The US Federal Trade Commission (FTC) has released a report criticising social media companies for their inadequate data management practices, particularly regarding transparency and control over how user information is collected, shared, and processed by artificial intelligence systems.
The report highlighted platforms like Meta Platforms, ByteDance’s TikTok, Amazon’s Twitch, and others for falling short in protecting user privacy.
The FTC found that many companies employ insufficient data retention policies, while some were unable to fully identify the ways they collect or use data. Although specific companies’ practices were anonymised in the report, platforms including Google’s YouTube, X, Snap, Discord, and Reddit were also scrutinised.
According to the report, these platforms gather data through various means, including tracking technologies used for advertising and purchasing data from brokers. FTC Chair, Lina Khan, expressed concerns that while these practices are lucrative for companies, they pose significant privacy risks, exposing users to potential harms like identity theft and stalking.
The report also noted that social media companies are in a race to acquire vast amounts of data to fuel the development of AI technologies. These data transactions often involve private content, sometimes without user consent. Many platforms also collect data about users’ age, gender, income, and family status, and even gather data on individuals who do not use their services.
The issue of data privacy, especially for younger users, has gained increasing attention. The US House of Representatives is considering bills to address social media’s impact on children and teens. In response, Meta recently introduced its teen accounts initiative with enhanced parental controls.