Michael Caron
October 18th, 2020
INSC 305
Final Paper
Ethical Malpractices in the Social Media World
I have many Social media accounts, some of which I don’t even know exist, and I doubt I am the only one. In the recent past, I have was always free to share all my personal data, including passwords and other sensitive information. This is slowly changing, especially after the Facebook data scandal in which personal data was acquired without the individuals’ consent and used for political gains in 2018. Facebook–Cambridge Analytica data scandal was the most popular of the many such injustices committed daily over the internet but not the only one of many such injustices. Sadly a majority of these ethical Malpractices on social media platforms go unnoticed. In this paper, we will look at how large internet-based companies use Unauthorized user data for their selfish gains, laws, and penalties put in place against and any advantage, if any, to users.
We share data everyday online when we are on social media, doing online trading, or just browsing for fun. There are two types of user data public data and private data. Public data is highly reliable and stable. The kind of data preserved, collected, inspected by National Statistics Offices across Europe, and the U.S. Publdata is usually available for everybody and covers everybody. On the other hand, private data is more person-specific, highly unstable kind of data that only covers about 20% of the population. Public data is usually general and covers agreed specific areas like the number of children, education levels, and income levels
HOW LARGE COMPANIES INTERNET USE UNAUTHORISED USER DATA
One of the most lucrative and good ways for large social internet-based organizations is online advertising. As of 2017, online advertising had grown to 83 billion dollars, a fourteen percent increase from the previous year. Today it is not uncommon to find ads different on webpages. Likely a user is likely to be uninterested in the ads. But big technology internet companies have found a way to cross this bridge. Web based-Organizations such as Facebook, Google, and amazon mine user data, which helps them know use choices and preferences. They use this to create personalized ads according to the individual’s preferences, buying habits, and circumstances.
Marketers outside the big tech economy have also realized this booming Unethical practice and quickly joined the bandwagon. They go to these technology organizations and buy the details of the users. The details markets are usually most interested in include Shopping habits, age, gender, Purchasing power, education levels, and the car owned. Some can even go further to requesting for Email Addresses, phone numbers, and other contact info of the targeted people. They then use their sophisticated data analysis techniques in the hope of finding their target customers. Some even go further to trying to reach their target client over calls and through email addresses. Marketers benefit from this but not as much as These Internet-based organizations that rip out big at no cost at all.
Even worse than marketers, Big Technology companies sell their illegally obtained information to Employers. Employers’ interest, which ultimately makes them purchase the information, usually includes knowing their employee and employee to be health status, financial record, and any criminal records. Employers seek Internet-based companies for Credit records, bank records, tax records, medical and insurance, and workers’ history. This is unfair to employees as it may make them get sucked, demoted, given unfair terms, or recruits not getting jobs, among other reasons. “First, we’re getting to the bottom of exactly what Cambridge Analytica did, and telling everyone affected sorr. What we know now is that Cambridge Analytica improperly accessed some information about millions of Facebook members by buying it from an app developer.” Said Mark Zuckerberg. This was in defense of allegations placed before Facebook on data privacy issues before the house congress. With such kind of leaks and deals, internet technology companies reap a lot of benefits.
With the expansion of tracking apps, whereby a user’s real-time location is identified, big technology companies have taken the advantage to use location data to benefit themselves. With the location, identified ads can be, in particular, be tailored to fit that geographical location. Info can also be given to employers and marketers about their employees and customer location. For instance, Arizona State took Google, a big tech organization, to court claiming it without user approval, collected location records, and information on their whereabouts. “The state argued that Google made it too complicated to completely disable tracking, forcing users to dig into granular Android system settings. “When consumers try to opt-out of Google’s collection of location data, the company is considered to have earned over 10000 dollars from the exercise, and the state is requesting that money be paid back to them. Many companies, including Google, use this idea of the location to get free information, which turns to big profit a maximum benefit.
