The US Federal Communications Commission (FCC) has handed down a huge $7.4m fine to Verizon for failing to give new customers the ability to opt out of marketing calls from the company.
The FCC's scary-sounding Enforcement Bureau’s found that Verizon failed to notify approximately two million new customers on their first invoices or in welcome letters, of their privacy rights. This included how to opt out from having their personal information used in marketing campaigns.
The fine is a huge amount for something so, ultimately, trivial as to be rung a few times by sales reps from the company, but it underlines the vast disparity between the US's stance on data privacy and the UK's.
The Information Commissioner's Office (ICO), which oversees issues of data protection and privacy in the UK, has come down hard on marketing firms in recent years, issuing fines of £45,000, £50,000 and £90,000 against companies that bombarded people with calls, despite being told to stop.
Comparing the two situations, the latter error seems the more egregious. While it may be annoying to not be told you have the right to opt out of marketing calls, to actively tell a company not to contact you and have them ignore that, seems so much worse.
Of course, it should be noted that the fines handed down by the ICO were against small to medium-sized companies, rather than a telecoms giant such as Verizon, and the FCC may have been making a point to other similarly sized companies of the seriousness of the situation.
Even so, though, a UK business giant could only face a fine of £500,000 from the ICO for any data or privacy error, so perhaps it's no wonder that, despite fines repeatedly being handed out by the watchdog, data breach incidents continue to happen.
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