Social media users have no control over data used by AI, says US FTC

Social media companies collect, share and process vast amounts of information about their users while providing little transparency or control, including over how the information is used by artificial intelligence systems, the U.S. Federal Trade Commission (FTC) said in a report published on Thursday.

The report analyzed how Meta Platforms, ByteDance’s TikTok, Amazon’s gaming platform Twitch and others manage user data, finding that data management and retention policies at many of the companies were “woefully inadequate.” YouTube, social media platform X, Snap, Discord and Reddit were also included in the FTC’s report, though the findings were anonymized and did not reveal the practices of specific companies. YouTube is owned by Alphabet’s Google.

According to the FTC, social media companies collect data through tracking technologies used in online advertising, purchasing information from data brokers, and other means.

“While these surveillance practices are lucrative for the companies, they can compromise people’s privacy, jeopardize their freedoms, and expose them to a range of dangers, from identity theft to stalking,” said FTC Chair Lina Khan.

Data privacy, especially for kids and teens, is a hot topic. The U.S. House of Representatives is considering bills passed by the Senate in July to address the effects of social media on younger users. And Meta recently rolled out teen accounts that include enhanced parental controls.

Meanwhile, Big Tech companies are busy acquiring data sources to train their emerging artificial intelligence technologies.

The data transactions are rarely disclosed and often involve private content stored behind paywalls and login screens, without the users who posted the content being notified.

In addition to collecting data about how users use their services, most of the companies the FTC studied also collected or guessed users’ age and gender based on other information.

According to the FTC, some also collected information about users’ income, education and family status.

Companies collected data on people who did not use their services. Some companies also failed to identify all the ways they collected and used data, the FTC said.

Specific findings

Social media users have no control over data usage

Social media companies collect data through tracking technologies used in online advertising and purchasing information from data brokers

Most companies collected users’ age and gender or guessed it based on other information

Some also collected information on users’ income, education and family situation

Companies collected data on people who did not use their services

Some were unable to identify all the ways in which they collected and used data

First publication: Sep 20, 2024 | 12:48 PM IST