FTC charges 29 defendants with sending over 180 million spam text messages

If you’ve ever received a spam text message offering a free gift card or prize from a popular retailer, it could very well have originated from one of the 29 defendants the FTC has charged with sending over 180 million spam text messages. The text messages alleged that individuals could receive a prize from Best Buy, Walmart, Target, or similar stores for free by providing personal information and applying or subscribing to services.

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Aside from the annoyance factor, some of the recipients of the spam messages had to pay for them, with the FTC stating that up to 12-percent of mobile subscribers do not have a text messaging plan. In some instances, the information collected via the prize and gift card websites, which the text messages linked to, was sold to third-parties.

Those who went through with the process were subjected to a variety of conditions to get the gift card or prize that weren’t specified upfront, such as completing offers and getting friends to participate. Because of this, the defendants are said to have violated the FTC Act, which requires consumers to be informed about the various conditions that need to be satisfied to receive the gift. The agency seeks a restraining order that will keep the defendants from continuing with these activities.

The FTC’s Acting Director of the Bureau of Consumer Protection Charles A. Harwood had this to say: “Today’s announcement says ‘game over’ to the major league scam artists behind millions of spam texts. The FTC is committed to rooting out this deception and stopping it. For consumers who find spam texts on their phones, delete them, immediately. The offers are, in a word, garbage.”

[via FTC]


FTC charges 29 defendants with sending over 180 million spam text messages is written by Brittany Hillen & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.

Rockefeller introduces Do Not Track bill, is backed by Consumer Watchdog

Senator Jay Rockefeller has introduced a Do Not Track bill, which would require the FTC to make standards regarding consumers’ ability to opt-out of having their information collected. This is following the first Do Not Track report we saw back in 2011, which was a variant of the current bill. Consumer Watchdog has jumped into the mix, backing the bill.

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The report published in 2011 was called Protecting Consumer Privacy in an Era of Rapid Change,” which sought for a Do Not Track functionality to be implemented for consumers. The big difference is that it was a call to voluntary action instead of the pursuit of legislation, giving the digital world a chance to regulate itself. According to Consumer Watchdog, this method has not worked, and so it is time for legislation to be issued.

This hasn’t been due to a lack of effort, however, with W3C creating the Tracking Protection Working Group and having it draw up two Do Not Track standards, one that details the existence of the Do Not Track message sent from consumer to website, and the second for the website that receives the message and how it should respond. While Consumer Watchdog’s Privacy Project director John M. Simpson has been involved with this, he still feels that more action is needed, having said:

“It’s now clear that Rockefeller’s action is necessary to ensure consumers get the protection they deserve and expect. Self-regulatory efforts to develop a Do-Not-Track standard have stalled. Rockefeller’s bill may spark action in such forums as the World Wide Web Consortium (W3C), but at the end of the day, we’ll need legislation to get this done. Industry has had no real incentive to agree to a meaningful standard.”

[via International Business Times]


Rockefeller introduces Do Not Track bill, is backed by Consumer Watchdog is written by Brittany Hillen & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.

HTC settles security issue with the FTC

HTC was slapped by the FTC over a security issue that left users’ information vulnerable. This was the result of the company altering the OS on its smartphones and tablets in such a way that the additional features implemented left information open to collection by malicious programs. Just a bit ago, the FTC announced that HTC has settled the matter.

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The security vulnerabilities, which are said to leave such information as location and call logs at risk, was discovered in 2011. In response, HTC rolled out patches to correct the problem. Those that have not been fixed, however, will be in the relatively near future, according to a statement from HTC earlier today. This is not the only thing the company has to do as part of the settlement, however.

HTC is also required to set up a “comprehensive security program,” which will presumably be in place to prevent such security vulnerabilities from happening again. Likewise, the company is not allowed to make misleading or otherwise false statement in regards to the security it offers, something that seems more or less common sense.

The FTC has been cracking down on the issue of mobile security for a while now, having recently published a manual of guidelines for app developers, providing information on how to deal with security issues. Likewise, last month California issued a report of mobile privacy recommendations, most of which were common sense.

[via Washington Post]


HTC settles security issue with the FTC is written by Brittany Hillen & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.

