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Facebook

Signal Tried To Use Instagram Ads To Display the Data Facebook Collects and Sells. Facebook Banned Signal's Account. (mashable.com) 7

Privacy-oriented messaging app Signal tried to run a very candid ad campaign on Facebook-owned Instagram, but it wasn't meant to be. From a report: Signal explained how it went down in a blog post Tuesday. The idea was to post ads on Instagram which use the data an online advertiser may have collected about users, and basically show the user what that data might be for them. "You got this ad because you're a teacher, but more importantly you're a Leo (and single). This ad used your location to see you're in Moscow. You like to support sketch comedy, and this ad thinks you do drag," one of the ads said. According to Signal, the ad "would simply display some of the information collected about the viewer which the advertising platform uses."

The fact that Facebook and similar companies collect your data isn't a secret. According to Signal, however "the full picture is hazy to most -- dimly concealed within complex, opaquely-rendered systems and fine print designed to be scrolled past." In other words, you may have consented to this because you weren't bothered to investigate the details, but you may feel differently if you knew exactly what online advertisers know about you. However, Facebook wasn't having it, and shut down both the campaign and Signal's ad account.

America Online

About 1.5 Million People Still Pay for AOL (cnbc.com) 79

Amid the hodgepodge of Verizon Media assets that Apollo Global Management is buying from Verizon -- Yahoo Finance, TechCrunch, advertising technology, Yahoo Fantasy -- there's one cash flow stream that will not die: AOL. From a report: The famed internet company that once bought Time Warner for $182 billion and used to make billions of dollars annually selling dial-up modem access, still has a monthly subscription service called AOL Advantage. In 2015, 2.1 million people were still using AOL's dial-up service. That revenue stream has dried up. The number of dial-up users is now "in the low thousands," according to a person familiar with the matter.

But AOL still has a fairly lucrative base of customers who pay for technical support and identity theft services each month. There are about 1.5 million monthly customers paying $9.99 or $14.99 per month for AOL Advantage, said another person, who asked not to be named because the information is private. If average revenue per user is $10 per month, conservatively, that's $180 million of annual revenue.

Verizon

Verizon Is Weighing a Sale of Yahoo, AOL (bloomberg.com) 86

According to Bloomberg, Verizon is considering selling AOL and Yahoo -- two once high-flying dot-com brands it purchased in 2015 and 2017, respectively. Bloomberg reports: Verizon Media could fetch as much as $5 billion [...]. The company is talking to Apollo Global Management about a deal, they said. It couldn't immediately be learned how a deal would be structured or if other suitors may emerge. No final decision has been made and Verizon could opt to keep the unit. The move comes as Verizon divests tertiary media assets while ramping up its focus on its wireless business and the the rollout of its 5G service. Last year, it agreed to sell the HuffPost online news service to BuzzFeed Inc. and it unloaded the blogging platform Tumblr in 2019. This divestiture would mark Verizon's final retreat from an expensive foray into online advertising, a strategy that never really took off.
Google

Google Is Saving Over $1 Billion a Year by Working From Home (bloomberg.com) 32

With Covid-19 restrictions lifting, more people are booking trips and hotels online, which is very good for Google's advertising business. Google's employees, however, are working from home and not traveling as much on the company dime -- and that's also good for its business. From a report: During the first quarter, Google parent Alphabet saved $268 million in expenses from company promotions, travel and entertainment, compared to same period a year earlier, "primarily as a result of COVID-19," according to a company filing. On an annualized basis, that would be more than $1 billion. Indeed, Alphabet said in its annual report earlier this year that advertising and promotional expenses dropped by $1.4 billion in 2020 as the company reduced spending, paused or rescheduled campaigns, and changed some events to digital-only formats due to the pandemic. Travel and entertainment expenses fell by $371 million. The savings offset many of the costs that came with hiring thousands more workers. And the pandemic prudence allowed the company to keep its marketing and administrative costs effectively flat for the first quarter, despite boosting revenue by 34%.
Youtube

