Regulators have reached a tipping point with Facebook after years of half-measures regarding the social media giant’s security-related missteps. Now, regulators across four continents are attempting to reign in Facebook’s behavior. In the United States, the Federal Trade Commission hasn’t come to a decisive conclusion regarding what constraints to implement, but the agency is looking to address a wide range of issues, including violations reported almost monthly, according to a source close to the investigation.

Continue reading Global Regulators Looking Into Facebook Privacy Practices

In its first quarter earnings report yesterday, Facebook revealed that it is putting aside $3 billion (about 6 percent of its cash and marketable securities) in anticipation of an upcoming fine from the Federal Trade Commission regarding privacy violations. The penalty, which could become the highest of its kind against a tech company by U.S. regulators and the biggest privacy-related fine in the FTC’s history, is expected to run from $3 billion to $5 billion. The social media giant posted more than $15 billion in revenue, a 26 percent increase over the year-earlier period. Continue reading Facebook Planning to Face FTC Fine in Excess of $3 Billion

At the TIME 100 Summit in New York, Apple chief executive Tim Cook said that technology needs to be regulated to protect privacy, noting that, “we have to admit that what we’re doing isn’t working.” He suggested to U.S. regulators that Europe’s General Data Protection Regulation (GDPR), which was passed in 2018, is “a step in the right direction,” and added that Europe should continue to evolve the GDPR. Having taken the helm of Apple from founder Steve Jobs in 2011, Cook has become a prominent Silicon Valley leader. Continue reading Apple’s Tim Cook Makes Case For U.S. Regulation of Tech

According to sources, the Federal Trade Commission, which is investigating Facebook for mishandling of personal data, is also taking a close look at co-founder/chief executive Mark Zuckerberg and deciding if and to what degree he should be held personally responsible. Should the FTC move in this direction, it would be a major new challenge for the Silicon Valley company and a personal censure of Zuckerberg. At the same time, Facebook just revealed it botched the safeguarding of millions of Instagram passwords. Continue reading FTC Examining Zuckerberg’s Personal Role in Data Lapses

Autocratic countries are moving towards China’s version of the Internet — limited content and controlled data — as a way of ensuring their own continued power and mimicking the success of Chinese corporations such as Alibaba Group and Tencent Holdings. Vietnam, Thailand, India and Russia are among those embracing a government-controlled model. China has also become the first government to intentionally use artificial intelligence for racial profiling, in this case its 11 million Uighurs, a Muslim minority group. Continue reading China’s Internet Model Gains Popularity Among Autocracies

Facebook is under investigation by the Federal Trade Commission (FTC), the Securities and Exchange Commission (SEC), the Justice Department and the Department of Housing and Urban Development (HUD) for numerous potential civil and criminal violations. The Silicon Valley company, which denies the charges, said it is cooperating with law enforcement. The HUD investigation, the most recent, states that Facebook allowed advertisers to restrict who they target, based on race, religion and national origin. Continue reading Federal Agencies Investigate Facebook for Legal Violations

European regulators yesterday fined tech giant Google 1.5 billion euros (about $1.7 billion U.S.) for violating antitrust rules in the online ad market. This marks the European Union’s third fine against Google since 2017. As part of its larger efforts to better regulate global technology powerhouses, EU authorities took action based on their contention that Google has been imposing unfair terms on those companies in Europe that use the Google search feature on their websites. In the U.S., regulators are also taking a closer look at business models and mergers involving big tech companies. Continue reading EU Fines Google $1.7B for Antitrust Violations in Ad Market

Senator Elizabeth Warren (D-Massachusetts) aims to be the Democratic Party’s candidate for the 2020 U.S. presidential election, but she just alienated Silicon Valley when she proposed to break up tech companies that generate more than $25 billion in online revenue. Her rationale is that companies such as Amazon, Facebook and Google have become too big and too powerful, squashing small businesses and innovation, and more focused on their financial well-being than “the broader interests of the American people.” Continue reading Elizabeth Warren Looks to Break Up Major Tech Companies

The French government introduced a three percent tax on the revenue of technology companies such as Google and Amazon that offer e-commerce or targeted advertising in France. Experts estimate that the tax could reap “billions of dollars” from Silicon Valley companies. The tax is also likely to come up as a topic of conversation in U.S. and European talks, convened by the Organization for Economic Cooperation and Development (OECD), about corporate taxes in the digital age. Europe is pushing to tax Silicon Valley companies on profits made there. Continue reading France Slated to Impose Tax on Digital Companies’ Revenue

The U.S. Government Accountability Office (GAO), an auditing agency, issued an independent report that encouraged Congress to develop an Internet data privacy legislation similar to the European Union’s General Data Protection Regulation (GDPR). The House Energy and Commerce Committee requested this GAO report two years ago; a February 26 hearing will discuss the report’s findings and the possibility of drafting such legislation. Prospects for such a law now is weaker due to partisan divides over federal regulation. Continue reading GAO Report Suggests GDPR-Like Internet Data Privacy Law

At the World Economic Forum in Davos, Switzerland, several countries’ leaders called for a global regulation of technology. Japanese Prime Minister Shinzo Abe, whose country is chair of the Group of 20 nations (G20) this year, said he would push for an international system to oversee use of data when the group meets for its annual June summit in Osaka. Abe he would like the Osaka G20 to be “the summit that started worldwide data governance,” with a focus on expanding World Trade Organization rules to include data. Continue reading At Davos, a Call for Worldwide Oversight of Tech, Including AI

Google and Facebook had a rough 2018 regarding data privacy, but the advertisers haven’t abandoned the two tech giants and their profits continue to soar. This year may be even tougher as concern about privacy grows. In fact, French regulators levied a 50 million Euro (about $57 million) fine on Google, for not clearly disclosing how data collected across its sites are used to personalize ads. Experts believe the behavior of big tech companies will be a “major topic” at the upcoming World Economic Forum in Davos, Switzerland. Continue reading Google Fined 50 Million Euros Under EU’s New Privacy Laws

During CES, Gigaom publisher Byron Reese discussed the ideas in his latest book, “The Fourth Age: Smart Robots, Conscious Computers and the Future of Humanity” with CTA’s Cindy Stevens. Reese’s previous three ages are Language and Fire; Agriculture and Cities; Writing and Wheels. But robotics and conscious computers, said Reese, divide people into two groups. “People like Stephen Hawking see AI as an existential threat,” he said. “Whereas Mark Zuckerberg and others think that’s ridiculous and can’t fathom that point of view.” Continue reading CES: A Look at Robots, Conscious Computers and Humanity

In the wake of tech giants Amazon and Apple detailing their latest expansion plans, Google unveiled specifics regarding its planned facilities in New York City. The company, which currently employs more than 7,000 people in New York, announced it plans to spend $1 billion on its new Google Hudson Square campus, which will provide more than 1.7 million square feet of space in lower Manhattan. “We will have the capacity to more than double the number of Googlers in New York over the next 10 years,” explained Ruth Porat, SVP and CFO of Google and Alphabet.  Continue reading Google Commits $1 Billion to New York City Expansion Plans

Apple announced yesterday that it plans to spend $1 billion on a new campus in Austin, Texas to accommodate up to 15,000 employees. Over the next three years, the company also plans to add hundreds of workers to its offices in Boulder, Colorado; Pittsburgh, Pennsylvania and New York, while opening 1,000-worker operations in Culver City, California; Seattle, Washington and San Diego, California. Major tech players such as Apple, Amazon and Google are increasingly moving beyond Silicon Valley as part of strategic expansion plans and the ongoing search for new tech talent. Continue reading Apple Reveals Plans for Texas Campus and Major Expansion