Amazon will pay the Federal Trade Commission more than $30 million to settle allegations of privacy lapses in its Alexa and Ring products, according to filings this week.
One suit alleges Amazon violated the FTC Act and Children’s Online Privacy Protection Act by illegally retaining thousands of children’s information thru their profiles with Alexa voice assistant.
The FTC has charged home security camera company Ring, which is owned by Amazon, with compromising its customers' privacy by allowing any employee or contractor to access consumers’ private videos and failing to implement basic privacy and security protections.
According to the complaint, one employee viewed thousands of video recordings belonging to female users of Ring cameras that surveilled intimate spaces in their homes such as bathrooms and bedrooms. The employee was stopped after a colleague discovered what was happening.
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Under a proposed order, which still needs court approval, Ring will be required to implement a privacy and security program and pay $5.8 million, which will be used for consumer refunds.
In a blog post, the company says it takes its responsibility to protect its customers' privacy and security extremely seriously and believes it is important to provide context in relation to this settlement.
A Ring spokesperson tells us:
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"Our focus has been and remains on delivering products and features our customers love, while upholding our commitment to protect their privacy and security. Ring promptly addressed these issues on its own years ago, well before the ftc began its inquiry. While we disagree with the ftc’s allegations and deny violating the law, this settlement resolves this matter so we can focus on innovating on behalf of our customers."
Amazon published blog posts responding to both settlements on its sites. The company says it has built robust privacy protections into its children’s products and services.
You can find the Ring blog post here and the Amazon post here.
