Google: OK, OK, we pinky promise not to suck Fitbit health data into the borg. Now will you approve the sale?
- Reference: 1594762087
- News link: https://www.theregister.co.uk/2020/07/14/google_fitbit_data/
- Source link:
“This deal is about devices, not data,” the Chocolate Factory said in a statement this week. “We appreciate the opportunity to work with the European Commission on an approach that safeguards consumers’ expectations that Fitbit device data won’t be used for advertising,”
The statement follows a letter sent earlier this month from 20 consumer and citizen rights groups to European regulators [1]urging them to look closely at Google’s plans and its long history of playing fast and loose with user data.
EU regulators were due to make a decision on whether to approve the sale next week, but following Google’s statement have pushed the decision date back to 4 August. It’s not clear why: Google said exactly the same thing when it announced back in November that it wanted to buy Fitbit.
Consumer orgs ask world's competition watchdogs: Are you really going to let Google walk off with all Fitbit's data? [2]READ MORE
Google's senior VP of devices and services Rick Osterloh wrote in a [3]blog post at the time: “When you use our products, you’re trusting Google with your information. We understand this is a big responsibility and we work hard to protect your information, put you in control and give you transparency about your data.
“Similar to our other products, with wearables, we will be transparent about the data we collect and why. We will never sell personal information to anyone. Fitbit health and wellness data will not be used for Google ads. And we will give Fitbit users the choice to review, move, or delete their data.”
But despite the seemingly clear language, Google has a long history of saying one thing and doing another. Critics remain opposed to the sale and simply don’t believe that health data won’t end up being repackaged by the tech giant to make money.
Groundhog Day
Google’s frequent promises to give users control of their data have consistently [4]fallen short , with the web goliath [5]misleading netizens in order to retain access to valuable data. One of the clearest examples of Google double-speak is its option called “location history,” that doesn’t actually turn off the gathering of location data when you toggle it off. Actual location data is instead included under a "web and app Activity" setting that makes no mention of location data.
The letter from consumer groups this month warned that "Google could exploit Fitbit's exceptionally valuable health and location datasets, and data collection capabilities, to strengthen its already dominant position in digital markets such as online advertising.”
And last month, Australia’s Competition and Consumer Commission also [6]flagged “preliminary competition concerns” with the acquisition, saying that it worries the deal “will allow Google to build an even more comprehensive set of user data, further cementing its position and raising barriers to entry to potential rivals.”
US antitrust authorities are also unsure, and even fought one another to get control of the purchase review. The US Department of Justice beat out the Federal Trade Commission (FTC) to [7]become the top dog , largely because the DoJ was already investigating Google for broad anti-competitive actions in other areas.
Wear this
The purchase, which Google [8]announced back in November, represented a 70 per cent premium on Fitbit’s share price, and was seemingly spurred by the fact that tech giant rivals are already in the market, most significantly Apple and its smart-watch and Samsung’s Galaxy watch range.
Fitbit one dominated wearable fitness devices but in recent years has fallen to just 3 per cent of the market as other companies, including Apple, Xiaomi, Samsung and Huawei, have released their own products. Without the value of the data what exactly is Google getting for its $2.1bn, one wonders.
Despite the US, Australia and Europe all opening reviews of the sale, the truth is that antitrust law rarely if ever takes into account the real risk from the Fitbit purchase by Google: privacy.
Antitrust laws are built around competition concerns. However, Europe have become increasingly concerned with privacy issues in recent years and - given the size of the potential risk to people’s privacy - it may be sufficient to sway EU regulators to decide against the sale. ®
Get our [9]Tech Resources
[1] https://www.theregister.com/2020/07/02/open_letter_google_fitbit_competition/
[2] https://www.theregister.com/2020/07/02/open_letter_google_fitbit_competition/
[3] https://blog.google/products/hardware/agreement-with-fitbit?utm_source=tw&utm_medium=social&utm_campaign=og
[4] https://www.theregister.com/2018/10/23/facebook_google_sued_location_data/
[5] https://www.theregister.com/2018/08/17/google_location_tracking/
[6] https://www.theregister.com/2020/06/18/accc_google_fitbit_competition_concerns/
[7] https://www.theregister.com/2019/12/12/doj_fitbit_google_antitrust/
[8] https://www.theregister.com/2019/11/01/google_buys_fitbit/
[9] https://whitepapers.theregister.com/
"Fitbit health and wellness data will not be used for Google ads"
Thanks. That's just one tiny opportunity in the sea of ways to monetise the data.
A shame
I liked my Fitbit and I found the service very good. The moment a Google came sniffing, I ditched the device and service.
No service is perfect or can be trusted but when you’ve got Google’s form, you’d better be happy having your bowel movements as public knowledge.
I did get some comments saying I was using the Fitbit incorrectly. Hey ho.
We accept your conditions, just prove your honesty
Dear Google. We are happy to tell you that we have accepted your conditions, namely that you guarantee that you have not, are not, and will never use data collected or entered on Fitbit devices for advertising purposes and that it will never be visible to any system which also stores data processed for advertising. We are now happy to approve your sale, but we require one final item. In order to prove that you are complying with your own conditions, we will need to see and audit both of the following systems: A) the code run on Fitbits and any remote system with which they interact (recursively), and B) the systems and data on which you base your advertising decisions. These audits will need to be ongoing while your company continues to produce wearable products or software which interacts with wearable products. If you decide not to comply, we will be required to deny your request to acquire. Please note that providing false information in this step is a violation of laws in every EU member state and punishable by prison terms for every manager and forfeiture of all financial resources. Also please note that information provided during this process may be used by data protection authorities. Congratulations on this approval for your proposed acquisition.
Buyouts generally incur damage despite promises
The damage may not be noticed for a while, but eventually it becomes obvious e.g. I bet that Google will eventually either kill off support or coerce user migration to a google service which breaks the assurances of data privacy. I've seen customers face similar from the other side after takeover by a large USA corporation...
How about the EU stipulate that any device that has your personal data can be used as a standalone device and that data can be downloaded to your PC only.
For some reason, everyone thinks that any company (device) has the right to hold your data on their servers, as long as it adheres to GDPR.
You don't pay 70% premium on a share if you don't expect to get he money back. Google cannot be trusted, prove that time and again and should be broken up.