US FTC Highlights Lack of User Control Over Data Mined by AI on Social Media!

Social media companies collect, share, and process vast amounts of information about their users while offering little transparency or control, especially over how artificial intelligence systems use this data, the U.S. Federal Trade Commission (FTC) said in a report released on Thursday.

FTC staff report finds large social media and video streaming companies have engaged in vast surveillance of users with lax privacy controls and inadequate safeguards for kids and teens 1/https://t.co/75uaFnxiHU

— FTC (@FTC) September 19, 2024

The report analyzed data management and retention policies at major companies, including Meta Platforms, ByteDance’s TikTok, Amazon’s gaming platform Twitch, YouTube, social media platform X, Snap, Discord, and Reddit. It concluded that many of these policies were “woefully inadequate.”

The FTC’s investigation revealed that companies gather data through tracking technologies, purchasing information from data brokers, and other means, often without users’ knowledge.

FTC, protection is needed for people of all ages.

— RadReduction (Larry Edwards) (@RadReduction) September 20, 2024

It criticized the platforms for retaining user data indefinitely and highlighted the lack of robust data minimization practices. This means companies collect and keep more personal information than necessary, increasing the risk of privacy breaches and cybersecurity threats.

In many cases, users have minimal ability to opt out of these invasive data practices.

Require the companies to publish monthly active user numbers, make the document public. Tax these companies based on the active users. If they report fewer users than actual: Advertisers will rely on the published lower active user number to pay these companies. Modern solutions

— Nishantha Ruwan (@NishanthaRuwan8) September 19, 2024

The report also underscores the failure of these platforms to provide adequate privacy protections for children and teenagers, with the FTC calling for Congress to pass enhanced privacy legislation.

These recommendations echo European Union-style protections under the Digital Services Act, which mandates more explicit user consent for data use and restricts data collection from younger users.

Social media platforms are profiling future generations. It’s not just they are kids and teens now, but that when they grow up they will have had their most intimate and candid preferences from younger age stored at social media businesses.

— mdgrkb (@mdgrkb) September 20, 2024

Social media companies often collect data about non-users and struggle to identify all the ways they gather and utilize information.

The FTC noted that these surveillance practices pose major risks, including identity theft, stalking, and other privacy violations.

Data privacy, particularly for kids and teens, has become a critical issue, with legislative efforts underway to address social media’s effects on younger users.

Recently, Meta introduced enhanced parental controls for teen accounts. However, Big Tech companies continue to acquire private data for training AI technologies, often without users’ consent or knowledge.

That’s going to result in a small fine, they will consider the cost of doing business.

— Joey R Johnson (@Johnson__joey) September 19, 2024

The FTC report points out that many platforms collect basic engagement data and users’ age, gender, and inferred characteristics such as income, education, and family status.

Even individuals who do not use these services are often swept up in this vast data collection network, which can involve private content locked behind paywalls and login screens.

Ummm what did you think they were doing the whole time? Enhancing social cohesion?

— Geoff K (@OniCtwin) September 19, 2024

Social media companies and industry groups have pushed back against the FTC’s findings.

A spokesperson for X (formerly Twitter) argued that the report reflects outdated practices from 2020 and that improvements have been made.

How about these companies paying us to use our data???

— Peter Cote (@windsrfr68) September 19, 2024

Similarly, Discord noted that its business model differs from advertising-driven platforms, as it did not offer advertising when the study was conducted.

Advertising industry representatives criticized the FTC’s characterization of the digital advertising sector as engaging in “mass commercial surveillance.”

The FTC’s report, however, calls for stricter data management policies, urging companies to limit data collection, ensure data is deleted when no longer needed, and reduce data sharing with third parties.

Amazing discovery: water is wet. Tracking isn’t news.

— Zachary Simon (@SimoZachary) September 19, 2024

The FTC’s report highlights the urgent need for better data privacy protections and greater regulatory oversight of how social media and streaming platforms handle user data, particularly in the context of AI technologies.

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