WhatsApp may cause Facebook to violate Section 5 of the Federal Trade Commission Act

Although the FTC approved the Facebook Inc. (NASDAQ:FB) acquisition of WhatsApp; it wants to make sure that WhatsApp keeps its promises of maintaining the privacy of its users. Jessica Rich, the director of the FTC’s Bureau of Consumer Protection, sent a letter stating:

“WhatsApp has made a number of promises about the limited nature of the data it collects, maintains, and shares with third parties — promises that exceed the protections currently promised to Facebook users. We want to make clear that, regardless of the acquisition, WhatsApp must continue to honor these promises to consumers.”

WhatsappBoth WhatsApp and Facebook were warned that if they fail to honor its policies, that they may be in violation of Section 5 of the Federal Trade Commission (FTC) Act and, potentially, a previous FTC order against Facebook concerning user privacy.

Even though WhatsApp built its platform around privacy, stating it was embedded in their DNA, the company still received an investigation and censure in 2013 for several privacy violations. This was prompted through a joint investigation made by Canadian and Dutch authorities.

Rich wanted to remind WhatsApp of their privacy policies, which includes and is not limited to, not collecting names, email addresses, or other contact information from its users’ mobile devices. WhatsApp also promises not to collect location data or copy and archive content of any messages sent or received.

Additionally, WhatsApp has promised not to send marketing messages without the users’ consent or to share personally identifiable information. Facebook CEO Mark Zuckerberg also shared, “We are absolutely not going to change plans around WhatsApp and the way it uses user data.”

Rich also stated, “If you choose to use data collected by WhatsApp in a manner that is materially inconsistent with the promises WhatsApp made at the time of collection, you must obtain consumers’ affirmative consent before doing so.”

It looks like, for now, this is a win for the consumer when it comes to privacy rights. However, is there really a guaranteed way to check on these types of companies? They have the world’s best and brightest working for them. Sometimes, it feels as if you’re just waiting for the next headline stating that all of these tech companies actually do not protect your privacy. Yes, I am a little cynical.