YouTube is a Media Juggernaut That Could Soon Equal Netflix in Revenue (cnbc.com) 40

Google's YouTube is already the world's largest online video platform. If continues growing the way it has the last several quarters, it could also match Netflix in revenues by year's end. From a report: In its first-quarter earnings report Tuesday, Google parent company Alphabet said YouTube brought in revenue of $6.01 billion in advertising revenue during the quarter -- up from $4 billion from a year ago, for a growth rate of 49%. That's an acceleration over its 46% growth in Q4. It's also nearly twice the growth rate of Netflix, which reported 24% revenue growth in Q1, and expects growth to slow to 19% next quarter. If its current growth trajectory continues, YouTube will book between $29 billion and $30 billion in revenue this year. Netflix is expected to report $29.7 billion in revenue for 2021, according to an average of estimates from analysts polled by Refinitiv.
The Courts

ADT Sues Amazon's Ring Over Use of Blue Octagon Logo (cnet.com) 83

ADT, a home security company in the United States with over 6 million customers, is suing Amazon's Ring, alleging that the DIY home security company is copying ADT's logo and profiting from customer trust associated with it. From a report: ADT has asked a federal judge in Florida to order Ring to stop using its blue, octagonal signs and to pay unspecified compensation to the security company. In the complaint, ADT said it asked Ring to stop copying its blue octagon logo in 2016, after which the Amazon-owned company removed the blue color from its sign, but kept the octagon shape. In late March, upon releasing a new outdoor siren, Ring added the blue back to its advertising materials. ADT also said in the complaint that it owns 12 trademarks for the shape, color and look of its blue, octagonal sign.
Google

JavaScript Developers Left in the Dark After DroidScript Software Shut Down by Google Over Ad Fraud Allegations (theregister.com) 40

On the last day of March, DroidScript, a popular Android app for writing JavaScript code, had its Google advertising account suspended and a week later was removed from the Google Play Store for alleged ad fraud. From a report: David Hurren, founder of the non-profit DroidScript.org and of SoftCogs Ltd, a UK-based software firm, is baffled by the charge and asked Google to explain how it came to that conclusion and to reconsider its suspension of DroidScript. But his appeals have been answered by form letters and now the app, used by more than 100,000 developers, including students, teachers and professionals, is losing premium subscribers as well as ad revenue with no further explanation from Google.

The app had only a single banner, added "reluctantly added to cover our development and hosting costs," Hurren explained in a DroidScript forum post about the crisis. Denied access to ad revenue and details about the supposed infraction, Hurren set about creating a new version without the AdMob banner ad shortly after the AdMob account suspension, knowing this might also prevent DroidScript users from implementing AdMob in their own apps. But Google, on April 7, suspended the app on Google Play, preventing any new version from being released. Hurren said that means the app loses all the user-ratings, download statistics, and premium subscribers accrued over the past seven years.

IOS

Apple Releases iOS 14.5 With Much-Talked About App Tracking Transparency Feature (apple.com) 19

Apple on Monday released iOS 14.5, which bring a range of new features to iPhone, including the ability to unlock iPhone with Apple Watch while wearing a face mask, more diverse Siri voices, new privacy controls, skin tone options to better represent couples in emoji, and much more. iOS 14.5 builds on the reimagined iPhone experience introduced in iOS 14, and is available today as a free software update. Regarding the new privacy controls, Apple has described it as: App Tracking Transparency requires apps to get the user's permission before tracking their data across apps or websites owned by other companies for advertising, or sharing their data with data brokers. Apps can prompt users for permission, and in Settings, users will be able to see which apps have requested permission to track so they can make changes to their choice at any time.
Facebook

