Topics
tardy
AI
Amazon
Image Credits:Bryce Durbin / TechCrunch
Apps
Biotech & Health
Climate
Image Credits:Bryce Durbin / TechCrunch
Cloud Computing
Commerce Department
Crypto
enterprisingness
EVs
Fintech
Fundraising
appliance
stake
Government & Policy
Hardware
Layoffs
Media & Entertainment
Meta
Microsoft
Privacy
Robotics
Security
Social
Space
inauguration
TikTok
Transportation
Venture
More from TechCrunch
Events
Startup Battlefield
StrictlyVC
Podcasts
video recording
Partner Content
TechCrunch Brand Studio
Crunchboard
reach Us
A new FTC reporton how social media and streaming land site pick up and monetise their cache of user datum does n’t really sport a lot of surprises for anyone who ’s conform to the space . It ’s more helpful to consider this part of a theme trail the representation is lay down in ordination to rationalise novel regulation in the blank space .
The study has its roots right smart back in late 2020 , when the FTC tell nine of the tech company with the big data compendium apparatus to disclose numerous aspects of how their surveillance capitalism business models sour . ( The companies : Amazon , Facebook , YouTube , Twitter , Snap , ByteDance , Discord , Reddit , and WhatsApp . )
What data do you collect , on whom , and how long is it kept ? If ask to cancel , do you do so ? What do you use it for , who do you sell it to , and what dotheyuse it for ? The questions are quite comprehensive , the good to keep off the possibility of prevarication or obscuration through withholding tax of important data point .
The response of the companies were , predictably , evasive , as the FTC ’s Bureau of Consumer Protection Director Samuel Levine mention in the foreword :
Echoing the way that firms hold in and enshroud their collection practices , many of the Companies render the Commission with limited , incomplete , or unhelpful responses that appeared to have been carefully crafted to be self - serving and nullify unwrap primal piece of information .
The resulting written report details all manner of shenanigans , representing both spite and incompetence . Few of the drill disclosedwill surprise anyone at this point , but the executive sum-up starting on page 9 is a great refresher course on all the skulduggery we have come to carry from the ilk of these .
Of course , it has been nearly four year since then , and many of the fellowship have made change to their practices or have been fined or otherwise chastised . But despite theelevation of Lina Khan to chairperson of the FTC subsequent to this inquiry , there has been no enceinte revision or expansion of rules that lay down brilliant lines like “ thou shalt not trade data point on a user ’s health challenge to advertisers . ”
Join us at TechCrunch Sessions: AI
Exhibit at TechCrunch Sessions: AI
One exception you might hope for , submission with the Children ’s Online Privacy Protection Act , also seems to be an afterthought . As the FTC writes :
In an apparent seek to avoid indebtedness under the COPPA Rule , most [ societal media and TV streaming serve ] asserted that there are no kid users on their platforms because child can not create accounts . Yet we know that children are using SMVSSs . The SMVSSs should not neglect this reality . … Almost all of the Companies allowed teen on their SMVSSs and place no restrictions on their accounts , and collected personal information from teenager just like they do from adults .
Metaallegedly ignore obvious usurpation for years ; Amazonsettled for $ 25 million after “ flouting ” the constabulary ; TikTok owner ByteDance is thetarget of a similar cause register just last calendar month .
So what ’s the point of the report , if all this is know ?
Well , the FTC has to do its due industriousness , too , when considering rule that could restrict a clump of multi - billion - dollar mark global tech companies . If the FTC in 2020 had tell , “ These companies are out of mastery , we aim a raw principle ! ” then the industriousness bear on would quite justifiably dispute it by enjoin there is no evidence of the kind of practice the rule would prohibit . This variety of thing happened with net disinterest as well : The broadband companieschallenged it on ( among other things)the ground that the harms were overstated , and win .
ThoughChair Khan ’s statementaccompanying the news report suggests it will help inform state and Union lawmakers ’ efforts ( which is probable dependable ) , it is almost certain that this will render a foundational fact basis on which to build out a new rulemaking . The very fact that the party both intromit to doing these things , and that they have been caught red - handed doing others in the meantime , would strengthen any arguing for young regulations .
Khan also fends off dissent from within , from Commissioners who ( despite voting unanimously to issue the news report ) accuse it of attempt to regulate speech or order stage business models . She dispatches these disputation with the confidence of someone already drafting a proposal of marriage .
That proposal ( should it be ) would belike be aimed at dress the flank of those company that have come to embody integral diligence within themselves . As Khan redact it :
It is the relative dominance of several of these chopine that gives their conclusion and data practices an oversize impact on Americans . When a exclusive firm controls a market and is unchecked by competition , its policy can efficaciously function as private regularization . A amalgamate market is also more susceptible to coordination with — or cooptation by — the government . Unchecked private surveillance by these platform creates heightened risk of unconventional surveillance by the state . How these market are structured can result in greater peril to — or greater protections of — people ’s core familiarity .
In other words , countenance ’s not leave it to them , and the FTC in all probability does n’t mean to .