Mark Zuckerberg’s company Meta has chaffed under a 2020 privacy settlement with the FTC, but the agency wants to keep the company from making any money from children’s data.
Meta is working all the angles it can to ensure it will still be able to profit from children’s Facebook data. After a recent loss in court, the company has now sued the Federal Trade Commission, arguing the agency doesn’t have the constitutional authority to change a 2020 $5 billion settlement over the company’s alleged lack of privacy protections.
The complaint, filed late Wednesday in the U.S. District Court for the District of Columbia, calls out FTC chairperson Lina Khan and other commissioners for exceeding the inherent powers of their agency. Meta has simmered for more than six months over the FTC’s claims the company violated that original privacy agreement.
Meta needs to respond to the FTC’s demands by Dec. 11. The agency has routinely slapped Meta upside the head for allegedly breaking the terms of the settlement agreement multiple times. After Meta responds to the FTC, the agency could decide to ban the company from using any kind of facial recognition tech, as well as keep it from making cash off kids’ data.
But Meta claims it’s been a good little tech giant and has “accommodated the FTC for over a decade in connection with the FTC Proceeding that the FTC abruptly reopened.” The company claims it invested “billions of dollars” in implementing changes to its privacy policies required by the 2020 settlement. The company said the FTC’s new push to punish Meta is a “power grab.”
The FTC allegations came after Meta tried to draw more children into its grand Metaverse project Horizon Worlds. Some U.S. senators also complained about Meta’s attempts to draw youngsters into its big metaverse SNAFU. The new proposed order on Meta would force it to get approval from a third-party assessor to launch any new products, services, or features.
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