How Mark Zuckerberg and Tim Cook Became Foes (nytimes.com) 118

The chief executives of Facebook and Apple have opposing visions for the future of the internet. Their differences are set to escalate later today. The New York Times: At a confab for tech and media moguls in Sun Valley, Idaho, in July 2019, Timothy D. Cook of Apple and Mark Zuckerberg of Facebook sat down to repair their fraying relationship. For years, the chief executives had met annually at the conference, which was held by the investment bank Allen & Company, to catch up. But this time, Facebook was grappling with a data privacy scandal. Mr. Zuckerberg had been blasted by lawmakers, regulators and executives -- including Mr. Cook -- for letting the information of more than 50 million Facebook users be harvested by a voter-profiling firm, Cambridge Analytica, without their consent. At the meeting, Mr. Zuckerberg asked Mr. Cook how he would handle the fallout from the controversy, people with knowledge of the conversation said. Mr. Cook responded acidly that Facebook should delete any information that it had collected about people outside of its core apps.

Mr. Zuckerberg was stunned, said the people, who were not authorized to speak publicly. Facebook depends on data about its users to target them with online ads and to make money. By urging Facebook to stop gathering that information, Mr. Cook was in effect telling Mr. Zuckerberg that his business was untenable. He ignored Mr. Cook's advice. Two years later, Mr. Zuckerberg and Mr. Cook's opposing positions have exploded into an all-out war. On Monday, Apple plans to release a new privacy feature that requires iPhone owners to explicitly choose whether to let apps like Facebook track them across other apps. One of the secrets of digital advertising is that companies like Facebook follow people's online habits as they click on other programs, like Spotify and Amazon, on smartphones. That data helps advertisers pinpoint users' interests and better target finely tuned ads. Now, many people are expected to say no to that tracking, delivering a blow to online advertising -- and Facebook's $70 billion business.

At the center of the fight are the two C.E.O.s. Their differences have long been evident. Mr. Cook, 60, is a polished executive who rose through Apple's ranks by constructing efficient supply chains. Mr. Zuckerberg, 36, is a Harvard dropout who built a social-media empire with an anything-goes stance toward free speech. Those contrasts have widened with their deeply divergent visions for the digital future. Mr. Cook wants people to pay a premium -- often to Apple -- for a safer, more private version of the internet. It is a strategy that keeps Apple firmly in control. But Mr. Zuckerberg champions an "open' internet where services like Facebook are effectively free. In that scenario, advertisers foot the bill. The relationship between the chief executives has become increasingly chilly, people familiar with the men said. While Mr. Zuckerberg once took walks and dined with Steve Jobs, Apple's late co-founder, he does not do so with Mr. Cook. Mr. Cook regularly met with Larry Page, Google's co-founder, but he and Mr. Zuckerberg see each other infrequently at events like the Allen & Company conference, these people said.

Facebook

Facebook Mistakenly Deletes Page for the Town of Bitche, France (slate.com) 76

"Ville de Bitche is a town situated in northwestern France with a rich military history, pastoral landscape, and an unfortunate sounding name," reports Slate. (Adding that the "e" is silent....)

"Recently tiny Bitche made international headlines after Facebook mistook the city's name for a swear word and deleted the town's Facebook page." The city's communication manager, Valêrie Degouy, contacted Facebook on March 19 to explain the situation and ask the company to reverse its decision — for the second time. (The page was previously deleted in 2016.) As she awaited Facebook's response — which apologized and reinstated the page Tuesday — Degouy set up a new page for her town, under the name of Marie 57230, her city's postal code. Although Facebook's mistake seems innocuous enough, for the towns located around Bitche, local Facebook pages serve as the main form of communication. Shutting the page down effectively creates a local news blackout. When Rohrbach-les Bitche — a nearby town in the region — heard about the deletion, it quickly rid "ls-Bitche" from its Facebook page name to avoid a similar fate...

The residents of Bitche are far from alone in their reliance on Facebook for local news. In the United States alone, more than 2,000 local newspapers have closed over the past two decades, according to an estimate from Joshua Scacco, associate professor of political communication at the University of South Florida. In these news deserts, Facebook has risen as an alternative information source, allowing anyone with an account to share updates and post events...

