CDD

CDD Filings

  • Advocates Charge Google with Deceiving Parents about Content on YouTube Kids

    App for preschoolers is rife with videos that are potentially harmful to children

    Washington, DC – Tuesday, May 19 – Two leading child and consumer advocacy groups have filed an important update to their Federal Trade Commission complaint against Google’s YouTube Kids app for false and deceptive marketing. In a letter sent to the Commission today, the groups charged that Google is deceiving parents by marketing YouTube Kids as a safe place for children under five to explore when, in reality, the app is rife with videos that would not meet anyone’s definition of “family friendly.” A review by the Campaign for a Commercial-Free Childhood (CCFC) and Center for Digital Democracy (CDD) has found a significant amount of content that would be extremely disturbing and/or potentially harmful for young children to view, including: Explicit sexual language presented amidst cartoon animation Videos that model unsafe behaviors such as playing with lit matches, shooting a nail gun, juggling knives, tasting battery acid, and making a noose A profanity-laced parody of the film Casino featuring Bert and Ernie from Sesame Street Graphic adult discussions about family violence, pornography, and child suicide Jokes about pedophilia and drug use Advertising for alcohol products CDD and CCFC provided a video (link is external) to the FTC today documenting an array of inappropriate content that can found on YouTube Kids. “Federal law prevents companies from making deceptive claims that mislead consumers," said Aaron Mackey, the coalition’s attorney at Georgetown Law's Institute for Public Representation. "Google promised parents that YouTube Kids would deliver appropriate content for children, but it has failed to fulfill its promise. Parents rightfully feel deceived by YouTube Kids." Google claims that YouTube Kids was “built from the ground up with little ones in mind” and is “packed full of age-appropriate videos.” The app includes a search function that is voice-enabled for easy use for preschool children. Google says it uses “a mix of automated analysis, manual sampling, and input from our users to categorize and screen out videos and topics that may make parents nervous.” Google also assures parents that they “can rest a little easier knowing that videos in the YouTube Kids app are narrowed down to content appropriate for kids.” But, as the complaint explains: Google does not, in fact, “screen out the videos that make parents nervous” and its representations of YouTube Kids as a safe, child-friendly version of YouTube are deceptive. Parents who download the app are likely to expose their children to the very content they believed they would avoid by using the preschool version of YouTube. In addition to the unfair and deceptive marketing practices we identified in our initial request for an investigation, it is clear that Google is deceiving parents about the effectiveness of their screening processes and the content on YouTube Kids. “In the rush to expand its advertising empire to preschoolers, Google has made promises about the content on YouTube Kids that it is incapable of keeping,” said Josh Golin, Associate Director of CCFC. “As a parent, I was shocked to discover that an app that Google claims is safe for young children to explore includes so much inappropriate content from the Wild West of YouTube.” Today’s letter is an update to the advocates’ April 7, 2015 FTC complaint that charged Google with engaging in unfair and deceptive practices towards children and their parents. That complaint detailed how YouTube Kids featured ads and other marketing material that took advantage of children’s developmental vulnerabilities. It also noted that the “blending of children’s programming content with advertising material on television has long been prohibited because it is unfair and deceptive to children. The fact that children are viewing the videos on a tablet or smart phone screen instead of on a television screen does not make it any less unfair and deceptive.” The complaint also called on the FTC to address the failure by Google to disclose that many makers of so-called “user-generated” videos featuring toys and candy have relationships with those product's manufacturers. “The same lack of responsibility Google displayed with advertising violations on YouTube Kids is also apparent in the content made available on the app,” observed Dale Kunkel, Professor of Communication at University of Arizona. “There is a serious risk of harm for children who might see these videos. It’s clear Google simply isn’t ready to provide genuinely appropriate media products for children.” Added Jeff Chester, executive director of CDD, “Google gets an 'F' when it comes to protecting America’s youngest kids. The failure of the most powerful and technologically advanced media company to create a safe place for America’s youngest kids requires immediate action by the FTC.” Today’s letter to the FTC is available below. The coalition’s original FTC complaint is available at http://bit.ly/1LeQHCN. The compilation of YouTube Kids video clips can be viewed at https://vimeo.com/127837914 (link is external).
