Connect with us

Published

on

D3sign | Moment | Getty Images

Data brokers have long operated in the shadows of the internet, quietly amassing unprecedented amounts of personal information on billions of people across the globe, but few realize just how deep this data collection really goes.

In an age where every move you make online — every click, every purchase, every “like” — is meticulously harvested, packaged, and sold for profit, aggregated personal data has become a valuable commodity, and the global data broker industry is proof of that.

The rise of artificial intelligence tools poses the risk of even more personal information being scraped from the internet and an already opaque world of data brokering becoming even more aggressive, and that is heightening data privacy concerns. A 2023 study from Pew Research found that the American public increasingly says it does not understand what companies do with their data. According to Pew, 67% of Americans say they “understand little to nothing about what companies are doing with their personal data, up from 59% in its previous survey on the subject in 2019. A majority of Americans (73%) think they have “little to no control” over what companies do with their data.

Many people are unaware that something as simple as their phone number can be used by data brokers and bad actors to uncover highly sensitive information, including a Social Security number, address, email, and even family details, said Arjun Bhatnagar, co-founder and CEO of Cloaked, an app that disguises your personal information by generating a unique “identity” for each online account you have.

According to Roger Grimes, an expert at cybersecurity education firm KnowBe4, while many data brokers —especially the more well-known players — sell information responsibly, some of the smaller, unknown brokerages skirt regulations, push ethical boundaries, and exploit data in ways that can lead to misuse or harm. This is partly due to the hazy regulation landscape around data brokerage, which makes it easier for these practices to go unchecked.

Some of the largest providers of data brokerage services include Experian, Equifax, TransUnion, LexisNexis, Epsilon (formerly Acxiom), and CoreLogic, according to a ranking from OneRep, an online personal data management service. People-search services Spokeo and Intelius are also among the top data brokers, according to OneRep. These companies operate across multiple industries, handling both publicly available information and more sensitive consumer data. They offer various services, ranging from marketing analytics to credit scoring and background checks, and all of them have processes for requesting your data or asking for it to be deleted. However, depending on the state you live in, they may not have to comply.

Experian, Equifax and TransUnion are a good place to begin to understand how much the data industry has grown. While many consumers know these companies for their credit services, those are now just one piece of the revenue pie, with broader digital marketing of data increasingly important, according to Jeff Chester, founder and executive director of the Center for Digital Democracy, a Washington, D.C.,-based consumer privacy advocate. And data collection spans much farther across the economy, with companies from grocery stores offering discount programs to streaming video services amassing data that others will pay for. “Today, everyone is a data broker. Having the ability to reach someone online and target has become a core part of business,” Chester said.

“I try to lock down everything as much as I can, but I’m also aware that even though I’m a security expert, I’m probably overexposed,” said Bruno Kurtic, president and CEO of data security firm Bedrock Security.

As a basic step to limit financial risks, he recommends that all individuals freeze their credit reports as a proactive measure against identity theft and to prevent malicious actors from opening new accounts or loans in their name.

Inside data brokers’ massive vault

Cybersecurity experts estimate that data brokers collect an average of 1,000 data points on each individual with an online presence.

“It behooves them to collect as much as humanly possible about you, because the larger the information pool about you and the more specific they can get, the higher the cost of that data,” said Chris Henderson, senior director of threat operations at Huntress, a cybersecurity company founded by former National Security Agency personnel.

Here’s a breakdown of the types of information data brokers typically collect, according to privacy experts interviewed by CNBC:

  • Basic identifiers. Full name, address, phone number, and email.
  • Financial data. Credit scores and payment history.
  • Purchase history. What you search for online, what you buy, where you buy it, and how often you buy certain products.
  • Health data. Your medications, medical conditions, and your interactions with health-related apps or websites.
  • Behavioral data. Insights into your likes, dislikes, and the types of ads you’re likely to click on.
  • Real-time location data. GPS data from apps that track your commute, where you shop, and how often you visit certain places.
  • Inferred characteristics. Based on you’re your browsing and media consumption — the websites you visit, articles you read, videos you watch, data brokers draw insights about your lifestyle, income, preferences, religious or political beliefs, hobbies, and even your likelihood of charitable giving.
  • Relationships with family, friends, and colleagues. By analyzing your network of friends, followers, and connections on social media and messaging apps, data brokers can map out your relationships and even track how frequently you interact with certain individuals to determine the depth of your bonds.

Little oversight around data privacy

The lack of comprehensive regulation around data privacy allows data brokers to operate with little oversight, unlike the General Data Protection Regulation (GDPR) in the European Union.

