December 3, 2024 at 09:37PM
The FTC has settled with data brokers Gravy Analytics and Mobilewalla for selling sensitive location data without consent. Both companies will delete improperly obtained data and enhance privacy measures, as well as refrain from distributing information about visits to sensitive locations. This bipartisan ruling highlights ongoing privacy concerns among regulators.
### Meeting Takeaways:
1. **FTC Settlement with Data Brokers**: The Federal Trade Commission (FTC) has settled with Gravy Analytics and Mobilewalla for allegedly harvesting sensitive location data without consumer consent.
2. **Nature of Allegations**:
– **Data Collection**: Both companies acquired precise location data from app developers, which allowed tracking of individuals to specific locations, including hospitals and places of worship.
– **Data Volume**: Gravy Analytics claimed to gather over 17 billion signals daily from around a billion devices, while Mobilewalla retained data from hundreds of millions of devices.
– **Consent Issues**: Key to the allegations was the companies’ failure to ensure informed consent for data collection.
3. **Agreed Actions by Companies**:
– Conduct audits of their databases to identify improperly collected data.
– Delete any location data gathered without permission.
– Avoid distributing location information tied to sensitive places (e.g., medical facilities, schools, religious institutions).
– Implement stricter privacy policies moving forward.
4. **Bipartisan Support for Privacy**: The FTC’s decision was unanimously supported (5-0), highlighting that privacy is a bipartisan concern among commissioners.
5. **Ongoing Regulatory Actions**:
– The Consumer Financial Protection Bureau (CFPB) is proposing new rules to enhance protections around the sale of sensitive personal and financial data.
– Data brokers may be required to be designated as “consumer reporting agencies,” which would hold them to stricter standards.
6. **Implications of Data Mismanagement**: Recent security lapses have shown vulnerabilities, such as the exposure of sensitive data due to poor security practices by data brokers.
7. **Quotes from Authorities**: FTC attorney Brian Shull emphasized the shared concern across political lines regarding privacy, while CFPB Director Rohit Chopra highlighted the risks associated with the data broker industry and the need for stronger regulations to protect personal safety and national security.
This settlement marks a significant step in addressing privacy violations by data brokers and illustrates a broader commitment from U.S. regulatory bodies to strengthen consumer protection measures.