Texas-Based Data Aggregator InMarket Media Faces Unprecedented Ban on Precise Geolocation Data Sales
In a landmark move, the Federal Trade Commission (FTC) has taken decisive action against a data broker for the first time, prohibiting the sale or licensing of people’s precise geolocation data without explicit consent. The regulatory body reached a settlement with Texas-based data aggregator InMarket Media, uncovering extensive gathering of consumer location data from mobile apps without adequate disclosure for targeted advertising purposes.
The FTC’s investigation revealed that InMarket Media engaged in marketing practices that raised serious concerns. The data broker reportedly catered to advertisers seeking specific demographic categories, including “Christian church-goers,” “parents of preschoolers,” and “children who are homeschooled.” The lack of transparency regarding the use of precise geolocation data for such targeted purposes prompted the FTC’s unprecedented action.
This crackdown signals a significant step forward in addressing privacy issues related to data brokerage, setting a precedent for future regulatory actions. The FTC’s move reinforces the need for data brokers to obtain explicit consent before selling or licensing individuals’ sensitive location information. The landmark decision is expected to have ripple effects across the data brokerage industry, emphasizing the importance of transparent and ethical data practices.