  • Washington, DC – Tuesday, April 7 – A coalition of prominent children’s and consumer advocacy groups filed a complaint with the Federal Trade Commission (FTC) today requesting an investigation of Google, charging the company with unfair and deceptive practices in connection with its new YouTube Kids app. The complaint (link is external) details a number of the app’s features that take advantage of children’s developmental vulnerabilities and violate long-standing media and advertising safeguards that protect children viewing television. Among the specific practices identified in the complaint are: Intermixing advertising and programming in ways that deceive young children, who, unlike adults, lack the cognitive ability to distinguish between the two; Featuring numerous “branded channels” for McDonald’s, Barbie, Fisher-Price, and other companies, which are little more than program-length commercials; Distributing so-called “user-generated” segments that feature toys, candy, and other products without disclosing the business relationships that many of the producers of these videos have with the manufacturers of the products, a likely violation of the FTC’s Endorsement Guidelines. When it launched the YouTube Kids app in February, Google described it as “the first Google product built from the ground up with little ones in mind.” As the complaint points out, however, the company appears to have ignored not only the scientific research on children’s developmental limitations, but also the well-established system of advertising safeguards that has been in place on both broadcast and cable television for decades. Those important policies include (1) a prohibition against the host of a children’s program from delivering commercial messages; (2) strict time limits on the amount of advertising any children’s program can include; (3) the prohibition of program-length commercials; and (4) the banning of “product placements” or “embedded advertisements.” Such “blending of children’s programming content with advertising material on television,” the group’s complaint declares, “has long been prohibited because it is unfair and deceptive to children. The fact that children are viewing the videos on a tablet or smart phone screen instead of on a television screen does not make it any less unfair and deceptive.” The complaint also charges that Google is violating its own advertising policies for YouTube Kids. For example, while the company promises that food and beverage ads will not appear on the app, advertising and promotions for junk food are prominently featured throughout. “YouTube Kids is the most hyper-commercialized media environment for children I have ever seen,” commented Dale Kunkel, Professor of Communication, University of Arizona. “Many of these advertising tactics are considered illegal on television, and it's sad to see Google trying to get away with using them in digital media.” “There is nothing 'child friendly' about an app that obliterates long-standing principles designed to protect kids from commercialism,” added Josh Golin, Associate Director of Campaign for a Commercial-Free Childhood. “YouTube Kids exploits children’s developmental vulnerabilities by delivering a steady stream of advertising that masquerades as programming. Furthermore, YouTube Kids' advertising policy is incredibly deceptive. To cite just one example, Google claims it doesn't accept food and beverage ads but McDonald's actually has its own channel and the 'content' includes actual Happy Meal commercials.” Angela J. Campbell of the Institute for Public Representation at Georgetown Law, who serves as counsel to the coalition, called on the FTC to "investigate whether Disney and other marketers are providing secret financial incentives for the creation of videos showing off their products. The FTC’s Endorsement Guides require disclosure of any such relationships so that consumers will not be misled." “In today’s digital era, children deserve effective safeguards that will protect them regardless of the ‘screen’ they use,” explained Jeff Chester, Executive Director of the Center for Digital Democracy. “In addition to ensuring that Google stops its illegal and irresponsible behavior to children on YouTube Kids, new policies will be required to address the growing arsenal of powerful digital marketing and targeting practices that are shaping contemporary children’s media culture – on mobile phones, social media, gaming devices, and online video platforms.” Organizations signing the complaint include: the Center for Digital Democracy, Campaign for a Commercial-Free Childhood, American Academy of Child and Adolescent Psychiatry, Center for Science in the Public Interest, Children Now, Consumer Federation of America, Consumer Watchdog, Consumers Union, Corporate Accountability International, and Public Citizen
  • In December, CDD urged the FTC to reject the verifiable parental consent mechanism for COPPA (Children's Online Privacy Protect Act) proposed by AgeCheq. The comments are attached. Ensuring meaningful parental consent so their child's data can be gathered and used requires a robust and effective system. Parents need to understand precisely what data is collected and by what means; how it is to be used--now and in the future--as well as the business models and online marketing practices that can affect them. CDD and its attorneys at Georgetown Law Center found a range of problems with AgeCheq's submission. The commission should decline approving its parental system for COPPA. Yesterday, the commission announced (link is external) it agreed with CDD and rejected Agecheq's proposal. Eric Null, Staff Attorney at the Institute for Public Representation, Georgetown Law Center, which represented CDD, said that "We are pleased that the FTC followed CDD's recommendation to reject AgeCheq's application for a verifiable parental consent mechanism. This is a true victory for parents and children and sends the message that future applicants must ensure their system meets the COPPA standards."
