On April 12 , 2018 Uber reached an expanded settlement agreement with the Federal Trade Commission ("FTC") over charges of misrepresentation of data privacy practices.
Ultimately, firms can use data privacy practices to protect themselves from the spillover effects of competitors' privacy failures, but their efforts to do so need to be meaningful.
Plus, FTC officials have presumably have had some visibility into the company's data practices since 2011, when the consent decree mandated that the FTC monitor Facebook's data privacy practices.
More broadly, the tech industry is facing an intense backlash over its data privacy practices, with some members of Congress proposing legislation that would place new restrictions on how tech companies collect and use customer data.
In our study, firms that failed to explain their data privacy practices had a 1.5 times larger drop in stock price than firms with high transparency, while firms that provided customers high control had no significant change in their stock price after a data breach.
Employees' influence within technology corporations is growing; present and past Facebook employees (including former president Sean Parker) likewise have publicly condemned the company's leadership for its lax data privacy practices; at Google some employees have left the company in protest of its policies.
In Europe in particular, Facebook has been faced with increased demands to tighten data privacy practices.
And despite continued scrutiny for its arguably flawed data privacy practices, it has continued to produce first-rate results.
The new critique also has drawn in early champions of Big Data such as Alex Sandyy" Pentland and David Shrier of MIT's Media Lab, who were early proponents of ethical data privacy practices.
We need to have a conversation about what companies are doing and about how edtech data privacy practices should be regulated.
(Given, for example, concerns flagged about its data privacy practices by one of the DCMS committee's recent reports — following an inquiry investigating digital campaigning).
