Topic: Consumer Privacy

Google agreed to pay $85 million to settle a lawsuit brought by the Arizona Attorney General over deceptive location tracking practices. The investigation found that Google continued to track users even when "location history" was turned off, using the data to sell targeted advertisements. This marks one of the largest per-capita settlements for consumer fraud in Arizona history.

Oracle's acquisition of Acxiom has created one of the world's largest aggregators of consumer data, maintaining detailed dossiers on billions of people. These dossiers include purchase histories and financial data, which are sold to automotive, pharmaceutical, and financial companies for targeted marketing.

The hosts discuss how Facebook partners with third-party data brokers to acquire information on users' offline activities, such as grocery purchases and traffic patterns. This data is more valuable to marketers than personal chat logs or photos. The segment explains that this integration of real-world commercial data is what allows for highly targeted advertising that often feels like the app is "listening."

A news report details Facebook's decision to drop its opposition to the California Consumer Privacy Act, a ballot measure designed to give consumers more control over personal data. Google continues to oppose the measure through a committee claiming the law would harm the California economy.

A lawsuit against Bose alleges the company's "Connect" app spies on users' listening habits and creates detailed profiles without consent. This leads to a discussion on how tech companies are "blackballed" by journalists and the industry when they become overly litigious or anti-consumer.

President Obama signed an executive order encouraging the development of Information Sharing and Analysis Organizations (ISAOs). The administration supports legislation to provide private companies with civil and criminal liability protection when they share user data with the government. This is criticized as a move that strips citizens of legal recourse against corporations that compromise their privacy.

The White House introduced a proposed Consumer Bill of Rights to coincide with National Consumer Protection Week. The proposal focuses on how companies retain and share consumer data, though critics argue it functions more as a cyber-sharing agreement than a protection against financial scams. A personal anecdote regarding poor service at Capital One serves as a counterpoint to the focus on data privacy.

Bloomberg News reported that hospitals are purchasing consumer data from brokers to predict patient illness and treatment costs. This data is harvested from drugstore and grocery store loyalty cards, tracking every transaction a consumer makes. The hosts warn that this information is shared with insurance companies to potentially adjust rates based on purchasing habits, such as food choices.