Rival fantasy-sports companies DraftKings and FanDuel planned to merge last November, but that plan has now been nixed. In their statements about the cancellation of the merger, neither company mentioned the fact that the Federal Trade Commission filed an antitrust suit against the merger, but, in statements, the companies’ chief executives noted that the lawsuit would add cost, time and distractions to the proposed union. The companies both offer daily games that allow users to assemble virtual teams of real athletes. Continue reading DraftKings, FanDuel Cancel Merger In Face of FTC Lawsuit

Private equity firm Sycamore Partners has agreed to purchase office supply retail chain Staples for $6.9 billion. Staples is another retailer that has been impacted by the growing success of Amazon and other online shopping services. Amazon, for example, has become a major competitor for corporate customers, while Staples’ overall sales have declined 6.1 percent over the past five years, according to ABC News. In 2015, Staples attempted to merge with Office Depot in an effort to stay competitive online, but last year the deal was blocked by a federal judge in response to a lawsuit initiated by the Federal Trade Commission. Continue reading Sycamore Partners to Acquire Retailer Staples for $6.9 Billion

Instagram has taken a step to increase transparency, giving Internet celebrities on the site an easier way to let viewers know if their posts are sponsored. Users and sponsors can work together to decide whether or not to tag a post as a “paid partnership” at the top. This new feature is currently being tested with a few celebrities and businesses. If it proves successful, Instagram will launch it more widely. Parent company Facebook already uses a similar method of disclosing such paid partnerships. Continue reading Instagram Feature Brings Transparency to Sponsored Posts

In a 215-to-205 vote that largely followed party lines, House Republicans successfully dismantled the new FCC Internet privacy protections for individuals, which was landmark legislation of the Obama administration. Overturning the legislation marks a victory for telecoms that are now free to collect and sell data on users’ online activities without permission, although some have expressed plans to honor voluntary privacy policies. The protections were originally slated to go into effect later this year. Continue reading Internet Privacy Legislation Is Overturned in Win for Telecoms

After a 2-to-1 vote, the FCC put a halt to a portion of the privacy rules passed in October. New FCC chair Ajit Pai said those rules required high-speed Internet providers, such as AT&T and Comcast, to secure their customers’ data against hacking and other unauthorized uses. This stay of new government rules may be a foreshadowing of a broader repeal of privacy protections, believe some experts. In line with that, Pai also stated that the Federal Trade Commission, not the FCC, should “oversee broadband and Internet industries.” Continue reading FCC: Pai Halts Privacy Rules, Foreshadowing Broader Repeal

Vizio just agreed to pay $2.2 million to settle a lawsuit filed by the Federal Trade Commission and the New Jersey Attorney General. The lawsuit accused the smart TV manufacturer of using its TVs to track what its owners watched — without their knowledge or consent — and then selling that information to marketing firms. According to the FTC, Vizio began gathering such data in 2014, and even retrofitted smart TVs sold as early as 2010 via a software update, for a total of 11 million TVs. Continue reading Vizio Settles FTC, New Jersey Lawsuit Against Data Collection

The Securities and Exchange Commission has opened an investigation into Yahoo’s highly-publicized data breaches and whether the company should have disclosed the massive hacks earlier. “The SEC requires companies to disclose cybersecurity risks as soon as they are determined to have an effect on investors,” reports The Wall Street Journal. Yahoo’s 2014 breach, disclosed in September 2016, involved data from at least 500 million users. In December 2016, the company revealed that more than 1 billion Yahoo user accounts had been breached in 2013. “The SEC has investigated multiple companies over whether they properly disclosed hacks,” notes WSJ, especially after the 2013 Target breach “that compromised up to 70 million credit and debit-card accounts.” Continue reading SEC Opens Investigation into Massive Yahoo Data Breaches