“There is no comprehensive federal privacy law that specifically regulates the industry, which makes it hard to combat them,” said Chelsea Magnant, adjunct instructor of cyber leadership at NYU’s Center for Global Affairs and a director at corporate consulting firm Brunswick. “We essentially have a patchwork of state laws with varying privacy protections that these companies know how to navigate.”

California was the first to enact comprehensive legislation in 2018 with the California Consumer Privacy Act, giving residents more control over their personal data. In 2020, California voters approved an expansion of the CCPA, called the California Privacy Rights Act, which took effect in 2023. It offers the most extensive protections in the U.S., including data correction, limiting the use of sensitive information, and requiring businesses to honor opt-out preference signals. It also imposes stricter data-protection obligations on companies, such as minimizing data collection.

Since then, about 20 other U.S. states have followed suit; however, the specific rights and thresholds for which companies must comply vary widely between states.

“Different states have different business environments, economies, and viewpoints. This lack of a unified approach, something that protects all citizens across the country, leaves us vulnerable to data brokers,” said Rob Hughes, chief information security officer at RSA.

Even in states where the privacy laws are strict, there is skepticism that smaller companies on the margins of the data brokerage industry will follow them. “They have extremely sensitive data sets under their management, and they have to essentially behave like the most sensitive enterprises. And we know that some of these data brokers just don’t operate businesses like that,” Kurtic said.

How to take control of your data

To start protecting your privacy, it’s important to rethink how much personal information is shared on a daily basis, says Cloaked’s Bhatnagar. While we can’t fully hide, consumers need to develop new habits and tools to limit what we expose, from turning off permissions that track your location to saying no to cookies and refraining from posting personal details online. Additionally, using tools like secure browsers, VPNs, and tracker blockers can help.

Some of the largest technology companies in our daily lives, such as Apple, are continually updating and adding to privacy options, such as on the new iPhone and latest iOS update.

An Equifax spokeswoman said U.S. consumers can opt out of their personal information being shared in accordance with U.S. state privacy laws. On average, she said, opt-out requests made through the Equifax Privacy Preference Center are processed in less than one business day and consumers are informed of a successful submission through the company’s Preference Center. Consumers can also review the types of third-parties that companies such as Equifax share personal data within its privacy section.

Opt-out links and instructions are readily available for most of the major data brokers:

But data privacy experts says reclaiming or deleting your data from brokers can be a deliberately complex process that is not only time-consuming but frustrating. Each broker has its own opt-out requirements, and even after you’ve removed your data, it often reappears, sourced from other places.

“Removing your data from their systems impacts their bottom line, so they are disincentivized to make this easy for you,” said Henderson. “Ultimately, if you remove the information, they can’t sell that. So the more people who request their information be removed, the less attractive of a broker they are to the advertisers.”

There are data-removal services, such as DeleteMe, Kanary, OneRep, and PrivacyDuck, which charge a fee to manage these ongoing tasks, and are becoming increasingly popular. In October, Consumer Reports launched Permission Slip, a free app that helps you control which companies can collect, store and sell your personal data. It relies on donations to keep it going, either through the app or the Consumer Reports website.

For those opting for the DIY approach, here’s what the data privacy experts interviewed by CNBC recommend to get started:

Identify the brokers collecting your data. As already stated, this can be a daunting task, as many operate behind the scenes. However, there are a few methods you can use to track them down, says Henderson. One is to conduct a Google search using your name, phone number, and email address and see which brokers pop up. You’ll most likely find your name on sites like Spokeo, Whitepages, or MyLife. Another strategy is to visit the websites of the largest data brokers and search your information.

Submit opt-out requests. If you live in a state with data privacy regulations, you can submit a request to delete your data on the opt-out page of these companies’ websites, including at the links listed above, so they cannot share your data with third-party companies. It’s important to note that each broker may have different processes for handling these requests and state laws vary when it comes to what types of data are covered. Some data brokers may also require you to provide identification or verify your identity.

Check your results. After submitting opt-out requests, revisit the data brokers’ sites periodically to ensure your data has been removed. It may take several weeks or months for your request to be processed.

Engage in digital hygiene practices. Regularly reviewing and updating your online security practices is essential. Secure passwords, two-factor authentication, and encryption tools can help protect your information. Using virtual identities, such as alternative email addresses and phone numbers, can further safeguard your personal information.

Seek legal recourse if necessary. If a data broker refuses to comply with a deletion request, you may be able to file a formal complaint with regulatory authorities such as the Federal Trade Commission, which has brought cases against the industry.

However, it’s important to understand that not every state provides the same level of protection. Consult a privacy attorney if you believe your rights have been violated.

‘The future is unfortunately dark’

Experts say deleting the data is an imperfect solution, “a Band-Aid to address a gaping wound,” according to Chester.

