Cox Media Settles FTC Claim Over Alleged Voice‑Data Advertising Scheme

An unusual controversy has resurfaced for Cox Media and two marketing firms, which claimed they could secretly listen to users via phones and smart devices—despite little evidence they possessed such capability. On Thursday, the Federal Trade Commission announced that Cox, MindSift, and 1010 Digital Works will pay a combined $930,000 to resolve allegations that they misrepresented their ability to spy on people for ad targeting.

According to a 2021 report by Techdirt, Cox publicly promoted a system called Voice Data in 2023, telling prospective digital‑marketing clients that it could turn “every casual conversation between two consumers into a tool for you to target, retarget, and retain customers.” The pitch likened the technology to a Black Mirror episode and echoed the persistent, largely unsubstantiated rumor that social‑media platforms listen to users through phone microphones. Cox later backtracked, denying that it was listening to conversations, but 404 Media released several internal pitch decks that made the same dystopian claim.

At the time, many questioned whether the service was even feasible, and the FTC’s findings support those doubts. “The service did not, in fact, listen in on consumers’ conversations or use voice data at all—nor did it accurately place ads in customers’ desired locations,” the agency said in a press release. “Instead, the companies resold—at a significant markup—email lists obtained from other data brokers.” The FTC also asserted that the firms misrepresented consumer consent, meaning that even if they could have monitored conversations, they would have violated the law.

Source link