puts a nice little bit of window dressing on the relationship between the business world and the government world, which are almost impossible to separate at this point, and gives our government officials a place to point when people complain that business is raping all of society and they are doing nothing. The
Virtue signalling by the FTC (Score:3)
This settlement is utterly ridiculous. Look at the $1.3B EU fine that Meta is currently on the hook for to see how this is done right. $30M is just pretending to do something, nothing more.
What a joke (Score:3)
Violate user trust, help the government and some lawyers get richer. Give me a fucking break.
Who expects the sociopaths and incompetents responsible for this shitshow to actually be fazed by $30m? Amazon loses $30m in its couch cushions.
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Who expects the sociopaths and incompetents responsible for this shitshow to actually be fazed by $30m? Amazon loses $30m in its couch cushions.
True, but it's important to keep in mind that it's likely Amazon didn't "lose" the money for the fine. It's probable that Amazon knew they would be fined and therefore budgeted for it; so effectively they "spent" the money.
What's more, they probably budgeted for a lot more than $30m, so it's fair to say that the FTC probably saved Amazon a fair amount of money here.
chidren's data is most valuable (Score:2)
Amazon will accumulate children's data ongoing through their lifetimes.
The value is incomprehensible.