The Federal Trade Commission has finalized an order banning software provider Avast from selling, disclosing, or licensing any web browsing data for advertising purposes. This action settles charges that the company and its subsidiaries sold such information despite promising that its products would protect consumers from online tracking. Avast is also required to pay $16.5 million, which is expected to be used to provide redress to consumers.
In a complaint first announced in February, the FTC alleged that UK-based Avast Limited, via its Czech subsidiary, unfairly collected consumers’ browsing information through the company’s browser extensions and antivirus software. This data was stored indefinitely and sold without adequate notice and consumer consent. The FTC charged that Avast deceived users by claiming that the software would protect their privacy by blocking third-party tracking while failing to inform them adequately about the sale of their detailed, re-identifiable browsing data. The FTC further alleged that Avast sold this data to more than 100 third parties through its subsidiary Jumpshot.
Under the order, Avast and its subsidiaries must delete the web browsing information transferred to Jumpshot and any products or algorithms derived from that data. They are also required to obtain affirmative express consent from consumers before selling or licensing browsing data from non-Avast products to third parties for advertising purposes. Additionally, they must notify consumers whose browsing information was sold without their consent about the FTC’s actions against the company and implement a comprehensive privacy program addressing the misconduct highlighted by the FTC.
After receiving two comments, the Commission voted 3-0-2 to give final approval to the settlement. Commissioners Melissa Holyoak and Andrew N. Ferguson did not participate.
The Federal Trade Commission works to promote competition and protect and educate consumers. "The FTC will never demand money, make threats, tell you to transfer money, or promise you a prize." More information on consumer topics can be found at consumer.ftc.gov, where fraud, scams, and bad business practices can also be reported at ReportFraud.ftc.gov.
