Amazon Slapped With $3 Million Fine By FTC For Violating Privacy Using Alexa VA And Ring Bell Cameras

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Amazon has reached an agreement with the Federal Trade Commission (FTC) to pay a $30 million fine, settling charges that it violated the Children’s Online Privacy Protection Act (COPPA) by unlawfully collecting personal information from children.

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Violation of Children’s Privacy

The FTC accused Amazon of collecting voice recordings and other personal data from children under the age of 13 through its Alexa voice assistant and Ring doorbell cameras. Amazon allegedly acquired this information without obtaining verifiable parental consent, a requirement under COPPA.

Insufficient Privacy Protection

Furthermore, the FTC claimed that Amazon failed to take adequate measures to protect children’s private information. The company allegedly did not sufficiently secure the collected data and neglected to provide parents the ability to review or delete their children’s personal information.

Settlement Terms

As part of the settlement, Amazon has agreed to the following terms:

Payment of a $30 million civil penalty
Updates to Alexa and Ring products to ensure compliance with COPPA
Development of a new privacy program specifically for children
Obtaining parental consent before collecting personal information from children
Provision of parental access to review and delete their children’s personal information

Key Details of the Settlement

Notable details regarding the settlement include:

The $30 million civil penalty is the largest ever imposed by the FTC for a COPPA violation.
Amazon must adjust its Alexa and Ring products to align with COPPA guidelines, implementing changes in the collection, use, and sharing of personal information from children.
A new privacy program tailored for children is required, which will involve training Amazon employees on COPPA compliance and establishing procedures for handling children’s personal data.
Parental consent, verifiable and ensuring the identity of the parent, is vital prior to collecting personal information from children.
Amazon must grant parents the ability to review and delete their children’s personal information, including voice and video recordings, and other collected data.

Protecting Children’s Privacy

The FTC’s actions against Amazon emphasize the importance of COPPA compliance when handling children’s personal information. The FTC will continue to enforce COPPA to protect children’s online privacy.

The settlement between Amazon and the FTC represents a significant step towards protecting children’s privacy rights. It ensures Amazon’s adherence to COPPA guidelines and secures the privacy of children’s information.