HTC settles with the FTC over claims of insecurities in logging software

HTC settles with the FTC over claims of insecurities in logging software

Much of the firestorm surrounding remote phone diagnostics in late 2011 ultimately enveloped Carrier IQ and the providers that used it, but HTC was also scorched by accusations that its phones’ software flaws (including in HTC Loggers) made privacy breaches possible. The FTC went so far as to level charges against the company for allegedly not doing enough to secure software. That saga may be winding to a close now that HTC’s American division has agreed to settle the whole affair. The smartphone designer has to do more than just deliver patches, which it already has — it’s now required to run a “comprehensive” security program to weed out flaws in advance, and it will be the subject of outside assessments every other year for the next 20 years. As tough as those conditions may seem, they’re easier than dealing with fines or stiffer penalties. They’ll hopefully prevent repeats of any privacy scares as well, even if the real-world risk has been slight.

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Via: The Verge

Source: FTC

FTC issues mobile privacy guidelines, values clarity and Do Not Track

FTC posts recommendations for mobile app privacy clear, conspicuous with Do Not Track

The FTC has made online privacy one of its bigger missions as of late, going so far as to develop a full privacy framework that it hopes others will follow. Its counsel is extending to the mobile world with a new report full of recommendations for privacy inside apps, ads and mobile operating systems. Some of the advice includes decidedly common sense measures, such as asking for privacy permissions at a relevant moment or requiring clear disclosures as to what info leaves the device. Other tips require more exertion: the FTC would like to see dedicated privacy dashboards inside of apps, privacy policies that are visible directly from app stores and a simple Do Not Track option baked into both mobile browsers as well as ads. The suggestions aren’t binding, and they’re only partly useful when we’ve already seen features like Do Not Track find their way into newer platforms like iOS 6 and Windows Phone 8. Still, the report is potentially a worthwhile read for developers — especially those that want to stay on the FTC’s good side.

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Via: Reuters

Source: FTC

FTC fines Path app $800,000 over unauthorized data collection [UPDATE]

A year ago Path’s app for iPhone received a lot of criticism because it was discovered that the app was accessing users’ contacts without permission. The developers quickly made things right and released an update to fix the permissions. However, the FTC caught them anyways and fined them for violating the Children’s Online Privacy Protection Act (since some users were under 13).

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Path has agreed to settle with the FTC and pay an $800,000 fine for “allegedly collecting kids’ personal information without their parents’ consent.” In addition to the fine, Path is implementing a “comprehensive privacy program,” which includes a requirement that it conduct privacy assessments from third-party sources every other year for the next 20 years.

In the complaint, the FTC said that the user interface of Path’s iOS app was misleading and provided consumers no choice regarding how their personal information was collected. The app had the ability to find friends using the users’ contacts, but the app didn’t address that it would be accessing contacts in order to do so.

May this be a lesson for Path and other developers who walk the line of privacy issues. While an $800,000 fine would basically be pocket change for Facebook or Google, that amount of money for a startup isn’t anything to scoff at, and we’re sure that Path will be walking on egg shells for awhile from this point forward.

UPDATE: Path has posted up a response about the FTC settlement.

[via The Next Web]


FTC fines Path app $800,000 over unauthorized data collection [UPDATE] is written by Craig Lloyd & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.

FTC releases long list of mobile privacy recommendations

As smartphones and the apps we run on them become more and more popular, concerns over privacy are growing as well. The FTC has taken a pretty strong stance on privacy issues throughout the years, and today it delivered a list of recommendations to pretty much everyone involved in the smartphone business. These recommendations give platform holders, app developers, and advertisers suggestions on what they can do improve mobile privacy, and we have to say that there are some pretty good ideas in the report.

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Starting right off with mobile platforms, some of the things the FTC recommends include providing “just-in-time” disclosures and asking for a user’s “affirmative express consent” before allowing apps to access sensitive information. It would also like to see mobile platforms require app makers to make privacy discloses, and recommends an icon or something similar that can show when user data is being transmitted. One of the most intriguing recommendations is a “Do Not Track” list users can add their name to, saying they don’t want to be tracked by ad networks as they use apps.

On the app developer side of things, the FTC would like to see privacy policies that are accessible via app store listings, along with more just-in-time disclosures when an app is about to collect data. The FTC also recommends that app developers join self-regulatory programs that can help them make privacy policies that are clear and easy for users to read. The list of recommendations for app developers is quite a bit shorter than the list for mobile platforms, with the FTC clearly thinking that most of these privacy concerns can be solved by platform holders.

