Amazon has agreed to pay $30.8 million to settle complaints involving its Ring video doorbell unit and the retention of children’s Alexa voice recordings.
The Federal Trade Commission (FTC) alleged an employee at Ring accessed thousands of video recordings of female users, including intimate spaces within their homes.
The FTC also stated Ring failed to implement security measures to protect consumer information from hacking attacks.Â
Read More: Amazon employees call for better flexibility in latest strike
As part of the settlement, Amazon will pay $5.8 million for the Ring complaint and $25 million for violating the Children’s Online Privacy Protection Act.
In response to the settlement, Amazon denied violating the law but agreed to minor modifications to its practices.Â
It said it would remove inactive child profiles and will no longer retain voice recordings and geolocation data for an extended period unless requested by parents or guardians.
While Amazon disagrees with the FTC’s claims, it intends to put these matters behind it and move forward.
Read More: P&G and Honeywell settle discriminatory job ads claims
The FTC commissioners highlighted the importance of companies properly handling data, particularly in the context of machine learning and artificial intelligence.Â
The settlements aim to send a message breaking the law cannot be justified by technological advancements.
Under the terms of the settlements, Amazon must delete inactive child accounts, certain voice recordings, and geolocation information.
The company is also prohibited from using this data to train its algorithms or enhance its products.
Additionally, Amazon must implement a new privacy and security program for Ring, including multifactor authentication for employees and customers.
Need Career Advice? Get employment skills advice at all levels of your career
Approval by a federal judge is necessary for both settlements to take effect.
Ring, acquired by Amazon in 2018, sells internet-connected home-security cameras and related services, promoting enhanced home security and peace of mind.
The FTC complaint alleges Ring deceived customers by allowing unauthorized access to video recordings and failing to adopt standard security measures.
The settlements remind companies to prioritize data protection and privacy, especially as technological advancements accelerate.
