Technologies

Amazon to Pay $30M for Ring and Alexa Privacy Violations: Tips for Protecting Your Smart Home Data

As Amazon settles over alleged privacy violations, here’s how you can help keep your personal data safe.

Amazon will pay two separate penalties for privacy violations, the Federal Trade Commission has announced: $25 million for allegedly not deleting children’s data and $5.8 million for failing to restrict employee and contractor access to Ring security videos.

Amazon prevented parents from deleting their children’s voice and geolocation data acquired through the Alexa voice assistant, and stored and used the data for several years to improve the Alexa algorithm to better understand children’s speech patterns and accents, the FTC alleged Wednesday.

This put the data “at risk of harm from unnecessary access,” according to the FTC.

The Children’s Online Privacy Protection Act Rule “does not allow companies to keep children’s data forever for any reason, and certainly not to train their algorithms,” said Samuel Levine, director of the FTC’s Bureau of Consumer Protection, in a statement.

Amazon said in a blog post that it disagrees with the FTC’s claims and denies violating the law.

“We take our responsibilities to our customers and their families very seriously,” Amazon said. “We work hard to protect children’s privacy, and we have built robust privacy protections into our children’s products and services.”

The FTC on Wednesday also leveled a $5.8 million penalty against Amazon’s Ring. Ring, which was acquired by Amazon in 2018, sells video doorbells, indoor and outdoor cameras and home security services. It has long been criticized for its privacy practices, including sharing doorbell footage with police departments across the US. The settlement announced Wednesday related to allegedly failing to restrict access to customers’ videos across its employees and contractors, and using those videos to train its algorithms without consent.

“One employee over several months viewed thousands of video recordings belonging to female users of Ring cameras that surveilled intimate spaces in their homes such as their bathrooms or bedrooms. The employee wasn’t stopped until another employee discovered the misconduct,” the FTC alleges.

Ring’s failure to “implement basic measures to monitor and detect employees’ video access” meant the company also didn’t know who or how many employees accessed private videos inappropriately.

Ring didn’t seek customer consent for human review of their videos until January 2018, the FTC alleged.

Ring’s lack of security, including not offering multifactor authentication until 2019, meant hackers exploited account vulnerabilities to compromise 55,000 customers’ accounts in the US, the complaint says. Of those 55,000 customers, 910 accounts across 1,250 devices saw the hacker take “additional invasive actions, such as accessing a stored video, accessing a live stream video or viewing a customer’s profile,” the complaint details. In 20 instances, the hackers maintained access to customer devices for over a month.

“In many instances, the bad actors were not just passively viewing customers’ sensitive video data. Rather, the bad actors took advantage of the camera’s two-way communication functionality to harass, threaten, and insult individuals — including elderly individuals and children — whose rooms were monitored by Ring cameras, and to set off alarms and change important device settings,” the FTC’s complaint says.

The $5.8 million penalty will be used to refund customers, and Ring is required to delete data and videos if obtained prior to 2018 and “delete any work products it derived from these videos.”

Ring’s statement likewise disagreed with the FTC’s claims. “We want our customers to know that the FTC complaint draws on matters that Ring promptly addressed on its own, well before the FTC began its inquiry; mischaracterizes our security practices; and ignores the many protections we have in place for our customers,” Ring said.

How to protect your private data

Bad actors are a threat to your security, and there are a number of steps you can take to help yourself. Here’s how to make sure your home Wi-Fi is secure, how to protect your home security against hacks and the best home security systems of 2023 — including the best cheap home security systems and the best DIY home security systems. You could also look at getting a password manager so your accounts are safer, and here’s CNET’s smart home privacy guide on how to delete your voice recordings across Amazon, Apple and Google.

As companies are keeping more and more of your personal data, here are CNET’s tips on how to keep Facebook from tracking you, how to prevent yourself from being tracked via your Apple AirTags and how to get Google to remove your personal data from search results.

Technologies

Six Flags shares decline following deadly roller coaster incident

One person died and several others were injured in an incident involving the Goliath roller coaster at Six Flags Over Georgia, according to reports.

Shares of Six Flags Entertainment declined more than 16% Tuesday following a deadly roller coaster incident at one of its amusement parks in Georgia.

One person died and several others were injured Monday in an incident at Six Flags Over Georgia, according to a statement from Georgia’s Cobb County Board of Commissioners. The board’s chairwoman, Lisa N. Cupid, said that county authorities are working with Six Flags and other partners in the investigation.

According to reports citing local police, the incident occurred on the Atlanta-area park’s 200-foot-tall Goliath roller coaster shortly before 4 p.m. Monday. Riders were later seen being evacuated from the roller coaster after it stopped near the top of the ride, according to the report.

Witnesses told a local news station that they saw a man fall from the roller coaster and strike the ride several times.

In a statement to ABC News, a Six Flags spokesperson said it is cooperating fully with the investigation and had temporarily closed similar attractions across its parks.

Six Flags did not immediately respond to CNBC’s request for comment.

Tuesday’s decline is on pace to be the stock’s worst day since August and puts shares at their lowest level since December 2009. Shares have now fallen by more than 50% over the past year.

Technologies

French supermarket fridges get hacked, heating to 122°F and sparking fires

Hackers targeted hundreds of French supermarkets in a large-scale cyberattack, causing refrigerators to overheat, spoiling food, and sparking fires.

Hackers targeted hundreds of French supermarkets in a cyberattack that reportedly caused refrigerators and freezers to overheat, spoiling food and sparking fires.

