Twitter stated that the Federal Trade Commission (FTC) might soon fine it up to $250 million for inappropriate use of users’ phone numbers and email addresses data.
The possible fines would arrive for violations of Twitter’s 2011 agreement with the FTC to no longer trick consumers about how it preserves their private information.
Between 2013 and 2019, Twitter used mobile numbers and email addresses presented “for safety and security purposes” to help target ads.
Twitter revealed the practice back in October, stating that it was caused “inadvertently” and called it “an error.” The FTC believes that Twitter misled consumers by not revealing that their data may have been used in this way.
Twitter states that the commission sent a draft complaint on July 28th, reporting alleged violations of the 2011 agreement.
Twitter figures that it could be fined anywhere from $150 million to $250 million, and it’s setting aside $150 million in expectation of a fine.
“The matter remains unresolved, and there can be no assurance as to the timing or the terms of any outcome,” Twitter mentions in its 10-Q filing with the Securities and Exchange Commission.
A spokesperson for Twitter tells the company “included an estimated range for settlement” in the 10-Q filed today because the charge was held after its quarterly results were filed on July 23rd. The Verge has reached out to the FTC for comment.
Source: The verge