  • Consumer, Children’s, and Privacy Groups Challenge Federal Trade Commission’s Proposed Settlement with TRUSTe (True Ultimate Standards Everywhere, Inc.) As Too Lenient Stronger Sanctions Needed for TRUSTe’s Violation of the Public Trust Consumers—Especially Parents—Materially Harmed by Years of Deception Washington, DC: The Center for Digital Democracy (CDD), through its counsel the Institute for Public Representation and on behalf of the American Academy of Child and Adolescent Psychiatry, Campaign for Commercial Free Childhood, Consumer Action, Consumer Federation of America, Consumer Watchdog, and The Rudd Center for Food Policy and Obesity, filed comments today at the Federal Trade Commission (FTC) in response to that agency’s proposed Agreement and Consent Order with True Ultimate Standards Everywhere, Inc. (“TRUSTe”). In November, after conducting an investigation, the FTC filed a complaint against TRUSTe, a company that has been issuing various “privacy seals” since 1997. The display of such seals indicate that a website has been reviewed annually by TRUSTe to ensure it is compliance with TRUSTe’s program requirements designed to protect consumer privacy. In fact, according to the FTC TRUSTe deceived consumers in two important respects. First, TRUSTe failed in over one thousand instances between 2006 and 2013 to conduct the annual re-certifications that it told consumers and the FTC it was conducting. Second, the company failed to require the companies using its privacy seals to change references to TRUSTe’s nonprofit status after it became a for-profit operation in 2008. As CDD’s filing makes clear, these violations are especially significant coming from a company that is entrusted with verifying the self-regulatory privacy-protection efforts of thousands of companies—including some of the biggest in the world—and covering such important areas of concern as the Children’s Online Privacy Protection Act (COPPA) and the EU-US Safe Harbor framework for transatlantic data transfers. Thus while the filing applauds the FTC’s enforcement action against TRUSTe, it finds the proposed sanctions—a $200,000 fine and additional recordkeeping and reporting requirements concerning the COPPA safe harbor program—to be far too lenient. “Safe harbors such as TRUSTe,” the filing points out, “play a pivotal role protecting children’s privacy by prohibiting the collection, use or disclosure of personal information without meaningful notice to parents and advance, verifiable parental consent, limiting the amount of data collected from children and protecting the security of data that is collected.” Unfortunately, because the FTC neither revealed the websites and services that were not properly re-certified, nor estimated the number of consumers who were affected by these violations, consumers—including parents concerned for their children’s privacy—are left wondering just how much meaningful privacy protection they have online. In addition to calling for a significant increase in the size of TRUSTe’s payment (citing individual companies that have paid as much as $1 million for their COPPA violations in the past), CDD’s filing called for all COPPA safe harbor reports (including those filed by TRUSTe) be made available to the public on the FTC’s website in a timely manner. Angela Campbell, co-director of the Institute for Public Representation, emphasized that “Parents rely on seal programs such as TRUSTe when deciding whether a particular website is appropriate for their children. Misrepresentations such as these have the potential to put millions of children at risk across potentially hundreds or thousands of child-directed websites. The FTC must do more to restore public trust in the COPPA safe harbor programs.” “The commission needs to stand up for children and their parents,” explained Jeff Chester, executive director of CDD. “If the FTC had adequately engaged in oversight of these programs, such problems would have been identified earlier,” he noted. “Those companies such as TRUSTe that have pledged to truly protect the privacy of American children should be required to make public how they actually determine whether online companies targeting kids engage in fair and responsible practices.” A copy of CDD’s FTC filing is available at www.democraticmedia.org. --30--
