Amazon has agreed to pay $25 million (£20 million) to settle accusations of violating children’s privacy rights with its Alexa voice assistant.
The settlement was reached with the US Federal Trade Commission (FTC) following allegations that Amazon failed to delete Alexa recordings.
The company was found to have retained sensitive data for an extended period of time.
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How Amazon violates child privacy
Amazon violated child privacy by failing to delete Alexa voice recordings upon parental request.
The FTC complaint stated that Amazon deceived parents by promising the ability to delete voice recordings collected by Alexa, but the company failed to do so and unlawfully utilized the data to enhance its Alexa algorithm.
Despite repeatedly assuring users, including parents, that they could delete the voice recordings collected by the Alexa system, Amazon did not fulfill this promise. Instead, the company retained sensitive data for an extended period and unlawfully used it to improve the Alexa algorithm. This action disregarded the privacy rights of children and their families.
The director of the FTC’s Bureau of Consumer Protection accused Amazon of misleading parents, retaining children’s recordings indefinitely, and disregarding deletion requests.
Amazon’s ‘Ring’ also fined
Amazon’s subsidiary, Ring, will pay a $5.8 million fine as it granted employees unrestricted access to customers’ data.
Additionally, Amazon’s subsidiary, Ring, played a part in violating privacy. Ring allowed thousands of employees and contractors unrestricted access to customers’ private video data, including recordings of their intimate spaces such as bathrooms and bedrooms.
This lack of oversight and control over employees’ access to sensitive information put customers at risk of spying and harassment.
By failing to prioritize privacy and security, Amazon sacrificed these essential rights for the sake of profit. The company’s actions demonstrated a disregard for the privacy concerns of both children and adults, prompting the US Federal Trade Commission to take action against them.
The FTC also highlighted Ring’s allowance of employees and contractors to view and download customers’ private video recordings.
Amazon claims to have resolved these issues independently prior to the FTC’s inquiry, but the complaint revealed that an employee had viewed numerous video recordings of female users in intimate spaces before being stopped by a colleague.
The FTC emphasized that Ring’s negligence towards privacy and security exposed consumers to surveillance and harassment.
Amazon stated its disagreement with the FTC’s allegations but agreed to the settlements to move past these matters, while also committing to develop additional privacy features for its customers.
About Amazon
Amazon is a multinational technology company based in the United States. It was founded by Jeff Bezos in 1994 as an online marketplace for books. Since then, Amazon has expanded its operations and product offerings to become one of the world’s largest online retailers, selling a wide range of goods, including electronics, clothing, household items, and more.
In addition to its e-commerce platform, Amazon has diversified its business and ventured into various industries. It developed its own line of consumer electronics, including the popular Kindle e-readers, Fire tablets, and Fire TV devices. The company also offers cloud computing services through its subsidiary, Amazon Web Services (AWS), which provides on-demand computing power, storage, and other services to individuals, businesses, and organizations.
Amazon has made significant acquisitions over the years, expanding its influence in different sectors. One notable acquisition was the purchase of Whole Foods Market in 2017, marking its entry into the grocery retail industry. The company also acquired Ring, a smart doorbell and home security company, and has continued to expand its presence in the home automation and smart home market.
Furthermore, Amazon has developed its own voice-activated virtual assistant called Alexa, which powers devices such as the Amazon Echo smart speakers. Alexa can perform various tasks, including playing music, providing information, controlling smart home devices, and placing online orders.
As one of the largest tech companies globally, Amazon has faced scrutiny and controversy over various issues, including its treatment of workers, data privacy concerns, and market dominance. Nonetheless, the company continues to be a dominant force in e-commerce and technology, consistently innovating and expanding its reach.