“Consumers have been placed in a bad position,” he said. “Data is now a form of payment,” he added, referring to cases where the consumer wants a discount in the grocery store or pharmacy. “This is a comprehensive privacy problem which requires Congress or the FTC. The idea an individual can take care of their privacy … you can shut down a tiny bit of it, but you would need to spend a great deal of time, and once you opt-in to get a discount at a store, it all starts over again.”

The future of the data broker industry looks both promising and troubling as technological advancements continue. Javad Abed, assistant professor of information systems at Johns Hopkins Carey Business School, warns that data brokers will continue to evolve as AI and machine learning advance.

“With AI, data brokers will create even more detailed and predictive profiles, incorporating everything from biometric data to behavioral tracking,” Abed said. “The problem will increase, and things are going to become more complicated.”

Abed sees potential in blockchain and privacy-enhancing technologies, which could disrupt the data brokerage model by increasing transparency and giving individuals more control over their digital identities. However, he remains skeptical: “The future is unfortunately dark. It needs to be collaborative work. I don’t see the motivation right now from the main actors for a collaborative change.” 

“Telling our grandmothers or a child to configure settings on their social media and their browsers and search engines is not a winning proposition,” Kurtic said. “It’s going to take a combination of regulation, technology on the vendor side, and know-how on our own personal side.”

Until regulation steps in, data brokers will continue to collect as much data as possible. “These are revenue streams for companies that might not have other recurring revenue streams,” Henderson said. “And given there’s no regulation stopping businesses from selling information about you, I don’t see the practice stopping, especially given how lucrative it is.”

The rising tide of real estate cyber crime

Continue Reading

Technology

Notion rides AI boom to $500 million in annual revenue, but Microsoft competition looms

Published

on

By

Notion rides AI boom to 0 million in annual revenue, but Microsoft competition looms

From left, Notion founders Akshay Kothari, Ivan Zhao and Simon Last.

Notion

OpenAI’s public launch of ChatGPT in November 2022 is widely viewed as the event that kicked off the generative AI boom, which remains the dominant theme in the tech industry almost three years later.

Notion jumped on the bandwagon early.

Two weeks before ChatGPT hit the market, the productivity software startup announced its own artificial intelligence feature using an OpenAI model. Notion AI was designed to be a “writing assistant” that could help a user with brainstorming, editing and summarizing, the company said.

“We’re at an important inflection point,” CEO Ivan Zhao wrote in a blog post at the time. “The potential of artificial intelligence has grown exponentially, and will continue to grow.” 

The AI wave has pushed Notion past $500 million in annualized revenue, the company now tells CNBC, which ranked the company 34th on its 2025 Disruptor 50 list. The latest developments landed on Thursday as Notion launched a customizable agent that can create documents to pull in data from many sources, using models from the likes of OpenAI and Anthropic.

Akshay Kothari, Notion’s co-founder and operating chief, said in an interview that the company is racing to keep up with enterprise demand for AI tools. Corporate clients include Kaiser Permanente, Mitsubishi Heavy Industries, Nvidia and Volvo Cars.

“We’re doubling this year and likely going to double the sales team next year,” Kothari said. He added that about 90% of the business comes from “multiplayer usage,” or teams of workers.

Notion was founded in 2013, two years before OpenAI was created as a nonprofit AI lab. The company, which now has about 1,000 employees, launched the first version of its product in 2016 and says it has over 100 million users.

But unlike most startups that have boomed with the rise of generative AI, Notion hasn’t raised outside capital in a long time. Its most recent fundraising round came in 2021, when the big driver for cloud-based collaboration software was the Covid pandemic and remote work. In October of that year, Notion raised $275 million at a $10 billion valuation.

Kothari says the company has more cash on hand than the $330 million it’s raised to date.

Read more CNBC tech news

In May, Notion introduced Ai products for summarizing meetings and searching through corporate files. Annual revenue growth has accelerated every month since then, Kothari said, though he declined to provide growth rates.

Thursday’s announcement includes the rollout of a preview of an additional feature called custom agents, which can perform actions in the background. As an example, a custom agent can be instructed to produce and send a list of articles that are relevant to a person’s interests every week.

Kothari said that last year 10% to 20% of Notion customers were paying for AI add-ons. That shot up to 30% or 40% earlier this year and recently crossed 50%, he said.

At that point, the company started including AI in its business and enterprise plans, without charging extra, Kothari said, adding that the company is talking with clients about a fair pricing model for custom agents.

Productivity software is a highly competitive space, with Microsoft and Google at the center.

Weeks after Notion’s big financing round in 2021, Microsoft announced Loop, an app for working on documents. The product, which resembles Notion, became available to organizations with Microsoft 365 productivity software subscriptions in 2023.

