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Google Settles Lawsuit by Purging Billions of Personal Records

By Melanie Rauch, JD | Last updated on

In a landmark settlement agreement, Google has agreed to delete billions of records containing personal information of more than 136 million U.S. users who surfed the internet using its Chrome web browser. The decision is a resolution to a class action lawsuit accusing the tech giant of illegal surveillance practices, particularly when users engaged in Chrome's Incognito mode, thinking their browsing was private.

The lawsuit, initiated in June 2020, targeted Google's privacy controls, alleging that the company continued to track users' internet activity even in Incognito mode. Despite Google's vigorous defense, U.S. District Judge Yvonne Gonzalex Rogers denied the company's request to drop the case, setting the stage for a potential trial. The terms of the settlement, disclosed in a court filing, require Google's compliance by July 30, pending Rogers' approval.

Settlement Terms and Implications

Under the settlement, Google must expunge the collected personal records and implement more explicit privacy controls. Plaintiffs' attorneys value the settlement between $4.75 billion and $7.8 billion. They reached this figure by adding up the potential total revenue of ad sales lost because of the deletion.

Google users will not receive any personal compensation. Google has argued that the data being deleted is not valuable and is not associated with any personally identifying information. Instead, Google said the information is "technical data ... that was never used for any form of personalization.” However, the plaintiffs argue that the settlement is a win for consumers and could affect how personal information is collected online.

Despite the settlement, Google faces ongoing legal threats, including a notable case from the U.S. Justice Department challenging the company's search engine dominance. Additionally, potential changes to Google's Play Store, stemming from a federal jury's monopoly verdict, could further impact the company's business model.

Broader Impact on Digital Privacy

Legal experts view the settlement as a pivotal moment for digital privacy, potentially influencing future data collection practices online. The case reflects growing scrutiny over how tech companies handle personal information and the need for transparent, user-centric privacy controls.

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