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.
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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.