  • On 3 December 2014 a coalition of privacy and consumer groups sent a Joint Submission to APEC asking for significant changes to the APEC Cross Border Privacy Rules system (CBPRs). The submission is available here. (link is external) This joint submission follows a long period of opposition by civil society representatives to the first implementation of the CBPRs, which has now been operating in the US for 18 months. The submission raises concerns at the growing number of false claims of APEC certification and the absence of an official accurate list of members. One key aspect of the submission is that the signatories oppose the appointment of TRUSTe (link is external) as an Accreditation Agent for the CBPRs in the US, citing weaknesses in their program criteria, conflicts of interest, and the unacceptable use of fine print exclusions in TRUSTe certified privacy policies. The group calls on APEC to reform its CBPRs or close it down. The coalition includes: the Australian Privacy Foundation; the Canadian Internet Policy & Public Interest Clinic; the US Center for Digital Democracy; and the Electronic Privacy Information Center.
  • U.S. PIRG Education Fund and the Center for Digital Democracy (CDD) respectfully submit these additional comments to the Federal Trade Commission (FTC). A set of regulatory and other safeguards is urgently required to ensure that contemporary “Big Data”-driven financial services are used in an equitable, transparent, and responsible manner. All Americans, especially those who confront daily challenges to their economic security, should be assured that their lives will be enhanced—not undermined—by the new digital-data financial services marketplace. A closer critical examination of the commercial information infrastructure in the U.S. reveals a set of well-developed and interconnected data collection and use practices that few consumers are aware of—let alone have consented to. While the commission’s September 2014 workshop explored some of the key issues, it did not sufficiently examine the implications of current “Big Data” business practices. U.S. PIRG Education Fund and CDD urge the commission to issue a final report that addresses the issues we identify [see attached file].
  • Today was the deadline (link is external) for Comments to be filed in the President's Big Data and privacy proceeding. CDD filed the attached comments, and also joined with a NGO coalition on thie issue representing the civil rights, consumer and privacy communities. CDD's filing urged the following:The Obama Administration should offer legislation that ensures its Consumer Privacy Bill of Rights framework actually provides individuals with the control over how their personal information is collected and used. Individuals should have the ability to make meaningful decisions about their information, regardless of whether it is collected by a social network, mobile operator, app network, financial institution, etc.Legislation should provide regulatory rulemaking authority to the Federal Trade Commission (FTC) on consumer privacy issues to develop these new rights. Legislation should require the FTC to conduct the necessary proceedings leading to a rulemaking within one year from the enactment of legislation. The same legislation should also call on agencies that currently have rulemaking authority, including the Consumer Financial Protection Bureau (CFPB), the Federal Communications Commission (FCC) and the Food and Drug Administration (FDA), to immediately initiate proceedings on consumer financial, telecommunications, and digital health privacy, respectively. Other agencies with sectorial authority on privacy issues not covered by the FTC and others should also be mandated to develop regulations.The current “multistakeholder” process convened by the NTIA should be replaced by the relevant agency rulemakings. The legislation should acknowledge the threats that much of Big Data-related collection pose to Americans today, and strongly state that it is in the best interests of the nation that businesses refrain from their current practice of ubiquitous data collection and profiling. It should accept that self-regulation has failed.The FTC, CFPB, FCC, and FDA should be mandated to report to the Nation, within six months after legislation is enacted, on how commercial Big Data practices are currently being used in ways that may be harmful to the public and not in the national interest. These reports should identify how current practices can discriminate against Americans, based on their race/ethnicity, sexual orientation, income status, age, residence, and other key variables.Based on these reports, the agencies will propose special regulatory safeguards as required to address sensitive data concerns.
