By building privacy into your products from the beginning and giving your users the information and tools to protect and control their own personal information, you not only help avoid consequences ranging from scathing media coverage to class action lawsuits, you also make users feel truly invested in your product and build invaluable trust and loyalty.

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The key to developing outstanding privacy practices is to proactively identify and address potential privacy risks before they happen.
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MAKE YOUR PRIVACY PRACTICES STAND OUT
Mobile analytics company CarrierIQ and its business partners were hammered with negative press and legal actions when a researcher discovered that the company’s software, capable of intercepting and recording almost every single use of the phone,...Read more >
In 2010, Facebook suffered a backlash by activating “Connections” and “Instant Personalization,” two features that shared users’ personal information with other Facebook users and with third-party sites without users’ consent. Thousands of users...Read more >
Myspace was hit with a class action lawsuit and an FTC investigation for failing to comply with its own privacy policy. The policy stated that it would not share personal information, yet the company allowed advertisers to access users’ “Friend IDs...Read more >
Nomi Technologies, a company that tracks cell phones using WiFi, was investigated by the FTC for failing to live up to a promise in its privacy policy to notify consumers and give them an opportunity to opt out when they were being tracked. In...Read more >
Social gaming company Zynga received kudos in 2011 for “making privacy a game” with “PrivacyVille,” which provides users with an interactive mechanism to explore the company’s privacy policy and rewards them with “zPoints” to spend in the company’s...Read more >
In 2005, data broker ChoicePoint paid with its capital, its stock price, and its reputation when it failed to secure the personal data of 163,000 individuals, allowing identity thieves to obtain the information. ChoicePoint compounded its own injury...Read more >
In 2005, Cisco’s reputation suffered after it threatened to sue the BlackHat security conference and a researcher for a presentation discussing flaws in the company’s Internet router software. The researcher had discovered that the flaw could...Read more >
Oracle damaged its relationship with security researchers and customers when its Chief Security Officer (CSO) threatened those who independently evaluate the security of Oracle’s software. In a blog post , the CSO criticized customers for scanning...Read more >
Microsoft’s Security Development Life Cycle methodology , which includes privacy guidelines for each stage of a product’s development, has evolved from an internal tool to a marketable product. The company credited the tool with a 45 percent...Read more >
In August 2011, mobile app maker Broken Thumbs was fined by the FTC and subjected to ongoing monitoring of its privacy practices after collecting information from young users. The FTC alleged that the company’s games collected information from...Read more >