Consumer Headlines: Amazon lawsuit, major data breaches, and Starbucks cutting its menu
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ROCHESTER, N.Y. — A lawsuit filed Wednesday accuses Amazon of secretly gathering personal information from users’ phones through the apps they use.
The lawsuit, filed in California, claims Amazon collects time-stamped geolocation data, as well as sensitive information about users’ religious affiliations, sexual orientations, and health concerns.
Amazon allegedly provided code to tens of thousands of app developers, allowing the company to collect this data without users’ consent. The lawsuit suggests that Amazon knows intimate details about users, such as where they live, work, shop, and visit. Despite these allegations, Amazon has not yet responded to requests for comment.
According to the Identity Theft Resource Center, there were more than 3,100 major data breaches in 2024, similar to the previous year. However, the number of victims affected increased by over 300% due to six mega-breaches, each compromising over 100 million people. Experts recommend freezing your credit with all three bureaus as the best way to protect yourself.
In other news, Starbucks has been reducing discounts, which contributed to an increase in quarterly earnings despite an 8% decrease in foot traffic. The company plans to cut 30% of its food and drink menu by the end of fiscal year 2025 as part of its “Back to Starbucks” strategy.
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