FTC issues scathing report on data gathered by tech companies: Hashtag Trending for Wednesday, September 25, 2024

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Businesses may be shifting their focus from cost cutting to revenue growth, Kaspersky exits the North America market by installing new software on customers computers and the FTC issues a huge and scathing report on the amount of information big tech companies collect on all of us.

These top tech news stories and more on Hashtag Trending. I’m your host, Jim Love, let’s get into it.


For those of you watching the YouTube version of our show, it’s true. It’s officially fall when we move from t-shirts back to our “men in plaid” wardrobe. 

CGI Voice of Our Clients 2024: Digital Transformation Insights

CGI’s latest Voice of Our Clients survey, covering over 1,800 executives, reveals key trends in digital transformation across industries.

Founded in Canada in 1976, CGI is among the largest independent IT and business consulting services firms in the world. With 90,000 consultants and professionals across the globe. 

The survey has some key findings: 

First, while companies continue to look for efficiencies, they are shifting focus from cost savings to revenue growth.

Second, these companies believe that  business and IT departments are finally aligning more closely to support shared goals.

Third, organisations who have successfully implemented digitization strategies are outpacing their peers in a number of  areas inlcuding data management, system modernization, and AI adoption.

The survey identifies top trends and priorities:

  • Technology and digital acceleration leads as the top macro trend.
  • Climate change and sustainability is the primary industry trend.
  • Driving revenue growth is now the top business priority.
  • For IT, the main focus is managing, modernizing, and streamlining the IT landscape.

This final point may reflect the growing realisation that technical debt – ageing systems are not just a security nightmare, but they are holding back corporate progress and require attention and investment. 

The impact of the digital transformation efforts of companies has mixed results.

  • 80% of respondents report high impacts of digitization on their business model.
  • 93% have a defined digitization strategy.
  • However, only 34% are achieving expected results from these strategies.

Finally the report looks at the impact of generative AI, again with mixed results:

In the AI realm, 79% are exploring generative AI, but only 26% having implemented AI and some of these projects would be classed as traditional AI.

For more information from this survey, we have a link in our show notes. .

Source: CGI Voice of Our Clients 2024 report

CGI Voice of Our Clients | CGI.com

Kaspersky, the Russian cybersecurity firm, has unexpectedly removed its antivirus software from U.S. customers’ computers, replacing it with UltraAV without prior notification. This action follows the U.S. government’s decision to add Kaspersky to its Entity List and ban sales of its software from September 29, 2024.

The switch, executed through an automatic software update, caught many users off guard. Some initially feared a malware infection, while others reported difficulties removing the new software. One user described the experience: “I woke up and saw this new antivirus system on my desktop and Kaspersky was gone. I was concerned that my desktop somehow had a virus.”

UltraAV, the replacement software, is owned by Pango Group, which controls multiple VPN brands. Little is known about UltraAV’s capabilities or track record in the cybersecurity market.

Kaspersky maintains this move ensures “continued protection” for U.S. customers. A company employee explained: “This update ensured that users would not experience a gap in protection upon Kaspersky’s exit from the market.”

If it was to have been a sign that Kaspesky cared about its customers and wanted them protected, it seems to have failed, and left them with a clumsy exist from the market. If it was a purchase of Kasperskies business, which frankly seems more likely, it apparently didn’t leave a great first impression. 

We have no idea who they are or what capabilities UltraAV has, and we presume that the same holds true for most of those who got the new software. It’s baffling that they would think that this most trusted relationship could be handled in this way. 

Sources include: BleepingComputer

Staggering surveillance by major tech companies.

A new FTC report called a “Look Behind the Screens”  reveals what it calls  “simply staggering” surveillance practices by major tech companies. The study examined nine leading social media and video streaming services: Amazon’s Twitch, Meta’s Facebook and Instagram, YouTube, X (formerly Twitter), Snapchat, TikTok, Discord, Reddit, and WhatsApp.

A Look Behind the Screens: Examining the Data Practices of Social Media and Video Streaming Services | Federal Trade Commission (ftc.gov)

Companies collect extensive personal data, far more than most people think possible, including browsing history, location, and even religious beliefs  Their collection is often hidden with many use hidden pixels to track users across other websites

  • Some firms couldn’t identify all collected data points or third-party data sharing
  • Algorithms and AI are widely applied to user information with little oversight

The FTC strongly criticizes these practices, stating:

“Predicting, shaping, and monetizing human behavior through commercial surveillance is extremely profitable.”

The report highlights inadequate protections for children and teens, noting that many aren’t covered by existing regulations like COPPA.

FTC Chair Lina Khan emphasizes the urgency, saying:

“Our privacy cannot be the price we pay to accomplish ordinary basic daily activities.”

IT professionals should prepare for potential new legislation on data transparency and youth protection, as the FTC concludes self-regulation is insufficient.

Sources include: Malwarebytes Labs, FTC report “A Look Behind the Scenes: Examining the Data Practices of Social Media and Video Streaming Services”

https://www.theregister.com/2024/09/24/google_online_tracker/

And another story related to user privacy made it to our attention. To set the context of this, Last week Pavel Durov, CEO of Telegram announced that he would now be providing information about users of the system to law enforcement. Telegram has been the poster child for refusing to give up information about its users. 

We’ve covered other stories about how frequently,  the major tech providers will provide information – on average almost three quartes of all requests are honoured. 

Taking into consideration the FTC’s report on how much information companies hold on us, puts focus on another action, in the state of Texas, where the Electronic Frontier Foundation is going to the Texas Supreme Court. 

I’ll point out that its difficult to question the intent of the Texas legislation. It aims to prevent minors from accessing sexually explicity content – a laudable aim. But the EFF is fighting that legislation claiming that it’s execution is flawed and that it isn’t about just about one state – the ruling could reshape how we all access the internet.

Texas law HB 1181 requires websites with a third or more “sexual material” to verify users’ ages. Sounds simple, right? Not so fast, says the EFF.

Lisa Femia, an EFF attorney, puts it bluntly: “This law strips away online anonymity, puts users’ privacy at risk, and blocks adults from accessing perfectly legal content.”

The EFF argues that whether it’s showing an ID or using new “age estimation” tech, these checks create more problems than they solve. They’re urging the Supreme Court to strike down the law, saying it violates free speech and doesn’t actually protect kids.


The EFF maintains that not only does this law force collection of private information, but it can force the companies to retain that information. And besides the obvious risk of security breaches and data being stolen, there is the other issue of how easily governments and agencies are able to obtain information about people from the sites they use.

It’s just another piece of what is becoming a huge issue about how our private data is collected and used.  Whatever the outcome, it’ll likely influence how we approach both age verification and data protection in the future.

We’ll keep you updated as this case moves through the Supreme Court. 

Sources include: Electronic Frontier Foundation press release

And that’s our show. There are links to all the reports on our show notes at TechNewsDay.com 

Thanks for listening. I’m your host Jim Love,  Have a wonderful Wednesday.

 

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