FTC accuses social networks of “mass surveillance” of their users
The Federal Trade Commission (FTC) has investigated the practices of large tech companies in a new report. The result: social media and video services massively monitor their users. The authority’s conclusion: self-regulation in the industry has failed.
FTC uncovers questionable practices of tech giants
The Federal Trade Commission (FTC) has issued an alarming report (via The Guardian) on the data collection and storage practices of large technology companies. The report examines the practices of nine leading platforms, including Meta (Facebook), Google (YouTube), Amazon (Twitch), ByteDance (TikTok), Discord, Reddit and X (formerly Twitter). According to the report, these companies not only collect extensive data about their users, but also about bystanders. The information collected is often stored indefinitely and shared with a variety of third parties. What is particularly worrying, according to the US Federal Trade Commission, is that some companies do not fully comply with users’ deletion requests.
Lucrative business model
The FTC finds that the business models of the companies investigated are heavily based on the monetization of user data and that the social media companies themselves cannot be trusted to hold themselves accountable:
Given the billions of dollars companies can make from collecting and monetizing user data, self-regulation was a failure FTC report
This is not the first time that the FTC has raised such concerns. In 2014, the agency published a report entitled “Data Brokers: A Call for Transparency and Accountability,” which criticized the opaque practices of data brokers. The current report shows that the situation has worsened rather than improved over the past decade. Infographic Social Media: These networks are used for news
Lack of protection for children and young people
A particularly critical point in the report is the inadequate protection of children and young people. FTC Chair Lina Khan emphasized: “The failure of several companies to adequately protect children and young people online is particularly disturbing.” Many platforms argue that they are not aimed at children and therefore do not need special protection measures.
However, the FTC vehemently disagrees with this view. To curb the problematic practices, the FTC recommends that Congress pass comprehensive data protection laws. In the meantime, according to the FTC, companies should limit their data collection policies, refrain from using “privacy-intensive advertising tracking technologies” and implement stronger data protection measures for young people.
Reactions from companies
Some of the companies mentioned have contested the results. Discord, for example, emphasized that its business model is different from that of the other platforms examined. Google pointed to its strict privacy policies and the ban on personalized advertising for users under 18.
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