Data broker Mobilewalla is facing a proposed court order that would ban it from selling sensitive location data after it allegedly collected and sold the information of millions of Americans without properly verifying consent.
Between Jan. 2018 and June 2020, Mobilewalla allegedly collected more than 500 million unique advertising identifies paired with precise location data, but didn't take steps to anonymize the data or properly get consent, the Federal Trade Commission said Tuesday.
“Persistent tracking by data brokers can put millions of Americans at risk, exposing the precise locations where service members are stationed or which medical treatments someone is seeking,” FTC Chair Lina Khan said. “Mobilewalla exploited vulnerabilities in digital ad markets to harvest this data at a stunning scale."
Sensitive location data includes identifying information on home addresses, shopping and other visits.
Visits to pregnancy centers were tracked
For example, the FTC said that Mobilewalla collected location data on women who visited pregnancy centers.
Mobilewalla also used location data to pinpoint the cities and racial backgrounds of people involved in the George Floyd protests, the FTC said.
The FTC's proposed settlement would ban Mobilewalla from selling sensitive location data, including data that reveals the identity of a person's home.
A spokesperson for Mobilewalla told ConsumerAffairs the company is satisfied with the settlement, but disagrees with some of the FTC's allegations.
"While we disagree with many of the FTC’s allegations and implications that Mobilewalla tracks and targets individuals based on sensitive categories, we are satisfied that the resolution will allow us to continue providing valuable insights to businesses in a manner that respects and protects consumer privacy," a spokesperson for Mobilewalla told ConsumerAffairs.
Mobilewalla allegedly collected location data from real-time auctions and third parties before selling it to clients, who are often advertisers looking to better target people, the FTC said.
The company didn't anonymize the raw location data it collected or remove sensitive locations, such as home addresses, meaning the data could be traced to a person's mobile device, the FTC said.
The same day, the FTC alleged Venntel unlawfully tracked and sold location data, such as on places of worship and health centers.
Also on Tuesday, the Consumer Financial Protection Bureau said it was seeking tighter rules on data brokers who sell personal and financial information.