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FTC Finalizes Case Against Cox, Wins $930,000 Settlement

The Federal Trade Commission has won an “AI washing case” against the Cox Media Group and two smaller firms, Tech Insider reports. The FTC alleged that Cox, along with MindSift LLC and 1010 Digital Advertising Works LLC, offered an “active listening” ad product that claimed to analyze conversations accessed by smart devices to serve hyper-local ads. But the FTC charged that the product did not exist. The finalized consent order requires Cox to pay $880,000 and MindSift and Digital Works to pay $25,000 apiece. Cox and the other firms now face a 20-year compliance term in which their ad claims will be monitored.   

 

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