But Facebook is not only filling the local news void — it is tied to local papers' disappearance. "Social and digital media are a contributing factor in thinking about the declines of the presence of local newsrooms, as well as what that coverage looks like for the local newsrooms that remain," Scacco says. Facebook is moving advertising dollars away from local newspapers, and even driving the content local newspapers create. Local news coverage often panders to Facebook's algorithms when creating content and headlines, notes Ashley Muddiman, a communications professor at the University of Kansas.

Movies

Apple Must Face Lawsuit for Telling Consumers They Can 'Buy' Movies, TV Shows (hollywoodreporter.com) 130

If possession is nine-tenths of the law, what happens when possession gets slippery? From a report: That's a question for a federal courtroom in Sacramento, California, where Apple is facing a putative class action over the way consumers can "buy" or "rent" movies, TV shows and other content in the iTunes Store. David Andino, the lead plaintiff in this case, argues the distinction is deceptive. He alleges Apple reserves the right to terminate access to what consumers have "purchased," and in fact, has done so on numerous occasions. This week, U.S. District Court Judge John Mendez made clear he isn't ready to buy into Apple's view of consumer expectations in the digital marketplace. "Apple contends that '[n]o reasonable consumer would believe' that purchased content would remain on the iTunes platform indefinitely," writes Mendez. "But in common usage, the term 'buy' means to acquire possession over something. It seems plausible, at least at the motion to dismiss stage, that reasonable consumers would expect their access couldn't be revoked." Apple tried other ways to slip away from claims of false advertising and unfair competition. For example, it tried the time-tested approach of challenging Andino's "injury" to knock his potential standing as a plaintiff.
Google

Daily Mail Owner Sues Google Over Search Results (bbc.com) 73

The owner of the Daily Mail newspaper and MailOnline website is suing Google over allegations the search engine manipulates search results. The BBC reports: Associated Newspapers accuses Google of having too much control over online advertising and of downgrading links to its stories, favoring other outlets. It alleges Google "punishes" publishers in its rankings if they don't sell enough advertising space in its marketplace. Google called the claims "meritless."

Associated Newspapers' concerns stem from its assessment that its coverage of the Royal Family in 2021 has been downplayed in search results. For example, it claims that British users searching for broadcaster Piers Morgan's comments on the Duchess of Sussex following an interview with Oprah Winfrey were more likely to see articles about Morgan produced by smaller, regional outlets. That is despite the Daily Mail writing multiple stories a day about his comments around that time and employing him as a columnist.
In response, a Google spokesperson said: "The Daily Mail's claims are completely inaccurate. The use of our ad tech tools has no bearing on how a publisher's website ranks in Google search. More generally, we compete in a crowded and competitive ad tech space where publishers have and exercise multiple options. The Daily Mail itself authorizes dozens of ad tech companies to sell and manage their ad space, including Amazon, Verizon and more. We will defend ourselves against these meritless claims."
The Internet

WordPress To Automatically Disable Google FLoC On Websites (bleepingcomputer.com) 79

AmiMoJo writes: WordPress announced over the weekend that they plan on treating Google's new FLoC tracking technology as a security concern and hence block it by default on WordPress sites. For some time, browsers have begun to increasingly block third-party browser cookies used by advertisers for interest-based advertising. In response, Google introduced a new ad tracking technology called Federated Learning of Cohorts, or FLoC, that uses a web browser to anonymously place users into interest or behavioral buckets based on how they browse the web. After Google began testing FLoC this month in Google Chrome, there has been a consensus among privacy advocates that Google's FLoC implementation just replaces one privacy risk with another one.