Past and current use of user data: There are many cases in the recent past where user data’s unauthorized use has showcased itself. The aforementioned case in which Arizona state-reported Google for user tracking is one of the many. The state reported that Google was forcing its users to dig into granular Android system settings to disable lice user location service. Another example of this Malicious act is still of another aforementioned this one involving Facebook. Mark Zuckerberg, the CEO of Facebook, found himself in the defense in which his social media application was accused of selling user information to a third party organization. Zuckerberg did not deny the allegation but tried to blame the third party for disclosing user information. Facebook had to blame too. For two years, remained quiet, knowing well sensitive user data was at the hands of an outside party. Zuckerberg did not admit to Facebook’s crimes, but he looked apologetic and sorry in that Questioning Chair. Facebook would have us believe that they don’t tell us to use an accurate user name and be truthful. Why because they get a lot of financial benefits from such malpractices. Facebook has been a big manipulator of user data for their gains in the far and recent past. However, you must admit the manipulation has been used sometimes, not all to better user experience.
The issue of data privacy is one of the reasons for increased fights between Apple and Facebook. Apple CEO Tim tries to portray apple as the good when it comes to data privacy. He argues that Apple takes privacy as a fundamental human right. He says that it is unfortunate some companies do not share the same ideologies as they do. Cook has called for a comprehensive law that seeks to secure data, minimize its unauthorized location, and be fair to users to give them a choice if they want their data collected or not. The cause for tension between Facebook and apple started when IPhone canceled Facebook’s ability to distribute custom IPhones apps by Facebook employees. But apart from that small incidence, Apple has, in reality, it looked to do very little while it comes to matters of data privacy.
These examples show the deep-lying problem between users and big tech companies. The absence of transparency between Technology organizations and the usually is a big concern in social media, entertainment, and e-commerce sectors. It should not be the case. Dash shipping should be avoided. When a client enters private data, it should always be stored in an encoded manner that it cannot be retrieved. The many cases and often sad cases of companies selling data to third parties should stop.
LAWS, FEES, AND PUNISHMENT AGAINST DATA PRIVACY VIOLATIONS
There are no comprehensive laws that protect users from their Data privacy violations. However, there are complex medium-specific laws. They include the federal trade commission act. This act is designed mainly for the prevention of unfair trade practices. The federal trade commission act prevents unfair competition methods, among other statutes enforced under the Federal trade commission act.
There is also the Children Online prevention act, which restricts the collection of information front people yet to attain the age of thirteen. This act was enacted on October 21st, 1998. The act protected any unlawful website or online service directed to children. The health insurance and portability act govern and prevent companies from collecting healthy information. The fair credit reporting act guards user’s credit information is collected, and the Gramm fair Leach Bliley act, which guards personal information against being collected by banks and other financial institutions. These laws are often the ones viewed in case of online data privacy violations. My take is an act that needs to be implemented to deal more specifically with this emerging issue.
There are, however, many specific state laws that deal with this subject matter. On June 28th, the California consumer privacy act was enacted. This legislation is argued by many to be the most effective of all state data privacy laws enacted to date. California consumer privacy act, Which came into effect on 1st January 2020, has an unequivocal definition of terms and broad individual consumer rights. They include informing users when and how data is collected and giving them the right to accept, correct, access, delete any information about them. The law further adds that the information collected must be added to the company’s website.
Before the enactment of the California consumer privacy act, New York had passed the most comprehensive data protection and privacy law. The Stop Hacks and Improve Electronic Data Security requirements for companies that collect information on New York residents.
This law was championed by a report showing a 60% increase in data breaches in New York. The act brought some significant changes, including It broadens the definition of private data to include just but a few account numbers, credit card numbers, passwords, and security questions answers. Redefined breach to include integrity, confidentiality, the security of one’s private data and information. It expanded the privacy data scope to encompass parties that work outside New York, and it requires an employee of the company to be designated to oversee cybersecurity.