Aimed at suppressing an $8 billion secondary ticket market, Congress passed a bill outlawing bots, computer programs scalpers use to buy the best tickets and resell them at increased prices. The Better Online Ticket Sales Act, or BOTS Act, passed the House with bipartisan support, following its passage in the Senate, and now goes to President Obama for his signature. The BOTS Act would make it illegal to bypass ticketing websites’ security measures. The Federal Trade Commission would be granted authority to enforce the law. Continue reading Congress Passes BOTS Act to Halt Electronic Ticket Scalping

Former rivals DraftKings and FanDuel announced they plan to merge their daily fantasy sports operations into one company, to be run by DraftKings CEO Jason Robins. FanDuel chief exec Nigel Eccles will become chairman. The board will include three directors each from DraftKings and FanDuel, plus an independent director, while headquarters will be divided between New York and Boston offices. The deal, which aims to increase innovation by freeing up money, is expected to close during the second half of next year. Continue reading Daily Fantasy Sports: FanDuel and DraftKings Agree to Merge

The Federal Communications Commission, by a 3-to-2 vote, passed rules protecting consumers’ digital information, by preventing broadband companies such as AT&T and Comcast from collecting and distributing data including Web browsing, app use, location and financial information. Up until this ruling, users had to opt-out of broadband providers’ right to track such data. The ruling is considered a landmark since it is the first time the FCC issued privacy restrictions to high-speed Internet providers. Continue reading In Landmark Ruling, FCC Protects Privacy of Consumer Data

The Federal Communications Commission has offered new regulations — modeled on the Federal Trade Commission’s Internet-privacy policies — that scale-back some of consumer privacy rules in the first version. Internet providers must still get the consumer’s approval before selling her browsing history or other sensitive information to a third-party, but they are now allowed to market more data. Consumer advocates have given wide approval to the new plan. The FCC will vote on the revised regulations later this month. Continue reading FCC Introduces Amended Version of Consumer Privacy Rules

The Federal Trade Commission is now cracking down on Internet celebrities pitching products without disclosing whether or not they’re being paid. Using familiar hashtags such as #ad, #sp, or #sponsored aren’t always enough to ensure viewers realize the content is a paid promotion, says the FTC, whose Ad Practices Division is beginning to hold advertisers responsible for compliance. The result is likely to dampen the impact of a favorite digital influencer enthusing over a specific product. Continue reading FTC Demands Clearer Disclosure for Internet Celebrity Promos

YouTube Kids, a standalone app that launched a year-and-a-half ago, has been a big success, with more than 10 billion video views annually and a position as one of the top five kid apps in the iOS and Android app stores. But although YouTube has vetted the content to be kid-appropriate, not so the advertising, which ranges from product placement to pitches for junk food. Last year, the Center for Digital Democracy and Campaign for a Commercial-Free Childhood asked the Federal Trade Commission twice to investigate. Continue reading YouTube Kids Goes Behind Paywall to Lose Inappropriate Ads

Publishers have gravitated to sponsored content — stories, videos and podcasts that mimic journalistic content — to cope with rapidly changing online advertising. The Atlantic, Slate and The New York Times are among the publications that count sponsored content as a significant portion of their revenue. Companies such as Vice and BuzzFeed have created businesses centered on focused content. But the definition of sponsored content is shifting as viewers move from news sites towards Facebook and other social media platforms. Continue reading How Sponsored Content Transforms as It Moves to Facebook

According to an SEC filing, PayPal-owned peer-to-peer payment service Venmo is under investigation by the Federal Trade Commission to determine whether the company “engaged in deceptive or unfair practices in violation of the Federal Trade Commission Act.” PayPal received a Civil Investigative Demand (CID) from the FTC on March 28. “The CID could lead to an enforcement action and/or one or more consent orders,” explains PayPal, “which may result in substantial costs, including legal fees, fines, penalties, and remediation expenses and actions, and could require us to change aspects of the manner in which we operate Venmo.” Continue reading Popular Payment Service Venmo Under Federal Investigation