Microsoft is also pushing Copilot, an AI assistant that can spit out Word documents and Outlook emails. Google, meanwhile, offers the Gemini AI option for its Google Workspace applications.

Ramp, a business credit card startup, pays for the Gemini AI option for Google Workspace apps. But the company has encouraged people to migrate documents and project tracking to Notion, said Ben Levick, Ramp’s head of operations, in an email.

Levick said that nine out of 10 employees at Ramp, which has a workforce of 1,200, now use Notion’s AI features every month, and the company is testing custom agents to answer internal inquiries and to connect sales feedback with forthcoming products that could address requests from clients.

WATCH: Salesforce CEO Marc Benioff on what the market is getting wrong about AI

Salesforce CEO Marc Benioff on what the market is getting wrong about AI

Continue Reading

Technology

Google adds Gemini to Chrome for all users in push to bolster AI search

Published

on

By

Google adds Gemini to Chrome for all users in push to bolster AI search

Jaque Silva | Nurphoto | Getty Images

Google is adding more artificial intelligence into its Chrome browser as the search giant tries to fend off burgeoning competition from AI startups OpenAI and Perplexity.

In a blog post Thursday, Google said it’s rolling out Gemini in Chrome to users of Mac and Windows computers in the U.S. as well as to mobile devices. Users will be able to ask Gemini for help understanding the contents of a particular webpage, work across tabs, or do more within a single tab, such as schedule a meeting or search for a YouTube video.

“We are evolving the browser to help you get the most from the web – in ways we didn’t think possible even a few years ego,” said Rick Osterloh, Google’s senior vice president in charge of platforms and devices, in a statement. “And we are doing it while keeping the speed, simplicity and safety of Chrome that so many people love.”

Internet browsers are at the center of the battle for consumer AI supremacy because they serve as a key gateway to accessing information and content online.

Google and Apple have for years controlled most of the internet distribution points, which is a big reason the U.S. Department of Justice tried to force Google to divest Chrome as part of its antitrust case.

However, the judge in the case recently decided Google could keep Chrome, in large part because generative AI has dramatically changed the competitive landscape.

Read more CNBC tech news

AI rivals are rolling out browsers to try and control more of the user experience. In January, OpenAI announced Operator, an agent that uses a browser to complete tasks, such as shopping using the Instacart app. The company is reportedly working on its own browser built upon the open-source Chromium code base.

Last month, Anthropic launched a browser-based artificial intelligence agent powered by its Claude AI models. Perplexity debuted its browser Comet in July for AI tasks, making it available to paying subscribers.

The new Gemini in Chrome integrates deeper with Google apps like Calendar, YouTube and Maps, so users can access those services without moving to a different webpage.

In the coming weeks, it will also be available to users of its enterprise productivity product Google Workspace, where users will have “enterprise-grade data protections,” Mike Torres, Google vice president of product, wrote in a blog post.

Google also announced new agentic capabilities for Gemini in Chrome. Agentic AI allows users to build customized services that can perform specific jobs.

In the coming months, users will be able to ask the Gemini agent to do certain tasks, such as booking a haircut or ordering weekly groceries. The agentic features were previously part of an internal project called “Project Mariner,” which was popular with employees.

Before Thursday’s announcement, Google required users to be signed up for certain Google subscriptions to access Gemini in Chrome. Now it’s more widely available with far more features.

WATCH: Dan Niles says Google will have the best AI app long term

Dan Niles: Google will have the best AI app in the longterm

Continue Reading

Technology

Meta product chief Chris Cox says smart glasses are the future of computing

Published

on

By

Meta product chief Chris Cox says smart glasses are the future of computing

Meta's chief product officer on its latest AI smart glasses

Meta Chief Product Officer Chris Cox said on Thursday that smart glasses are the future of computing devices.

“We talk to them, we will see with them, we will use gestures the same way we interact with each other to interact with our computers,” Cox told CNBC’s Julia Boorstin. “The interfaces will get more natural, and so we certainly believe that the next really important wearable technology is going to be a pair of glasses.”

The $799 Meta Ray-Ban Display glasses, which were revealed on Wednesday, have a small in-lens display that is controlled with hand movements using a neural wristband.

Users will be able to record videos, as well as send messages via voice or physically using handwriting gestures on their knee, Cox said.

Read more CNBC tech news

“We’ve started with just the basics, which is messaging, which we know is the thing people want to do in a more fluid way,” Cox said.

Unlike Meta’s previous audio-only Ray-Ban Meta smart glasses, the Displays allow people to see messages and watch videos.

During a demo, CEO Mark Zuckerberg unsuccessfully attempted to answer a video call from Meta tech chief Andrew Bosworth, as the button to accept the call failed to appear on the display.

Continue Reading

Trending