Since 2019 big fines have been imposed on organizations that don’t keep their users’ data private. A sum of one twenty-four million dollars was imposed on Marriott. The fine was caused by to data breach suffered by the hotel giant in the year 2014. The personal data in which the hotel had acquired included phone numbers, unencrypted passwords, arrival departure information, VIP status of clients, loyal memberships, and email addresses. The first initial penalty that the hotel was proposed to pay was 3% of its total value. This was by then the highest fine ever proposed. It has since shrunken to 0.6%, which is in itself a considerable sum. To top five fines ever to be imposed by GDPR include the 50M Euro on google for obtaining information without the subject’s consent. The 35 million euros on H%M for collecting personal data from its employees. The third is the 27 million Euros imposed on Tim for data breaches, violation of GDPR rights, excessive data retention, and lack of proper consent. Other big fines include the 22Million Euros on British airways when the airline was found guilty of processing personal data without proper measures and Failure to obey data protection laws.
PRIVATE DATA AND IMPROVED USER EXPERIENCE
Not all is doom and gloom. Like every issue, this contemptuous issue has its Merits. In this age of big data, which is most often sweet than poison, Private data can be gathered to make the experience of a user more enjoyable and hassle free kind of an experience. Websites can store cookies in users’ devices to improve the experience and provide more personalized services, both on their website and other sites. They should, however, provide information about the cookies they use and have a well-written privacy policy. Big technology companies should offer this service without tracking the user’s information on their site.
Organizations should remember to be ethical when it comes to the way they address data privacy. Whether it is Facebook, Google, TikTok, or even a website, data breaching should not happen even for financial gains because there may be huge consequences later. Research has shown that 80% of consumers are likely to buy from the internet the best companies that they trust with their personal information compared to others. This is an easy way to gain a competitive advantage. Big Technology companies should create a privacy Experience team that will look at consumers’ privacy from the consumer’s point of view. This team should include employees from Promotion, Sales, Client Success, and legal departments. The internet-based organizations should remove the legal privacy policies which they catch users with. Most clients do not care about privacy policies and mostly skip without reading.
Finally, technology companies should give their users more control. The privacy policies of you either accept them and doesn’t the service accept, and we are good need to end. A policy can be formulated that even if the individual does not want to comply with their dare policies, they can still access services elsewhere. The privacy policy statement should be made fun, clear, and flexible for all to use. After all, most users are ready to share some information for a better experience, while others prefer to keep their matters closed.
Annotated Bibliography:
Romm, T. (2020, May 28). Arizona sues Google over allegations it illegally tracked
Android smartphone users’ locations. Retrieved October 15, 2020, from
https://www.washingtonpost.com/technology/2020/05/27/google-android-privacy
U.S. Securities and Exchange Commission. (2019, July 24). Press Release. Retrieved
October 15, 2020, from https://www.sec.gov/news/press-release /2019-140
Federal Trade Commission. (2020, April 28). FTC Imposes $5 Billion Penalty and
Sweeping New Privacy Restrictions on Facebook. Retrieved October 16, 2020, from
https://www.ftc.gov/news-events/press-releases/2019/07/ftc-imposes-5-billion-penalty sweeping-new-privacy-restrictions
National Cable Satellite Corporation. (2019, October 23). Facebook CEO Testimony Before House Financial Services Committee. Retrieved October 16, 2020, from https://www.c- span.org/video/?465293-1%2Ffacebook-ceo-testimony-house-financial-services committee
Bogost, I. (2019, January 31). Apple’s Empty Grandstanding About Privacy. Retrieved
October 15, 2020, from https://www.theatlantic.com/technology/archive/2019/01/apples-hypocritical-defense-dataprivacy/ 581680/Ladd, B. (2018, July 29). Is Amazon A Monopoly? Donald Trump Thinks So. RetrievedOctober 17, 2020, from
https://www.forbes.com/sites/brittainladd/2018/07/29/amazon-is-not-a-monopoly