  • Today is the deadline for Comments to be filed for the White House's forthcoming report on "Big Data." NGOs pressed the Administration to include public comments during its 90-day inquiry that is led by Senior WH Counselor John Podesta. Our comments are attached. Here's an excerpt: The inability to implement basic privacy rules in the United States to address Internet data collection practices has resulted in the ubiquitous commercial surveillance landscape that today threatens the privacy of Americans—as well as those in the European Union and other countries where U.S. companies collect and transport their information...CDD believes the Big Data report must address the realties of today’s commercial data gathering and analysis landscape. While we acknowledge the many positive uses of Big Data, and its potential, the Administration should not gloss over the threats as well. We fear that missing for the most part in the White House’s review will be a fact-based assessment of actual commercial data practices conducted by Google, Facebook, Yahoo, data brokers, and many others. Such a review would reveal an out-of-control commercial data collection apparatus, with no restraints, and which is leading to a commercial surveillance complex that should be antithetical in a democratic society. The report should show the consequences of such information gathering on Americans, where the data can be immediately made “actionable.” It should address the consequences when predictive analysis and other “insight” identification applications trigger real-time and future decisions about the products and services we are offered, the content we may receive, and even the online “experiences” with which we interact. The report should make clear how its Consumer Privacy Bill of Rights Principles should be interpreted when data collected from Americans are used to unfairly target them—and their families—for products and services that can be harmful to their well-being (such as the delivery of high-interest payday loans, promotion of questionable medical treatments, and the targeting of junk food ads to children, which contributes to the nation’s obesity epidemic). The filing covers 6 key issues: The Growth of Ubiquitous Cross-Platform and Across-Application Tracking of Individuals Online: The Emergence of Big-Data-derived Comprehensive Data Profiles on Individuals (Data Management Platforms): The Digital Data Collection Apparatus, Including the Use of Multiple Data Sources and the Real-time Buying and Selling of American Internet Users: The Growth of Commercial Digital Surveillance at the Community, Hyper-local Level: The Delivery of Financial, Health, and Other Products Linked to Sensitive Data and Uses that Raise Consumer Protection Concerns: The Failure of Industry Self-regulation and the Limits of the Multi-stakeholder Process:
  • Center for Digital Democracy Leads Coalition of Children’s, Health, and Consumer Advocates in Challenging District Court Decision Friend-of-the-Court Brief Urges Stronger Privacy Protections for Teen Facebook UsersWashington, DC: The Center for Digital Democracy, joined by a coalition of public health, children’s advocacy, and media justice groups, today filed an amicus curiae (“friend of the court”) brief in a case concerning teen privacy online. In Fraley v. Facebook, the social networking company was sued for violating the privacy of users of all ages, and the company settled with class-action attorneys before going to litigation. Facebook’s proposed settlement, which was eventually approved by the U.S. District Court, does not protect teen users from appearing in sponsored advertisements on Facebook, even though seven states forbid this kind of appropriation without parental consent. Although numerous parties have objected to the settlement, CDD’s brief specifically supports the objection of six families represented by Public Citizen, a leading consumer protection organization.CDD’s brief covers the many strong policy arguments in favor of having enhanced privacy protections online for teens. The settlement, and Facebook’s current policy, does nothing to account for teen development, or for the differences in how teens use and understand social media. The broad coalition of groups joining in the brief shows what an important case this is for the work of public health, digital-consumer rights, and childhood-obesity experts. Joining the brief are the American Academy of Child and Adolescent Psychiatry, American Academy of Pediatrics, Berkeley Media Studies Group, Center for Global Policy Solutions, Center for Science in the Public Interest, Children Now, Consumer Watchdog, First Star, Media Alliance, Media Literacy Project, Pediatrics Now, Public Health Advocacy Institute, Praxis Project, and Yale Rudd Center for Food Policy and Obesity.The proposed settlement was deemed so inimical to the privacy rights of teens that another nonprofit organization, Campaign for a Commercial-Free Childhood, rejected nearly $300,000 in compensation in order to come out against it and to support Public Citizen’s objection. “All of our organizations hope that the Ninth Circuit will see through a deal that was bad for teens and that tramples states’ legal protections of minors. The court has a great opportunity to respect states’ laws and the parents’ role simply by throwing the settlement out,” said Hudson Kingston, CDD’s legal director.A copy of the coalition’s brief is attached. See too the Appeal by our friends at the Children's Advovacy Institute.