"WordPress powers approximately 41% of the web -- and this community can help combat racism, sexism, anti-LGBTQ+ discrimination and discrimination against those with mental illness with four lines of code," says WordPress. WordPress states that this code is planned for WordPress 5.8, scheduled for release in July 2021. As FLoC is expected to roll out sooner, WordPress is considering back-porting this code to earlier versions to "amplify the impact" on current versions of the blogging platform.
Further reading: Nobody is Flying To Join Google's FLoC.
Google

Nobody is Flying To Join Google's FLoC (theverge.com) 65

Google is all alone with its proposed advertising technology -- FLoC-- to replace third-party cookies. Every major browser that uses the open source Chromium project has declined to use it, and it's unclear what that will mean for the future of advertising on the web. Firefox, Safari, Microsoft Edge, Vivaldi, and Brave have said they are not implementing Google's FLoC into their browsers.
Google

Google's FeedBurner Moves To a New Infrastructure But Loses Its Email Subscription Service (techcrunch.com) 6

Google today announced that it is moving FeedBurner to a new infrastructure but also deprecating its email subscription service. From a report: If you're an internet user of a certain age, chances are you used Google's FeedBurner to manage the RSS feeds of your personal blogs and early podcasts at some point. During the Web 2.0 era, it was the de facto standard for feed management and analytics, after all. Founded in 2004, with Dick Costolo as one of its co-founders (before he became Twitter's CEO in 2010), it was acquired by Google in 2007. Ever since, FeedBurner lingered in an odd kind of limbo. While Google had no qualms shutting down popular services like Google Reader in favor of its ill-fated social experiments like Google+, FeedBurner just kept burning feeds day in and day out, even as Google slowly deprecated some parts of the service, most notably its advertising integrations. [...] But in July, it is also shutting down some non-core features that don't directly involve feed management, most importantly the FeedBurner email subscription service that allowed you to get emailed alerts when a feed updates. Feed owners will be able to download their email subscriber lists (and will be able to do so after July, too).
The Courts

Charter Must Pay $19 Million For Tricking Customers Into Switching ISPs (arstechnica.com) 34

A judge has ordered Charter Communications to pay $19.2 million to Windstream for lying to customers in order to trick them into switching from Windstream to Charter's Spectrum Internet service. Charter also faces a $5,279 penalty for shutting off service to hundreds of Windstream's resale customers. Ars Technica reports: When Windstream filed for bankruptcy in early 2019, Charter began a "literally false and intentionally misleading advertising campaign intended to create the impression, using mailings designed to seem as if they were coming from the Debtors [Windstream], that the Debtors were going out of business," said an order issued Thursday by Judge Robert Drain of US Bankruptcy Court for the Southern District of New York. Charter's goal with the mailings "was to induce the Debtors' customers to terminate their contracts and switch to Charter by sending them literally false and intentionally misleading information about the Debtors' bankruptcy cases and financial wherewithal," the ruling said. Charter premised its ad campaign "on false assertions regarding the Debtors' bankruptcy cases," the ruling said.

"We are gratified that Judge Drain's ruling means Charter will have to pay a significant price for its egregious false advertising," Windstream General Counsel Kristi Moody said, according to a FierceTelecom article. "Charter knew full well what it was doing when it embarked on a dishonest scare-tactic campaign to lure away our customers. At Windstream, we will always aggressively defend ourselves and our customers against predatory schemes and meritless allegations."

Google

Google Accused of Secret Program Giving Them an Unfair Advantage in Ad-Buying (nypost.com) 26

Google "has utilized a secret program to track bids on its ad-buying platform," writes the New York Post, "and has been accused of using the information to gain an unfair market advantage that raked in hundreds of millions of dollars annually, according to a report." The initiative — dubbed "Project Bernanke" in an apparent reference to former Federal Reserve chairman Ben Bernanke — was detailed in court filings in an ongoing Texas-led antitrust suit, which were initially uploaded to an online docket with incomplete redactions, The Wall Street Journal reported Saturday... Lawyers for the Lone Star State argue, however, that the program was tantamount to insider trading, particularly when combined with Google's complicated, multi-layered role in the online advertising marketplace.

The company operates simultaneously as the operator of a major ad exchange, a representative of both buyers and sellers on the exchange — and a buyer in its own right, according to the suit. By using Project Bernanke's inside information on what other ad buyers were willing to pay for space, Google could tailor its operations to beat out rivals and bid the bare minimum to secure ad inventory, the state reportedly alleges...

