Why is the FCC Smacking Apple, Google?

The U.S. Federal Trade Commission has released a set of privacy recommendations for app stores, such as those run by Apple (NASDAQ:AAPL) and Google (NASDAQ:GOOG). A few of the recommendations are also targeted at app developers and online advertising networks.

The agency said it “strongly encourages” companies to adopt the guidelines, though they remain non-binding. However, companies may still face action if they don’t do a better job of protecting the privacy of mobile device users, FTC chairman Jon Leibowitz said, according to Bloomberg. If some companies “don’t wake up and do the right thing, my sense is that industry is far more likely to face much more prescriptive laws down the road,” Leibowitz said on a media conference call. “I don’t think that’s going to be very far down the road because privacy is the quintessential bipartisan issue in Congress.”

Through the guidelines, the FTC wants mobile platforms to create a Do Not Track system. Apple’s recently launched a Limit Ad Tracking feature for iOS. The FTC also wants mobile platforms owners to ask before accessing a user’s location, contacts, photos, calendar, or recording sound or video as well as develop an icon that will show users every time personal data is being transmitted.

More Articles About:

To contact the reporter on this story: staff.writers@wallstcheatsheet.com To contact the editor responsible for this story: editors@wallstcheatsheet.com

Premium Newsletters

Stock Investor Cheat Sheet

Stock Investor Cheat Sheet®

The ultimate Cheat Sheet for finding winning stock picks.
Learn More

Gold & Silver Newsletter

Gold & Silver

Don't miss one of the biggest bull markets in history! Covers Gold, Silver, Gold & Silver stocks, and miners.
Learn More

Commodities Premium Newsletter

Commodities Premium

There's always a bull market in some sector! Find the best opportunities in commodities.
Learn more

ETF Investing

ETF Investing

At last, a trading system that buys the right ETFs at the right time, time after time!
Learn more

Yahoo Finance, Harvard Business Review, Market Watch, The Wall St. Journal, Financial Times, CNN Money, Fox Business