  • Today, CDD filed Comments (link is external) in the FTC's forthcoming (link is external)"Mobile Device Tracking" workshop (link is external) (Feb. 19) on mobile and retail tracking. As we explain (excerpt): While it is important to examine the individual components of what is an increasingly pervasive and unregulated source of commercial surveillance in the “Big Data” era, such as in-store tracking of consumers, the Federal Trade Commission (FTC) must place this one use of mobile tracking in a larger context. Such tracking is but one part of a more elaborate and increasingly seamless “always-on” collection apparatus that operates across devices and user experiences. This surveillance is invisible to most consumers and connected to a range of other practices such as “hyper-local” targeting, multi-screen tracking, and data broker-driven offline and online “connected recognition” and data on-boarding services. Current self-regulatory approaches are ineffective and do a disservice to consumers by falsely claiming to provide privacy protection and user control. The FTC should issue a set of recommendations to govern cross-platform marketing that includes mobile devices. This is urgently required as intrusive geo-locational data-gathering practices, some of which raise concerns about the potential for new forms of “digital redlining” and other discriminatory practices, dramatically expand during the next few years. We believe it is especially important for the FTC to examine how geo-location tracking is being used to identify people by race, ethnicity, economic class, and by their age (such as young people and seniors). The FTC should also reiterate its call for Congress to enact meaningful omnibus privacy legislation.... Today, consumer profiles are developed that include so-called first-, second-, and third-party data, linking our online and offline selves. This filing will not address the purposeful and disingenuous claim that such data profiles of individuals are “anonymous.” It is not the case, and the commission should reject such absurd claims. Companies say much of what they now do is “privacy compliant,” hiding behind the falsehood that cookies and all the other ways they collect and analyze data aren’t linked to an actual person. Such distortions should not be tolerated. Real people are being tracked and targeted.... The growth of hyper-local targeting is spurring new forms of segmentation of individuals and their distinct communities. The country is being broken up into highly discrete areas that are mapped to identify unique characteristics—beyond actual location. The use of these so-called “tiles” raises profound concerns. For example, PlaceIQ explains that “What we do is map data from multiple sources onto a grid of tiles that cover every square foot of the US. Each tile is 100 meters by 100 meters, and we inject third-party demographic information about that area into the tile, as well as data on what’s physically located there—points of interest like parks and airports, tourist attractions, retailers, stadiums, and so forth. Then, we connect that data with where a mobile device is in real time, or where it has recently been, to build unique audience segments for brands to target.”... The use of geo-fencing, “geobehavioral targeting,” “geo-cookies” and the role of location analytics, especially when integrated into broader data gathering, requires action by the FTC. As we will document for the forthcoming “Alternative Scoring Products” workshop, geo-location data are being made actionable at real-time events as well as used to make a range of critical decisions about an individual (whether they are credit worthy, seeking some product or service linked to sensitive concerns, etc.). These privacy and consumer-protection concerns extend beyond the individual to their communities and neighborhoods as well. The commission should examine the impact location-driven data gathering has on the financial health and consumer well-being of distinct communities, especially those in which its residents may suffer economically or due to other factors (such as age). CDD will soon be filing on Alternative Scoring Products (e-scores, lifetime value predictaors, etc) for the FTC's March 19th workshop. Today's Comments are attached.