Why It’s So Hard to Punish Companies for Data Breaches [The New York Times]
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Source: The New York Times
It’s difficult to determine how and where companies like Facebook went wrong, which makes regulation challenging. By Josephine Wolff Ms. Wolff is an assistant professor at the Rochester Institute of Technology. Oct. 16, 2018 Image Credit Credit Elijah Nouvelage/Reuters What happens to the companies that allow our personal data to be stolen? In most cases, nothing. Sometimes there is a short-lived flurry of bad publicity, a brief dip in stock prices , a class-action lawsuit or a Federal Trade Commission investigation that leads to a token settlement or fine. Facebook is unlikely to face any serious, long-term consequences as a result of a security breach it announced last month , which exposed the account data of 50 million users. At first glance, the lack of consequences that companies face for data breaches might seem to be a clear problem and something that can be easily remedied through heavy regulation like the European Union’s General Data Pro
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