Consumer protection Archives | Page 74 of 231

CJEU tightens duties for online marketplaces

EU judges have ruled that online marketplaces must verify advertisers’ identities before publishing personal data. The judgment arose from a Romanian case involving an abusive anonymous advertisement containing sensitive information.

In this Romanian case, the Court found that marketplace operators influence the purposes and means of processing and therefore act as joint controllers. They must identify sensitive data before publication and ensure consent or another lawful basis exists.

Judges also held that anonymous users cannot lawfully publish sensitive personal data without proving the data subject’s explicit agreement. Platforms must refuse publication when identity checks fail or when no valid GDPR ground applies.

Operators must introduce safeguards to prevent unlawful copying of sensitive content across other websites. The Court confirmed that exemptions under E-commerce rules cannot override GDPR accountability duties.

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AI and automation need human oversight in decision-making

Leaders from academia and industry in Hyderabad, India are stressing that humans must remain central in decision-making as AI and automation expand across society. Collaborative intelligence, combining AI experts, domain specialists and human judgement, is seen as essential for responsible adoption.

Universities are encouraged to treat students as primary stakeholders, adapting curricula to integrate AI responsibly and avoid obsolescence. Competency-based, values-driven learning models are being promoted to prepare students to question, shape and lead through digital transformation.

Experts highlighted that modern communication is co-produced by humans, machines and algorithms. Designing AI to augment human agency rather than replace it ensures a balance between technology and human decision-making across education and industry.

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EU opens antitrust probe into Meta’s WhatsApp AI rollout

Brussels has opened an antitrust inquiry into Meta over how AI features were added to WhatsApp, focusing on whether the updated access policies hinder market competition. Regulators say scrutiny is needed as integrated assistants become central to messaging platforms.

Meta AI has been built into WhatsApp across Europe since early 2025, prompting questions about whether external AI providers face unfair barriers. Meta rejects the accusations and argues that users can reach rival tools through other digital channels.

Italy launched a related proceeding in July and expanded it in November, examining claims that Meta curtailed access for competing chatbots. Authorities worry that dominance in messaging could influence the wider AI services market.

EU officials confirmed the case will proceed under standard antitrust rules rather than the Digital Markets Act. Investigators aim to understand how embedded assistants reshape competitive dynamics in services used by millions.

European regulators say outcomes could guide future oversight as generative AI becomes woven into essential communications. The case signals growing concern about concentrated power in fast-evolving AI ecosystems.

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Uzbekistan sets principles for responsible AI

A new ethical framework for the development and use of AI technologies has been adopted by Uzbekistan.

The rules, prepared by the Ministry of Digital Technologies, establish unified standards for developers, implementing organisations and users of AI systems, ensuring AI respects human rights, privacy and societal trust.

A framework that is part of presidential decrees and resolutions aimed at advancing AI innovation across the country. It also emphasises legality, transparency, fairness, accountability, and continuous human oversight.

AI systems must avoid discrimination based on gender, nationality, religion, language or social origin.

Developers are required to ensure algorithmic clarity, assess risks and bias in advance, and prevent AI from causing harm to individuals, society, the state or the environment.

Users of AI systems must comply with legislation, safeguard personal data, and operate technologies responsibly. Any harm caused during AI development or deployment carries legal liability.

The Ministry of Digital Technologies will oversee standards, address ethical concerns, foster industry cooperation, and improve digital literacy across Uzbekistan.

An initiative that aligns with broader efforts to prepare Uzbekistan for AI adoption in healthcare, education, transport, space, and other sectors.

By establishing clear ethical principles, the country aims to strengthen trust in AI applications and ensure responsible and secure use nationwide.

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UNESCO launches AI guidelines for courts and tribunals

UNESCO has launched new Guidelines for the Use of AI Systems in Courts and Tribunals to ensure AI strengthens rather than undermines human-led justice. The initiative arrives as courts worldwide face millions of pending cases and limited resources.

In Argentina, AI-assisted legal tools have increased case processing by nearly 300%, while automated transcription in Egypt is improving court efficiency.

Judicial systems are increasingly encountering AI-generated evidence, AI-assisted sentencing, and automated administrative processes. AI misuse can have serious consequences, as seen in the UK High Court where false AI-generated arguments caused delays, extra costs, and fines.

UNESCO’s Guidelines aim to prevent such risks by emphasising human oversight, auditability, and ethical AI use.

The Guidelines outline 15 principles and provide recommendations for judicial organisations and individual judges throughout the AI lifecycle. They also serve as a benchmark for developing national and regional standards.

UNESCO’s Judges’ Initiative, which has trained over 36,000 judicial operators in 160 countries, played a key role in shaping and peer-reviewing the Guidelines.

The official launch will take place at the Athens Roundtable on AI and the Rule of Law in London on 4 December 2025. UNESCO aims for the standards to ensure responsible AI use, improve court efficiency, and uphold public trust in the judiciary.

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FCA launches AI Live Testing for UK financial firms

The UK’s Financial Conduct Authority has launched an AI Live Testing initiative to help firms safely deploy AI in financial markets. Major companies, including NatWest, Monzo, Santander, Scottish Widows, Gain Credit, Homeprotect, and Snorkl, are participating in the first cohort.

Firms receive tailored guidance from the FCA and its technical partner, Advai, to develop and assess AI applications responsibly.

AI testing focuses on retail financial services, exploring uses such as debt resolution, financial advice, improving customer engagement, streamlining complaints handling, and supporting smarter spending and saving decisions.

