The Consumerist has this disturbing story:
According to a coalition of consumer-interest organizations, the makers of two “smart” kids toys — the My Friend Cayla doll and the i-Que Intelligent Robot — are allegedly violating laws in the U.S. and overseas by collecting this sort of voice data without obtaining consent.
In a complaint [PDF] filed this morning with the Federal Trade Commission, the coalition — made up of the Electronic Privacy Information Center (EPIC), the Campaign for a Commercial-Free Childhood (CCFC), the Center for Digital Democracy (CDD), and our colleagues at Consumers Union — argue that Genesis Toys, a company that manufactures interactive and robotic toys, and Nuance Communications, which supplies the voice-parsing services for these toys, are running afoul of rules that protect children’s privacy and prohibiting unfair and deceptive practices.
Researchers studied the way the toys work, the complaint continues, and it turns out that they send audio files to a third party: Nuance Communication’s servers at the company’s headquarters in Massachusetts.
The full article is here.