Fridges at French supermarket chains Carrefour, Monoprix, the Les Mousquetaires-owned Intermarché, and Coopérative U, among others, all saw fridges heat up to as much as 50 degrees Celsius (122 degrees Fahrenheit) overnight, Reuters reported Monday.

Coopérative U’s CEO, Dominique Schelcher, confirmed that cyberattacks had affected “refrigeration production facilities of several stores.”

“Attacking equipment that is essential to the preservation of fresh products and the food supply of the French people is extremely serious and unprecedented. It is unacceptable,” Schelcher said in a LinkedIn post.

CNBC has reached out to Carrefour, Monoprix, Intermarché, Coopérative U and E Leclerc for comment but did not immediately hear back.

Felix Aime, a senior cyberthreat intelligence analyst at Sekoia Threat Detection and Research, said the attack affected several European countries, including Spain, Portugal, Poland, Germany and Belgium, according to the Reuters article.

“I strongly condemn the cyberattack targeting food products at @intermarche @CooperativeU @Leclerc,” European Commissioner for Agriculture and Food Christophe Hansen said in a post on X on Monday.

“Food security requires more attention at all levels. Because the weaponization of food has become a reality.”

AI enhancing cyberattacks

Les Mousquetaires said it was expecting the damages, which affected around 180 stores, to reach “several million euros in losses,” in an email to CNBC.

It said some fresh and frozen food displays have been out of service after the cyberattack affected one of its service providers responsible for managing refrigeration systems inside some stores.

“Intermarché and Netto have taken all necessary precautions to remove and dispose of any affected products as quickly as possible, to ensure consumer safety,” the Les Mousquetaires spokesperson said. “In some stores, the overheating of equipment resulted in smoke, but no fires have been reported.”

They’re now awaiting findings from a court-appointed bailiff and insurance experts to get more precise figures on damages.

Stop & Shop parent Ahold Delhaize

This comes amid a broader wave of cyberattacks and cybercrimes, which experts are warning are being enhanced by artificial intelligence. British online fashion retailer Asos experienced a cybersecurity breach last week which revealed some customers’ personal information.

Meanwhile, a small power plant in the U.K. was shut down for four days in July after a cyberattack which was suspected to be linked to Iran.

Interpol’s global chief information security officer, Bjorn R. Watne, recently told CNBC that AI can be used to target multiple victims at once, and is increasing the scale and speed of cyberattacks. “It’s an evolution and not a revolution.”

Correction: Bjorn R. Watne is global chief information security officer at Interpol. An earlier version misspelled his name.

Technologies

Apple releases HomeView smart home hub with screen as showcase for Siri AI

The iPhone maker also announced the new Apple TV 4K and HomePod Mini.

Apple on Tuesday announced a new home hub called HomeView.

Apple said the device with a 7-inch screen was designed to be mounted on a wall or placed on a table. It’s designed for multiple people in a household, and will recognize the user by their face to display pertinent information. It starts at $299 and ships on Nov. 13.

Tuesday’s launch event is the second under new CEO John Ternus, who took over from Tim Cook in September. Last month, Apple announced new models of its most important product, the iPhone, including a foldable model called the Duo that retails for nearly $2,000.

Apple also announced new Apple TV and HomePod hardware on Tuesday. The new Apple TV 4K costs $299 and has a redesigned remote that can play a sound if it is lost. Apple’s HomePod Mini speaker comes in new colors and costs $149, a slight increase over its previous $129 price.

The products announced Tuesday are less critical for Apple than the iPhone, and investors remain focused on iPhone sales, but the accessories were positioned on Tuesday as a showcase for the company’s new Siri abilities released last month.

Apple said that HomeView features Siri AI, which can answer a broad range of questions. Users will be able to converse with Siri, and their conversations will continue on their iPhone or iPad. It has a built-in speaker for playing music.

“It recognizes your face to shift from a household screen to your own experience, fills the room with incredible sound, keeps you connected to the people who matter most with FaceTime, and makes it easy to control your smart home,” Apple’s chief marketer Greg Joswiak said in a statement.

Apple said that HomeView will show information from the Messages, Photos, Calendar, and Reminders apps based on who is using the device, powered by Apple Intelligence. It can also be used to make FaceTime calls and as a digital photo frame. It’s equipped with an Apple A18 chip. It supports up to six users.

But while Apple has dabbled in home products and platforms in the past, Tuesday’s announcement shows Apple is making its home products a higher priority under Ternus.

Apple said on Tuesday that its new products, including HomeView, can be used as a smart home hub, coordinating notifications and actions in the home and working with a range of products, including new locks, doorbells, and cameras from LG Electronics and Schneider Electric.

Apple’s integration with the smart home is not just about sales but also helps further lock customers into its own ecosystem. People who use multiple Apple products and connections are less likely to switch to an Android phone.

HomeView can also become a smart home dashboard, Apple said. It can be used to view camera feeds, adjust the thermostat, or lock connected doors around the house.

Apple said that setting up a new smart home device takes one tap from the user’s iPhone.

Tuesday’s launch shows Apple’s confidence as it launches new product categories. But the broader consumer electronics industry has been dealing with price increases and demand deterioration related to component shortages in memory and storage. It also comes as new boss Ternus has reportedly pushed the company to release products faster.

Apple’s new Apple TV 4K got a price hike from $199 to $299, and comes after a similar price increase earlier this year, after Cook said that memory costs for Apple were unsustainable.