Google on Monday agreed to pay a record-breaking $391.5 million in settlement to settle a privacy lawsuit filed by a forty-state coalition of attorneys general over its location tracking practices.
The settlement, which was led by Oregon Attorney General Ellen Rosenblum and Nebraska AG Doug Peterson, is the largest attorney general-led consumer privacy settlement ever in the U.S., states the announcement published by DoJ.
The U.S. attorneys general opened the Google investigation following a 2018ย Associated Pressย article that revealed the search giant violated state consumer protection laws by misleading users and tracking their locations since at least 2014 even when they chose privacy settings claiming to prevent the company from doing so.
In particular, the tech giant confused its users about the extent to which they could limit Googleโs location tracking by adjusting their account and device settings.
In other words, Google misled its users into thinking that they had turned off location tracking in their account settings, when, in fact, it continued to track, record, and share usersโ device location data with advertisers.
โFor years Google has prioritized profit over their usersโ privacy. They have beenย crafty and deceptive. Consumers thought they had turned off their location tracking features on Google, but the company continued to secretly record their movements and use that information for advertisers,โ said Attorney General Rosenblum.
Location data is a key part of Googleโs digital advertising business, as it uses the personal and behavioral data it collects to build detailed user profiles and target ads.
In fact, location data is among the most sensitive and valuable personal information Google collects. However, location data can be used to expose a personโs identity and routines and can be used to infer personal information.
According to theย DoJโs press release, the AP article pointed out that are two settings responsible for the location data collection, โLocation Historyโ and โWeb & App Activityโ.
By default, the Location History is โoffโ unless a user turns on the setting, but โWeb & App Activityโ, which is a separate account setting, is automatically โonโ when users set up a Google account, including all Android users. This allowed the company to collect, store and use the usersโ personally identifiable location data.
โConsumer privacy is one of my officeโs top priorities. Thatโs why itโs so important to me that Oregon played a key role in this settlement.ย Until we have comprehensive privacy laws, companies will continue to compile large amounts of our personal data for marketing purposes with few controls,โ continued AG Rosenblum.
The settlement requires Google to be more transparent about its practices, including:
- Show additional information to users whenever they turn a location-related account setting โonโ or โoffโ;
- Make key information about location tracking unavoidable for users (i.e., not hidden); and
- Give users detailed information about the types of location data Google collects and how itโs used at an enhanced โLocation Technologiesโ webpage.
Additionally, the settlement also restricts Googleโs use and storage of certain types of location information and requires Google account controls to be more user-friendly.
A Google spokesman in a statement said the company is now in compliance with state regulators.
โConsistent with improvements weโve made in recent years, we have settled this investigation which was based on outdated product policies that we changed years ago,โ the statement said.
Following the settlement, Google announced that it has introduced more transparency and tools to help users manage their data and minimize the data that the company collects. The measures are:
- Launchedย auto-delete controls, a first in the industry, and turned them on by default for all new users, giving you the ability to automatically delete data on a rolling basis and only keep 3, 18, or 36 monthsโ worth of data at a time.
- Developed easy-to-understand settings likeย Incognito mode onย Google Maps, preventing searches or places you navigate to from being saved to your account.
- Introduced more transparency tools, includingย Your Data in Maps and Search, which lets you quickly access your key location settings right from our core products.