Sweeping FTC study finds that social media sites engage in ‘vast surveillance’ of its users

The FTC just published results of a sweeping study of social media sites that has been going on for four years. The organization said that many social media sites and streaming services engage in “vast surveillance of consumers in order to monetize their personal information.” This mass surveillance impacts adult users, but also children and teens.

This isn’t exactly surprising. After all, the old saying goes “if you're not paying for the product, you are the product.” Still, the study suggests a level of surveillance that could shock even the most cynical among us. According to the FTC, these entities collect and “indefinitely retain troves of data.” The companies also engage in “broad data sharing” with “woefully inadequate” security measures.

The report also found that some companies didn’t delete all user data in response to deletion requests. That’s not a good look. Additionally, some companies were found to be using privacy-invasive technologies like tracking pixels to “facilitate advertising to users based on preferences and interests.”

But wait, there’s more. The report found that users (and even non-users) had little or no way to opt out of how their data was used by automated systems, like algorithms, data analytics and AI. The FTC found that these companies employed “different, inconsistent and inadequate approaches to monitoring and testing the use” of these automated systems.

Finally, the report found that “social media and video streaming services didn’t adequately protect children and teens on their sites.” The study goes on to suggest that social media, and digital technology as a whole, contributes to “negative mental health impacts on young users.” This is nothing new, though some social media companies are putting tools in place to protect kids. Instagram just made it mandatory for teen accounts to include parental controls.

The FTC says that all of these issues boil down to the profit models of the big social media and streaming companies. These business models mandate the “mass collection of user data to monetize, especially through targeted advertising.” This is in “tension” with privacy concerns as, well, privacy doesn’t make money.

The study concludes that “self-regulation has been a failure.” To that end, the FTC has issued several recommendations to help solve these problems. It wants Congress to pass comprehensive privacy legislation to limit surveillance and to offer “baseline protections.” It also wants social media and streaming companies to limit data collection and data sharing with third parties.

The FTC also recommends that these companies actually delete consumer data when it’s no longer needed or upon request and to stop using invasive ad tracking technologies like pixels. It also wants these entities to address the overall lack of transparency regarding their methods. As for kids and teens, the FTC says these organizations should “recognize teens are not adults and provide them greater privacy protections.” Finally, it urges Congress to pass federal privacy legislation for teens over the age of 13.

Again, none of this information is new, but it's pretty damning to see it all laid out this way. You can read the full report right here. The services involved in the study include X, TikTok, Reddit, Discord, Twitch, YouTube, Instagram and several others.