Google has agreed to pay a record $22.5-million civil penalty to settle charges that it bypassed Apple users' privacy settings to track their online activities, the U.S. Federal Trade Commission (FTC) announced on Thursday.
The settlement is part of the FTC's ongoing efforts to make sure
companies live up to the privacy promises they make to consumers,
and is the largest penalty the government agency has ever obtained
for a violation of a Commission order, the FTC said in a statement.
The FTC also requires Google to disable all the tracking software
it had said it would not place on consumers' computers.
The charges and the fine by the FTC came after reports in
February that Google made an end run around a privacy setting in
Apple's Safari browser, the default browser for iPhone, iPad, iPod
and Macintosh users, in order to track users' online activities.
It was found by a graduate student at Stanford University and
first reported by The Wall Street Journal.
Google has said the tracking was inadvertent and caused no harm
to Safari users. But the FTC believed that the Internet search giant
violated a deal it reached with federal regulators last October, in
which the FTC "bars the company from future privacy
misrepresentations."
"The record setting penalty in this matter sends a clear message
to all companies under an FTC privacy order," said Jon Leibowitz,
Chairman of the FTC, in a statement.
"No matter how big or small, all companies must abide by FTC
orders against them and keep their privacy promises to consumers, or
they will end up paying many times what it would have cost to comply
in the first place."
In an email statement to the U.S. media, Google said it "set the
highest standards of privacy and security" for its users. The search
giant added that the FTC investigation is focused on a web page in
2009, two years before it reached the "future privacy
misrepresentations" deal with the agency in 2011.
"We have now changed that page and taken steps to remove the ad
cookies, which collected no personal information, from Apple's
browsers," said Google.
According to the FTC, cookies are small pieces of computer text
that are used to collect information from computers and can be used
to serve targeted ads to consumers.
By placing a tracking cookie on a user's computer, an advertising
network can collect information about the user's web- browsing
activities and use that information to serve online ads targeted to
the user's interests or for other purposes.
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Google to Pay Hefty Fine for Violating Apple Users' Privacy
Aug. 10, 2012
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Source: Copyright Xinhua News Agency - CEIS 2012
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