The web-only e-retailer of home furnishings has been on a fast growth trajectory, with web sales reaching $1 billion in 2013. Wayfair has raised ...
Google settles a privacy dispute with the FTC
Google Inc. has agreed to settle a charge levied by the Federal Trade Commission that the search giant violated a settlement the two groups agreed to last October. Google will pay a $22.5 million civil penalty to settle the charges.
Google disabled the ad code and began removing the tracking cookies at issue after news articles revealed the practice in February. A spokeswoman at the time said that Google hadn’t anticipated that the use of the first cookie would allow for the installation of more, and that news articles had mischaracterized Google’s actions.
Still, the practice ran against what Google told Safari users on a help page that detailed how to block advertising cookies. Because of that, Google violated its previous agreement with the FTC, the agency says. That agreement said Google had to ensure that users of its products are fully aware of how their personal information will be used, and barred Google from misrepresenting how much control consumers had over the collection of that information. The FTC complaint says Google told Safari users they did not have to change their default settings in Safari because the default setting already blocked Google ad tracking cookies.
“The record-setting penalty in this matter sends a clear message to all companies under an FTC privacy order,” says Jon Leibowitz, chairman of the FTC, in announcing the settlement. The FTC says the settlement terms do not constitute an admission of wrongdoing by Google.
“We set the highest standards of privacy and security for our users,” a Google spokeswoman says. “The FTC is focused on a 2009 help center page published more than two years before our consent decree, and a year before Apple changed its cookie-handling policy. We have now changed that page and taken steps to remove the ad cookies, which collected no personal information, from Apple’s browsers.”