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FTC urged to stop tech makers downgrading devices after you've bought them

(2024/09/07)


Consumer and digital rights activists are calling on the US Federal Trade Commission to stop device-makers using software to reduce product functionality, bricking unloved kit, or adding surprise fees post-purchase.

In an [1]eight-page letter [PDF] to the Commission (FTC), the activists mentioned the Google/Levis collaboration on a denim jacket that contained sensors enabling it to control an Android device through a special app. When the app was discontinued in 2023, the jacket lost that functionality. The letter also mentions the "Car Thing," an automotive infotainment device created by Spotify, which bricked the device fewer than two years after launch and didn't offer a refund.

You've just spent $400 on a baby monitor. Now you need a subscription [2]READ MORE

Another example highlighted is the [3]$1,695 Snoo connected bassinet, manufactured by an outfit named Happiest Baby. Kids outgrow bassinets, yet Happiest Baby this year notified customers that if they ever sold or gave away their bassinets, the device’s next owner would have to pay a new $19.99 monthly subscription fee to keep certain features. Activists argue that reduces the resale value of the devices.

Signatories to the letter include individuals from Consumer Reports, the Electronic Frontier Foundation, teardown artists iFixit, and the Software Freedom Conservancy. Environmental groups and computer repair shops also signed the letter.

The signatories urged the FTC to create "clear guidance" that would prevent device manufacturers from using software that locks out features and functions in products that are already owned by customers.

[4]

The practice of using software to block features and functions is referred to by the signatories as "software tethering."

[5]

[6]

"Consumers need a clear standard for what to expect when purchasing a connected device," stated Justin Brookman, director of technology policy at Consumer Reports and a former policy director of the FTC's Office of Technology, Research, and Investigation. "Too often, consumers are left with devices that stop functioning because companies decide to end support without little to no warning. This leaves people stranded with devices they once relied on, unable to access features or updates."

"Consumers increasingly face a death by a thousand cuts as connected products they purchase lose their software support or advertised features that may have prompted the original purchase," the letter states. "They may see the device turned into a brick or their favorite features locked behind a subscription. Such software tethers also prevent consumers from reselling their purchases, as some software features may not transfer, or manufacturers may shut down devices, causing a second-hand buyer harm."

[7]

Brookman told The Register that he believes this is the first such policy request to the FTC that asks the agency to help consumers with this dilemma.

"I'm not aware of a previous effort from public interest groups to get the FTC to take action on this issue - it's still a relatively new issue with no clear established norms," he wrote in an email. "But it has certainly become an issue" that comes up more and more with device makers as they change their rules about product updates and usage.

"The FTC has done some limited actions on the topic … but not enough to set clear practices for industry to follow."

[8]FTC grabs controller as Microsoft jacks up Game Pass price by 81%

[9]Security biz Verkada to pay $3M penalty under deal that also enforces infosec upgrade

[10]FTC sticks a probe into 'surveillance pricing' Big Biz uses to gouge us all

[11]It's uncertain where personal technology is heading, but judging from CES, it smells

Consumer tech companies aren’t alone in this sort of thing. Cisco regularly [12]advises its customers to dump old kit that has security problems and has passed its end-of-support date.

The Register will watch to see if the FTC responds to the activists and inform you of any progress. ®

Get our [13]Tech Resources



[1] https://advocacy.consumerreports.org/wp-content/uploads/2024/09/FTCLetter9.5.2024.pdf

[2] https://www.theregister.com/2023/10/06/miku_baby_monitor/

[3] https://advocacy.consumerreports.org/press_release/ftc-software-tethering/

[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/personaltech&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2ZtvP5yNOTMolAxtMZchijwAAAU0&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0

[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/personaltech&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44ZtvP5yNOTMolAxtMZchijwAAAU0&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0

[6] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/personaltech&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33ZtvP5yNOTMolAxtMZchijwAAAU0&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0

[7] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/personaltech&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44ZtvP5yNOTMolAxtMZchijwAAAU0&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0

[8] https://www.theregister.com/2024/07/20/microsoft_game_pass_ftc/

[9] https://www.theregister.com/2024/09/05/verkada_ftc_settlement/

[10] https://www.theregister.com/2024/07/23/ftc_surveillance_pricing/

[11] https://www.theregister.com/2024/01/12/ces_analysis/

[12] https://www.theregister.com/2023/05/05/cisco_phone_adapter_vulnerabilitty/

[13] https://whitepapers.theregister.com/



Gene Cash

"The Register will watch to see if the FTC responds to the activists and inform you of any progress"

Thanks, but don't hold your breath...

The Central Scrutinizer

This is why you never, ever buy so called "smart" stuff, because it's sold by bastards who want to keep charging you ad infinitum or just can't be arsed supporting it anymore.

Reminds me of TV sets

Herby

Before the "digital TV" revolution, TV sets made in the 1950's worked just fine here in the USA (I don't know about the 405 line ones used in the UK). Sure they only displayed monochrome, but they worked for OVER 50 years. I doubt that any other tech equipment has that long a lifetime.

Motor vehicles and weapons might be exceptions, but 50-75 years ago these weren't "high tech!".

Re: Reminds me of TV sets

DS999

I would love to buy TVs equivalent to the ones sold today with no apps. No support for streaming or casting, nothing that can control it other than the remote it comes with, can only display a picture from an attached HDMI device.

I wish there was a law that said that TVs sold in the US have to have a switch in the back that if flipped, disabled all the smart stuff and made it default to showing HDMI1 input when powered on. Or that someone would DD-WRT them and find a way to wipe the OS and replace it with it something that basically turned it into a dumb monitor. No drivers for the antenna or the wifi? Who cares, I don't need either! Can't do the fancy AI picture smoothing or soap opera mode stuff? Don't want it! All I care is that it can turn on/off, adjust volume, and switch between the various HDMI inputs. If I can do stuff that became common in the 80/90s like adjusting the color from the defaults that's nice to have, but even that is probably something I can live without.

If it requires an app to function or control

DS999

You should assume it has a limited life. Possibly very limited if you are buying it from a startup or no name company.

I mean, its stupid to have a bassinet that requires an app and subscription, but I assume it provides some capabilities that go beyond a normal bassinet that just sits there, or a slightly upscale one that can be set to rock unattended. But before buying something like that, you have to ask yourself - is what the app does something that couldn't be handled with a few buttons on the unit itself? Or is it just a risk that the company could go out of business, or start charging a subscription to access what used to be free after a year when sales drop like a rock because China clones are on the market for 1/10th of the price?

Car thing

Bendacious

Wow that Spotify Car Thing bricking is shocking. Just looked at the website (https://carthing.spotify.com/).

FAQ - What shall I do with my car thing? Find your local bin.

I don’t own one of these but even so Spotify will now never sell an item of hardware to my household or my family. I don’t understand why company loyalty/brand image doesn’t seem to matter any more. Am I hopelessly outdated because I remember bad treatment and avoid it in future? Companies must suffer some loss due to these shenanigans, no?

Coming soon

Kevin McMurtrie

How about the customer return window not closing until all advertised future features are delivered. That would be a deserved punch to the jaw for a lot electronics manufacturers, especially Sony, Panasonic, and Tesla.

This might backfire on consumers

Ball boy

For some products - maybe quite a lot of the consumer items - one possible response would be for the vendors to drop the price of the hardware but increase the monthly license fee. That would undermine the 'I'm not getting my resale value' argument at a stroke. They could drop the product with very little notice and, providing they stopped taking their fee, the consumer wouldn't have a leg to stand on.

Welcome to the brave new world.

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