The project aims to answer key questions around evaluation frameworks, governance, live monitoring, and risk management to protect both consumers and markets.

Jessica Rusu, FCA chief data officer, said the initiative helps firms use AI safely while guiding the FCA on its impact in UK financial services. The project complements the FCA’s Supercharged Sandbox, which supports firms in earlier experimentation phases.

Applications for the second AI Live Testing cohort open in January 2026, with participating firms able to start testing in April. Insights from the initiative will inform FCA AI policy, supporting innovation while ensuring responsible deployment.

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Meta expands global push against online scam networks

The US tech giant, Meta, outlined an expanded strategy to limit online fraud by combining technical defences with stronger collaboration across industry and law enforcement.

The company described scams as a threat to user safety and as a direct risk to the credibility of its advertising ecosystem, which remains central to its business model.

Executives emphasised that large criminal networks continue to evolve and that a faster, coordinated response is essential instead of fragmented efforts.

Meta presented recent progress, noting that more than 134 million scam advertisements were removed in 2025 and that reports about misleading advertising fell significantly in the last fifteen months.

It also provided details about disrupted criminal networks that operated across Facebook, Instagram and WhatsApp.

Facial recognition tools played a crucial role in detecting scam content that utilised images of public figures, resulting in an increased volume of removals during testing, rather than allowing wider circulation.

Cooperation with law enforcement remains central to Meta’s approach. The company supported investigations that targeted criminal centres in Myanmar and illegal online gambling operations connected to transfers through anonymous accounts.

Information shared with financial institutions and partners in the Global Signal Exchange contributed to the removal of thousands of accounts. At the same time, legal action continued against those who used impersonation or bulk messaging to deceive users.

Meta stated that it backs bipartisan legislation designed to support a national response to online fraud. The company argued that new laws are necessary to weaken transnational groups behind large-scale scam operations and to protect users more effectively.

A broader aim is to strengthen trust across Meta’s services, rather than allowing criminal activity to undermine user confidence and advertiser investment.

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Public backlash grows as Coupang faces scrutiny over massive data leak

South Korea is facing broader concerns about data governance following Coupang’s confirmation of a breach affecting 33.7 million accounts. Investigators say the leak began months before it was detected, highlighting weak access controls and delayed monitoring across major firms.

Authorities believe a former employee exploited long-valid server tokens and unrevoked permissions to extract customer records. Officials say the scale of the incident underscores persistent gaps in offboarding processes and basic internal safeguards.

Regulators have launched parallel inquiries to assess compliance violations and examine whether structural weaknesses extend beyond a single company. Recent leaks at telecom and financial institutions have raised similar questions about systemic risk.

Public reaction has been intense, with online groups coordinating class-action filings and documenting spikes in spam after the exposure. Many argue that repeated incidents show a more profound corporate reluctance to invest meaningfully in security.

Lawmakers are now signalling plans for more substantial penalties and tighter oversight. Analysts warn that unless companies elevate data protection standards, South Korea will continue to face cascading breaches that damage public trust.

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Regulators question transparency after Mixpanel data leak

Mixpanel is facing criticism after disclosing a security incident with minimal detail, providing only a brief note before the US Thanksgiving weekend. Analysts say the timing and lack of clarity set a poor example for transparency in breach reporting.

OpenAI later confirmed its own exposure, stating that analytics data linked to developer activity had been obtained from Mixpanel’s systems. It stressed that ChatGPT users were not affected and that it had halted its use of the service following the incident.

OpenAI said the stolen information included names, email addresses, coarse location data and browser details, raising concerns about phishing risks. It noted that no advertising identifiers were involved, limiting broader cross-platform tracking.

Security experts say the breach highlights long-standing concerns about analytics companies that collect detailed behavioural and device data across thousands of apps. Mixpanel’s session-replay tools can be sensitive, as they can inadvertently capture private information.

Regulators argue the case shows why analytics providers have become prime targets for attackers. They say that more transparent disclosure from Mixpanel is needed to assess the scale of exposure and the potential impact on companies and end-users.

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Irish regulator probes an investigation into TikTok and LinkedIn

Regulators in Ireland have opened investigations into TikTok and LinkedIn under the EU Digital Services Act.

Coimisiún na Meán’s Investigations Team believes there may be shortcomings in how both platforms handle reports of suspected illegal material. Concerns emerged during an exhaustive review of Article 16 compliance that began last year and focused on the availability of reporting tools.

The review highlighted the potential for interface designs that could confuse users, particularly when choosing between reporting illegal content and content that merely violates platform rules.

An investigation that will examine whether reporting tools are easy to access, user-friendly and capable of supporting anonymous reporting of suspected child sexual abuse material, as required under Article 16(2)(c).

It will also assess whether platform design may discourage users from reporting material as illegal under Article 25.

Coimisiún na Meán stated that several other providers made changes to their reporting systems following regulatory engagement. Those changes are being reviewed for effectiveness.

The regulator emphasised that platforms must avoid practices that could mislead users and must provide reliable reporting mechanisms instead of diverting people toward less protective options.

These investigations will proceed under the Broadcasting Act of Ireland. If either platform is found to be in breach of the DSA, the regulator can impose administrative penalties that may reach six percent of global turnover.

Coimisiún na Meán noted that cooperation remains essential and that further action may be necessary if additional concerns about DSA compliance arise.

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