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Dublin: 19 °C Wednesday 19 June, 2013

Google agrees to pay record $22.5m privacy fine

The company is settling a complaint that it mislead users of Apple’s Safari browser.

Image: AP Photo/Paul Sakuma

GOOGLE IS PAYING a record $22.5 million fine to settle allegations that it broke a privacy promise by secretly tracking millions of Web surfers who use Apple’s Safari browser.

The penalty announced Thursday by the Federal Trade Commission matches the figure that The Associated Press and other media outlets had reported last month. It’s the largest fine that the FTC has imposed against a company for violating a previous agreement with the agency.

Google Inc. isn’t admitting any wrongdoing in the latest settlement.

The fine isn’t over Google’s data collection, but for misrepresenting what was happening. Last October, Google had signed a 20-year agreement that, among other things, included a company pledge not to mislead consumers about its privacy practices.

Safari safeguards overridden

The FTC opened its investigation into the Safari activities six months ago after a researcher at Stanford University revealed that Google had overridden Safari safeguards that are supposed to prevent outside parties from monitoring Web surfing activity without a user’s permission.

The tracking occurs through snippets of computer coding, known as cookies, that help Internet services and advertisers target marketing pitches based on an analysis of the interests implied by a person’s Web surfing activity.

Google immediately withdrew its intrusive technology from Safari after the manipulation was reported.

Record fine

But the circumvention of Apple’s built-in settings appeared to contradict a statement in Google’s online help centre assuring Safari users that they didn’t need to do anything more to ensure their online activities wouldn’t be logged by Google.

The apparent contradiction between Google’s words and actions became the focal point of the FTC investigation.

Google’s fine surpasses a nearly $19 million penalty that the FTC slapped on a telemarketer accused of duping people into believing they were donating to charities.

Google’s stock price increased 60 cents to $642.83 in midday trading Thursday, after the FTC announcement.

Read: Google privacy policy changes are ‘in breach of EU law’>

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Comments (9 Comments)

  • KM 09/08/12 #

    Chicken feed.

    Reply
  • So Google get fined a record amount for snooping and the share price goes up.
    Is that because investors know that the money earned for Google from using punters details will dwarf the $20m fine?

    Reply
  • What ever happened to “don’t be evil”?

    Reply
  • Bring back harmless Netscape. The privacy days. Sigh

    Reply
  • Use AdBlock+ and ghostery plugins. Stops a lot of online tracking. Not sure if they’re available for safari though.

    Reply
    • If you use AdBlock, it means that websites, like this one, don’t get to show you ads, which in turn means they can’t make money from pageviews.

      If you like the fact that websites can give you content for free, and you want it to stay free, then using AdBlock or similar products is a bad idea.

      Reply
    • I guess the problem is that there are some websites that take advertising to the extreme. I like google ads – text based and relevant. Then there’s the big flashing banners and stuff. I blanket block because of them. Can’t be arsed creating a whitelist. And when it comes to apps, on both my galaxy nexus and iPhone, I’ll buy an app of it means no ads. I wish the journal would provide an ad-free app that I could pay for!

      Reply
  • I still like Google, they care about their employee’s, besides big salary, free food, fitness classes,laundry service and car washes, Now if a Google employee dies, their spouse gets half their Salary for 10 years after death and their kids get €1000 a month until they’re 19. Applies to all 35,000 employees

    That’s not an evil company in my book, it’s one that slipped up but still cares for it’s users and employees!

    Reply
  • Always remember that a huge part of google’s income is from monitoring your browsing to target advertising at you….

    Reply

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