While mobile platforms and app developers play a big part in privacy concerns, there’s also advertising networks to worry about. The FTC suggests that ad networks and other third-parties work with app developers to make sure users are seeing truthful privacy disclosures. The organization is also pushing for advertising networks to implement the aforementioned Do Not Track list and make it work.

The FTC “strongly encourages” everyone in the mobile space to begin following these recommendations, but whether or not developers, mobile platforms, and ad networks will listen is another story entirely. The FTC makes some good recommendations in its report, but in the end, they don’t mean much if the parties at the heart of the privacy debate don’t follow them. There are more recommendations other than the ones mentioned here, so if you have a moment to read through the entire thing, you can find the FTC’s release through the source link below.

[via Federal Trade Commission]


FTC releases long list of mobile privacy recommendations is written by Eric Abent & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.

Path settles with the FTC over contact privacy violations

Path settles with the FTC over contact privacy violations

Path was quick to mend its ways after a dust-up over collecting contact information from iOS users without their consent, but it wasn’t quick enough to avoid FTC claims of violating the Children’s Online Privacy Protection Act. All that is just water under the bridge in the wake of a new settlement. As compensation for collecting contact information from 3,000 children without their parents’ permission, Path has agreed to both pay a $800,000 fee and implement a privacy plan that will require audits from an outside party every other year. Consider it a lesson learned for Path and other mobile app firms, which now know that scraping personal data may have unintended consequences.

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Via: TechCrunch, The Next Web

Source: FTC

FTC’s Chairman Jon Leibowitz set to announce his departure Friday

In an interview earlier today, the FTC‘s Chairman Jon Leibowitz stated that he’ll formally announce his departure from the agency tomorrow. Leibowitz first joined the agency in 2004, eventually being dubbed Chairman in 2009. Whispers of his imminent departure have been circulating since last year, although nothing had been confirmed until today.

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Potential candidates to take Leibowitz place include Howard Shelanski, who is the commission’s Director of the Bureau of Economics, lawyer Leslie Overton, Julie Brill, Edith Ramirez, and Philip Weiser. Because the commission is split with two Republicans and two Democrats while the transition takes place, some fear this partisan nature could have a negative impact on the agency.

Leibowitz has stated that such fears are not necessary, saying, “We [the FTC] have been a largely functional agency in an often-dysfunctional Washington. I think we have done our job the way we are supposed to, and in a consensus-driven way.” Still, not everyone shares his optimism, and some feel that what is likely to be a long process in getting a new commissioner will further compound the issue.

The FTC has been in the news quite a bit over the last several months, mostly in regards to the antitrust probe against Google that ultimately fizzled out into little more than a wrist slapping. In line with that, some have criticized Chairman Leibowitz as too ready to take settlements rather than go after companies. Still, Leibowitz’ stint as chairman has had its upsides, particularly in consumer protection.

[via Washington Post]


FTC’s Chairman Jon Leibowitz set to announce his departure Friday is written by Brittany Hillen & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.

Leaks in the Google antitrust probe brings the FTC under scrutiny

Google has been in the news in increasing frequency over the last six or so months concerning an FTC antitrust probe into its business practices. Most of the information that surfaced about the case came from sources identified only by their claim to be familiar with the situation. Now the FTC is under scrutiny from Congress over the amount of information that leaked to the media.

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United States Representative Darrel Issa is chairman of the House Committee on Oversight and Government Reform. On January 3, Issa sent a letter to Scott Wilson, Investigator General for the FTC, requesting an immediate investigation into the source of the leaks. Says Issa, the information that was made public ultimately influenced how the case was handled.

According to law, information from an FTC investigation must not be released to the media until a final decision has been made and an official announcement has been provided. This is obviously in contradiction to the repeat leaks that were provided by anonymous individuals from (we presume) within the FTC to various news sources. Likewise, Senator Ron Wyden has also reportedly expressed concern about the leaks.

In the letter Issa sent, he stated: “Throughout the process, nonpublic information about developments in the investigation has been inappropriately shared with the media. It is believed that the commission may be contributing to, or is the source of, this information … To determine whether the commission, or its staff, has shared nonpublic information with the public or the press about the investigation of Google, I request the Office of Inspector General promptly investigate the matter.”

[via eWeek]


Leaks in the Google antitrust probe brings the FTC under scrutiny is written by Brittany Hillen & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.