A groundbreaking Federal Trade Commission (FTC) report has revealed the extent to which major tech companies have been collecting and sharing personal information on users, sparking calls for urgent regulatory action. From Facebook to TikTok, the FTC’s investigation exposes a widespread culture of “surveillance capitalism” where user data is a primary commodity.

Key Details:

  • Widespread Data Collection: The FTC scrutinized nine companies — Facebook, WhatsApp, YouTube, Discord, Reddit, Amazon, Snap, TikTok, and Twitter/X — revealing aggressive data tracking between January 2019 and December 2020.
  • Personal Data as Currency: These platforms collect user data, including demographics, behaviour, and inferred traits (such as parental and marital status), to increase engagement and deliver targeted ads.
  • Limited User Control: Nearly all companies provided limited or no options for users to fully opt out of data collection, leaving personal information vulnerable.
  • Opaque Third-Party Sharing: None of the companies could provide a full inventory of third parties they share data with, obscuring how much personal information is leaked beyond user control.
  • Inadequate Data Deletion: Some companies failed to delete user data upon request, violating both privacy expectations and laws. Even those that did often only partially complied.
  • Teen Privacy Overlooked: Many firms, despite widespread use by minors, did not apply specific data protection policies for users under 18, exposing them to the same data practices as adults.
  • Calls for Legislative Action: The FTC urged Congress to pass stronger privacy laws, noting that current self-regulation among tech companies is woefully insufficient and incentivizes continued user surveillance for profit.

The FTC’s report exposes how deeply embedded data collection is in the business models of tech giants. With privacy concerns rising, lawmakers are now under increased pressure to enact stronger regulations, ensuring companies prioritize user protection over profits.