The US Federal Trade Commission (FTC) has announced settlements with two data brokers, Gravy Analytics and Mobilewalla, which will prohibit them from collecting and retaining sensitive granular location data on Americans. The settlements come after the FTC accused the companies of unlawfully tracking millions of people near sensitive locations, including healthcare facilities and military bases.

The FTC alleged that Gravy Analytics, along with its subsidiary Venntel, collected and used consumers' location data for commercial and government uses without obtaining consent from the individuals. The organization continued to use this data even after learning that consumers hadn't provided informed consent for their data to be sold. Gravy Analytics also unfairly sold sensitive information about individuals, such as health or medical decisions, political activities, and religious viewpoints, that had been derived and determined based on a person's location data.

Mobilewalla is also accused of selling sensitive location data, including data that could reveal the identity of an individual's private home. The FTC alleges that Mobilewalla obtained much of this data from real-time bidding exchanges and third-party aggregators, which meant consumers did not know that the organization had obtained their personal information. This data was not anonymized, according to the complaint, and Mobilewalla is accused of having no policies in place to remove sensitive locations from the data before it sold the information to third parties.

The FTC says that Mobilewalla also used sensitive location data to develop audience segments to target consumers for advertising. For example, the company created a June 2020 report analyzing people who protested the death of George Floyd and determined the protesters' racial backgrounds and whether they lived in the cities in which they protested, according to the FTC.

Under the two settlements, Gravy Analytics and Mobilewalla will no longer collect sensitive location data on consumers, and must delete the historic data they have collected on millions of Americans. Both organizations will also have to maintain a sensitive location data program, whereby they must develop a list of sensitive locations and prevent the use, sale, license, transfer, sharing, or disclosure of consumers' visits to those locations. These locations include medical facilities, religious organizations, schools, and correctional facilities.

The settlements are the latest action taken by the US government to address concerns around data privacy and surveillance. On Monday, the Consumer Financial Protection Bureau proposed a new rule that would block data brokers from selling personal and financial information on Americans, including their Social Security numbers and phone numbers. The Biden administration has been increasingly focused on protecting consumer data and reining in the practices of data brokers, which have been criticized for their lack of transparency and accountability.

The settlements with Gravy Analytics and Mobilewalla mark a significant step forward in the effort to protect Americans' privacy and prevent the misuse of their personal data. As the use of location data becomes increasingly prevalent, it is essential that companies are held accountable for their actions and that consumers are protected from the unauthorized collection and sale of their sensitive information.