Separately, the filings reveal more details about Jedi Blue — an alleged hush-hush deal in which Google allegedly guaranteed that Facebook would win a fixed percentage of advertising deals in which the social media giant bid... Google also admitted that the deal required Facebook to spend $500 million or more in Google's Ad Manager or AdMob bids in the pact's fourth year, and that Facebook agreed to make efforts to win 10 percent of the auctions in which it competed, the WSJ said.

The arrangement appeared "to allow Facebook to bid and win more often in auctions," lawyers for Texas alleged in their filings.

China

Major Advertiser Works With China to Try Bypassing Apple's Privacy Rules (wsj.com) 86

Procter & Gamble "helped develop a technique being tested in China to gather iPhone data for targeted ads, a step intended to give companies a way around Apple Inc.'s new privacy tools," reports the Wall Street Journal. (Citing "people familiar with the matter.") The move is part of a broader effort by the consumer-goods giant to prepare for an era in which new rules and consumer preferences limit the amount of data available to marketers. P&G — among the world's largest advertisers, with brands such as Gillette razors and Charmin toilet paper — is the biggest Western company involved in the effort, the people said.

The company has joined forces with dozens of Chinese trade groups and tech firms working with the state-backed China Advertising Association to develop the new technique, which would use technology called device fingerprinting, the people said. Dubbed CAID, the advertising method is being tested through apps and gathers iPhone user data. Through the use of an algorithm, it can track users for purposes of targeting ads in a way that Apple is seeking to prevent.

Apple's response? "We believe strongly that users should be asked for their permission before being tracked. Apps that are found to disregard the user's choice will be rejected."
Facebook

Research Says Facebook's Ad Algorithm Perpetuates Gender Bias 105

New research from a team at the University of Southern California provides further evidence that Facebook's advertising system is discriminatory, showing that the algorithm used to target ads reproduced real-world gender disparities when showing job listings, even among equally qualified candidates. The Intercept reports: In fields from software engineering to sales to food delivery, the team ran sets of ads promoting real job openings at roughly equivalent companies requiring roughly the same skills, one for a company whose existing workforce was disproportionately male and one that was disproportionately female. Facebook showed more men the ads for the disproportionately male companies and more women the ads for the disproportionately female companies, even though the job qualifications were the same. The paper concludes that Facebook could very well be violating federal anti-discrimination laws. "We confirm that Facebook's ad delivery can result in skew of job ad delivery by gender beyond what can be legally justified by possible differences in qualifications," the team wrote.

The paper can be found here.
Android

Google Illegally Tracking Android Users, According To New Complaint (arstechnica.com) 28

schwit1 shares a report from Ars Technica: Austrian privacy activist Max Schrems has filed a complaint against Google in France alleging that the US tech giant is illegally tracking users on Android phones without their consent. Android phones generate unique advertising codes, similar to Apple's Identifier for Advertisers (IDFA), that allow Google and third parties to track users' browsing behavior in order to better target them with advertising. In a complaint filed on Wednesday, Schrems' campaign group Noyb argued that in creating and storing these codes without first obtaining explicit permission from users, Google was engaging in "illegal operations" that violate EU privacy laws.

Noyb urged France's data privacy regulator to launch a probe into Google's tracking practices and to force the company to comply with privacy rules. It argued that fines should be imposed on the tech giant if the watchdog finds evidence of wrongdoing. "Through these hidden identifiers on your phone, Google and third parties can track users without their consent," said Stefano Rossetti, privacy lawyer at Noyb. "It is like having powder on your hands and feet, leaving a trace of everything you do on your phone -- from whether you swiped right or left to the song you downloaded." Last year, Schrems won a landmark case at Europe's highest court that ruled a transatlantic agreement on transferring data between the bloc and the US used by thousands of corporations did not protect EU citizens' privacy.

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