Comments are due March 11 on the FTC’s proposed changes to children's privacy rules, according to a notice for Thursday's Federal Register (see 2312200050).
Data brokers don’t have a “free license” to sell sensitive location data, FTC Chair Lina Khan said Tuesday, announcing the agency’s first ban on selling location data. The agency announced a nonmonetary settlement with Virginia-based X-Mode Social and Outlogic, its successor. Until May, the company lacked policies "to remove sensitive locations from the raw location data it sold,” the FTC said. X-Mode/Outlogic didn’t “implement reasonable or appropriate safeguards against downstream use of the precise location data it sells, putting consumers’ sensitive personal information at risk,” it added. The commission approved a consent order 3-0 with the company. X-Mode now faces fines of up to $50,120 per violation for future infractions. X-Mode must implement a program with continuous review of its data sets and prevent disclosure of sensitive location data. In addition, it must delete all location data it previously collected. Sen. Ron Wyden, D-Ore., applauded the agency for “taking tough action to hold this shady location data broker responsible.” He said that in 2020, he “discovered that the company had sold Americans' location data to U.S. military customers through defense contractors.” The FTC action is “encouraging,” but Congress needs to pass legislation allowing regulators to hold data brokers more accountable, Wyden said. An attorney for X-Mode didn’t comment Tuesday.
Sen. Josh Hawley, R-Mo., told us Tuesday he remains opposed to confirmation of FTC nominee Andrew Ferguson and is awaiting outreach from Ferguson and Senate Minority Leader Mitch McConnell, R-Ky. In interviews Tuesday Republicans offered varying opinions about Hawley’s dispute with McConnell (see 2312200052).
The FTC received more than 2.1 million Do Not Call complaints in FY 2023, the agency said Monday in its biennial report to Congress on the DNC Registry. Most complaints were made about robocalls, it said, with "medical needs and prescription scam calls" the most frequent types of calls. The FTC noted that more than 2.7 million subscribers were added to the registry, totaling 249.5 million active registrations. The agency also highlighted its enforcement efforts, including Project Point of No Entry (see 2304110050) and Operation Stop Scam Calls (see 2307180072).
Statistics suggest antitrust enforcement by the FTC and DOJ hasn’t been markedly different from previous administrations, but the numbers don’t fully capture the deterrent effect of policies championed by FTC Chair Lina Khan and DOJ Antitrust Division Chief Jonathan Kanter, antitrust experts told us in interviews.
As the FCC sees increased dissent votes by Republican minority commissioners, those dissents frequently challenge agency authority. That's becoming a more common line of argument among GOP commissioners across federal regulatory agencies, often based on the U.S. Supreme Court's major questions doctrine, administrative law experts tell us. Republican commissioners and former commissioners say dissent votes are a reflection of the Democratic majority pushing partisan issues. Commissioner Nathan Simington in a statement said he is "disappointed that the Commission is now focused on misguided, partisan items, but I remain hopeful that we can continue making progress on real, non-partisan solutions to long-standing technical issues."
Comments are due Feb. 2 on a petition asking the FTC to protect consumers’ right to repair products, the agency announced Wednesday. U.S. Public Interest Research Group and iFixit filed a petition for rulemaking in November asking the agency to implement rules making independent repair “easier” and “more widely available.” In addition, they asked the FTC to require makers of parts that routinely wear out ensure there are replacements readily available during a product’s lifespan. An example is batteries. Moreover, consumers should be able to choose repair providers or fix a product themselves, the petition said. Components from “identical devices should be interchangeable without needing manufacturer intervention,” and independent repair shops shouldn’t be forced to share a customer’s personal information with the original manufacturer, they said.