The U.S Federal Trade Commission (FTC) has proposed barring Meta from profiting from children’s data.
On Wednesday, the FTC accused Meta’s Facebook of misleading parents on protection for minors and said that the company violated a 2020 privacy order. “The company’s recklessness has put young users at risk and Facebook needs to answer for its failures”, said FTC.
According to the FTC, an independent investigation has found “several gaps and weaknesses in Facebook’s privacy program that posed substantial risk to the public.” Meta however accused the FTC of “political stunt” saying the regulator is overstepping its authority.
The FTC is proposing several changes which includes a blanket ban on monetizing data from users under 18. The regulator seeks to impose a pause on the Meta’s launch of new products until it is confirmed that the company’s privacy program is in full compliance with the terms of the agreement.
Also, Meta would be required to obtain consent from users for future use of facial recognition technology. The company has been given 30 days to respond to the FTC’s findings.
In response, Meta said “we will vigorously fight this action and expect to prevail.” The company has accused the FTC of “antagonizing American business”, “while allowing Chinese companies like TikTok, to operate without constraint on America soil.
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