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ARTICLE · 13 JANUARY 2016

The FTC Weighs In On Big Data

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The FTC urged companies to ensure that they have an understanding of consumer protection laws that might apply to their Big Data practices.

United StatesConsumer Protection
Judy Selby
Judy Selby
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The United States Federal Trade Commission (FTC) has issued a new Report on Big Data, entitled "Big Data: A Tool for Inclusion or Exclusion? Understanding the Issues," to provide guidance to companies about their Big Data practices. While acknowledging the numerous issues associated with the use of Big Data, the FTC explicitly limited its focus to the commercial use of Big Data consisting of consumer information, and its impact on low-income and underserved populations.

The Commission explained:

[This Report] discusses the benefits and risks created by the use of big data analytics; the consumer protection and equal opportunity laws that currently apply to big data; research in the field of big data; and lessons that companies should take from the research. Ultimately, this report is intended to educate businesses on important laws and research that are relevant to big data analysis and provide suggestions aimed at maximizing the benefits and minimizing its risks.

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