Google sued by ACCC for allegedly misleading consumers to sign away their privacy

Lendlease says its US construction work for Google might start as soon as 2021. Photo: Getty
Technology giant Google is being taken to court for allegedly misleading consumers to give away a lot more personal information than they had expected.
Aside from tracking peopleâs online activity on its search engine and platforms, Google also monitors usersâ internet activity on ânon-Googleâ sites to boost its targeted advertising.
However, the consumer watchdog will argue before the Federal Court that Google failed to âproperly inform consumersâ and did not gain their âexplicit informed consentâ when it changed a key privacy policy four years ago.
The Australian Competition and Consumer Commission (ACCC) alleges that Google users are prompted to click âI agreeâ to this notification, which led to it being sued:
âSome new features for your Google Account:
âWeâve introduced some optional features for your account, giving you more control over the data Google collects and how itâs used, while allowing Google to show you more relevant ads.
âThe notification also stated:
âMore information will be available in your Google Account making it easier for you to review and controlâ; and âGoogle will use this information to make ads across the web more relevant for you.â
This notification appeared for Google users from June 28, 2016 to (at least) December 2018.
Tweet from @ChauDave
To âagreeâ or ânot agreeâ, that is the question
The ACCC alleges that the âI agreeâ notification was misleading, because consumers, âcould not have properly understood the changes Google was making nor how their data would be usedâ and therefore the consumers âdid notâ and âcould notâ give informed consent.
âWe believe that many consumers, if given an informed choice, may have refused Google permission to combine and use such a wide array of their personal information for Googleâs own financial benefit,â ACCC chairman Rod Sims said.
âThe use of this new combined information allowed Google to increase significantly the value of its advertising products, from which it generated much higher profits.â
âThe ACCC considers that consumers effectively pay for Googleâs services with their data, so this change introduced by Google increased the âpriceâ of Googleâs services, without consumersâ knowledge.â
Google said the company will defend the case as it âstrongly disagreesâ with the regulatorâs claims.
âIn June, 2016, we updated our ads system and associated user controls to match the way people use Google products: across many different devices,â Googleâs spokesperson said.
âThe changes we made were optional and we asked users to consent via prominent and easy-to-understand notifications.
âIf a user did not consent, their experience of our products and services remained unchanged.
âWe have cooperated with the ACCCâs investigation into this matter.â
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