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Avoiding Outages and Preventing Widespread System Failures

Staff at the FTC
As with previously discussed security principles, many common types of software flaws can be preemptively addressed through systematic and known processes that prevent or minimize the likelihood of outages.

Don’t waste your energy on a solar scam

Larissa Bungo
Senior Attorney
Solar energy and other high efficiency home improvements can help reduce energy consumption and lower utility costs for homeowners. As going solar or using clean or renewable energy gets more popular, bad actors have joined the movement, too. Be aware of solar energy scams – everything from scammers pretending to be affiliated with the government or utility company to businesses misrepresenting the cost of improvements, savings, and financing...

No, hashing still doesn't make your data anonymous

Staff in the Office of Technology
The Federal Trade Commission routinely evaluates the privacy representations a company makes against their data handling practices. [1] When discrepancies arise between claim and reality, incorrect assertions about data identification are often to blame. Companies often claim and act as if data that lacks clearly identifying information is anonymous, but data is only anonymous when it can never be associated back to a person. If data can be used...

Behind the FTC’s Inquiry into Surveillance Pricing Practices

FTC Staff
For thousands of years, from ancient Mesopotamian markets to the modern-day yard sale, sellers have set their prices based, in part, on who was buying. In these transactions, prices can be targeted based on information the seller has about that customer, like their home address, their shopping history, or demographic makeup. Technology has boosted sellers' ability to gather consumer data en masse. Early market research firms developed “Audimeters...

On Open-Weights Foundation Models

Staff in the Office of Technology
The history of traditional open-source software provides a vision of the value that could result from the availability of open-weights AI models – including enabling greater innovation, driving competition, improving consumer choice, and reducing costs. Understanding these models, including their upsides and risks, can help realize potential competition benefits and avoid consumer harm. [1] Open-source software (OSS) has provided significant...

Anonymous messaging app targeting teens: Read the disturbing allegations in FTC and Los Angeles DA action against NGL

Lesley Fair
An anonymous messaging app marketed to kids and teens: What could possibly go wrong? A lot, allege the FTC and the Los Angeles District Attorney’s Office. A complaint against NGL Labs and founders Raj Vir and Joao Figueiredo alleges violations of the FTC Act, the Children’s Online Privacy Protection Rule (COPPA), the Restore Online Shoppers’ Confidence Act (ROSCA), and the California Business and Professions Code. The company also made AI-related claims the complaint challenges as deceptive. The $5 million financial settlement merits your attention, but it’s the permanent ban on marketing anonymous messaging apps to kids or teens that’s particularly notable.

Avoid fireworks: Look to the FTC for help with your Made in USA claims

Julia Solomon Ensor
Regular readers know that when it comes to false “Made in USA” claims, the FTC means business. Lying about product origin hurts consumers, honest businesses, and American workers. That’s why we keep suing companies that don’t play by the rules, assessing penalties where appropriate, and returning money to consumers when we can.

The specs on specs: What eye doctors need to know about the FTC’s revised Eyeglass Rule

Lesley Fair
After a careful review process inviting feedback from consumers and industry members, the FTC has announced final updates to its Ophthalmic Practice Rules, also known as the Eyeglass Rule. The primary focus of the revised Rule is to increase compliance with the longstanding requirement that ophthalmologists and optometrists provide patients with a free copy of their prescription immediately following a refractive eye exam.

Global Perspectives from the International Competition Network Tech Forum

Staff in the Office of Technology
In March, the Federal Trade Commission hosted the first-ever Technology Forum by the International Competition Network (ICN) members in Washington, D.C. The forum brought together 21 competition agencies spanning the globe from Brazil and Japan to South Africa and Sweden. During the two-day event, representatives from these agencies engaged in discussions about tech- related topics including artificial intelligence (AI), commercial surveillance...

Who’s who in scams: a spring roundup

Emma Fletcher
Scammers are all about spinning lies, but they still operate in the real world. Many scammers pretend to be well-known businesses to gain trust and make their stories seem more believable. [1] , [2]And scammers use real-world methods to contact people and to get paid. Reports to the FTC’s Consumer Sentinel Network point to some of their favorites. Let’s start with the most-impersonated companies. According to 2023 reports, Best Buy’s Geek Squad...