FTC Orders Avast to Pay $16.5M to Settle Consumer Data Tracking Case

The FTC finalized an order banning anti-virus software provider Avast from selling, disclosing or licensing any web browsing data for advertising purposes to settle charges that the U.K.-based Avast Ltd.’s Czech subsidiary sold consumers’ data after promising that its products would protect consumers from online tracking, it said in a Thursday news release. As part of the settlement, Avast must pay $16.5 million, which is expected to be used to provide redress to consumers. The FTC’s February complaint alleged Avast unfairly collected users’ browsing information, stored it indefinitely and sold it “without adequate notice and without consumer consent." Under the order, Avast and its subsidiaries must delete the web browsing information transferred to Jumpshot and any products or algorithms derived from that data; obtain affirmative express consent from consumers before selling or licensing browsing data from non-Avast products to third parties for advertising purposes; notify consumers whose browsing information was sold to third parties without their consent about the FTC’s actions against the company; and implement a comprehensive privacy program that addresses the misconduct alleged, it said. After receiving two comments, the commission voted 3-0-2 to give final approval to the settlement; commissioners Melissa Holyoak and Andrew Ferguson didn't participate.