Facebook to pay $5 billion penalty over privacy breaches

UnixGuy

Thought it deserves its own thread. Unprecedent fine apparently...

https://edition.cnn.com/2019/07/24/tech/facebook-ftc-settlement/index.html


Thoughts?

kaiju

I watched The Great Hack on Netflix last night and the fine should be more. FB was a willing participant in the Cambridge Analytica scandal and this advertisement crap has gotten completely out of hand. I stopped using FB messenger many years ago after noticing that new adds would appear after mentioning something in a private chat. I haven't been on FB since last fall and prior to taking this long hiatus I installed FB purity so I could take control of my page again.

UnixGuy

@kaiju I'll check the great hack on netflix!

While $5 billion is unprecedented...their quarter revenues are around $16 billion...not sure how effective this fine is

Infosec_Sam

Now we're talking! I'm kind of tired of seeing these huge companies getting small fines that don't curb behavior. Hopefully $5B will strike a bit of fear into future offenders.

tedjames

A $5B fine is like a flesh wound to Facebook...

DatabaseHead

Who gets the money?

UnixGuy

On topic, the Australian Competition & Consumer Commission (ACCC) did a 18 months Digital Platforms Inquiry and release their report 3  days ago.

Summary:
"Facebook and Google will be forced to better protect Australians’ privacy and be more transparent about collecting personal data if the government adopts the findings of a “groundbreaking” consumer watchdog report handed down today.

The Australian Competition and Consumer Commission has made 23 recommendations in its 623-page final report into anti-competitive behaviour and the market power of tech giants in Australia.

The ACCC stops short of calling for tech giant Google to be broken up but has recommended Australia’s Privacy Act be strengthened and an ombudsman scheme be launched to resolve complaints and disputes consumers and businesses may have with digital platforms.

It also calls for a new code of conduct for digital giants “so that consumers can know and control what data is collected and how it is used,” Treasurer Josh Frydenberg announced today

“What this report finds is that so much personal data is being collected without informed consent.

“It’s an extremely serious issue and what we’ve seen play out in the US with Facebook being fined that record amount, over $7 billion, is a reflection of how peoples’ personal data is being used often without their knowledge.”

"

FIVE RECOMMENDATIONS AND WHAT THEY MEAN FOR YOU

Independent ombudsman: The new agency would investigate complaints about scams or advertising placed on digital platforms, order compensation to users as needed, and require the removal of copyright material used without consent.

ACCC digital platforms branch: This specialist arm of the ACCC would proactively investigate anti-competitive conduct by tech giants, including bias from their algorithms, enforce consumer and competition laws, and make recommendations to government to prevent ‘consumer harm’.

Changes to Privacy Act: Proposals include greater disclosure about what personal information will be collected by tech giants, clear rules about gaining consumers’ consent, the ability to have your information deleted, and higher penalties for privacy breaches.

Fake news code: Tech giants must create industry rules about how to respond to reports of fake news — or misinformation presented as news — that could lead to ‘serious public detriment’. The ACMA would also monitor misleading information on the platforms and make regulatory recommendations.

Android phone changes: Within six months, Google must let Android smartphone users choose the default search engine and internet browser on their device rather than setting it for them.

https://www.news.com.au/technology/online/social/accc-digital-platforms-inquiry-to-recommend-changes-to-stop-tech-giants-anticompetitive-behaviour/news-story/638c20871322e47928320e2b4667f153

thomas_

Should have fined them $100 billion., but even that probably isn't enough.  

Swift6

The fine is petty cash compared to their revenues but significantly higher than any other fine.

It serves as a fresh warning for others to do more when it comes to data privacy/security.