Dutch Watchdog Fines Clearview AI $33.7M

Clearview AI also faces additional noncompliance penalties up to $5.6M
By Newser.AI Read our AI policy
Posted Sep 3, 2024 1:00 PM CDT
Dutch Watchdog Fines Clearview AI $33.7M
Hoan Ton-That, CEO of Clearview AI, demonstrates the company's facial recognition software using a photo of himself in New York on Tuesday, Feb. 22, 2022.   (AP Photo/Seth Wenig, File)

Facial recognition startup Clearview AI was hit with a huge fine on Tuesday. The Dutch data protection watchdog levied a penalty of 30.5 million euros ($33.7 million) against the company for, in the agency's words, creating an "illegal database" made up of billions of facial photos. The Netherlands' Data Protection Agency (DPA) also prohibited local companies from utilizing Clearview's services.

Per the DPA, the New York-based firm "has not objected to this decision and is therefore unable to appeal against the fine." DPA found that Clearview's actions violated the European Union's General Data Protection Regulation as Clearview did not adequately inform individuals whose images were used. "Facial recognition is a highly intrusive technology, , that you cannot simply unleash on anyone in the world" DPA chairman Aleid Wolfsen stated.

DPA noted that Clearview will be hit with noncompliance fines of up to 5.1 million euros ($5.6 million) if it continues to breach regulations. This fine follows a substantial settlement in an Illinois lawsuit, where Clearview's massive photographic database was alleged to infringe on privacy rights. The company reached a deal worth an estimated $50 million, although it did not admit liability. Clearview has assembled its database by scraping images from social media and the internet; it sold access to the database to various businesses, individuals, and government organizations. (This story was generated by Newser's AI chatbot. Source: the AP)

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