Source URL: https://www.theregister.com/2024/11/27/ftc_smart_product_makers/
Source: The Register
Title: FTC urges smart device makers to disclose software update lifecycles
Feedly Summary: You need to know in advance when your kit will be bricked or downgraded – it’s the law
Makers of software-enabled products have been put on notice by the US Federal Trade Commission (FTC) for failing to disclose how long their products will receive software updates.…
AI Summary and Description: Yes
Summary: The US Federal Trade Commission (FTC) has raised concerns about the lack of transparency from manufacturers of software-enabled products regarding the duration of software updates. The failure to disclose this information potentially violates consumer protection laws, leaving consumers at risk of losing functionality and value in smart products.
Detailed Description: This text discusses a recent FTC report addressing the uncertain lifespan of smart products due to inadequate software update disclosure by manufacturers. This issue impacts consumer rights and product functionality, highlighting an important area for compliance and regulatory professionals.
– **Key Findings:**
– A significant majority (approximately 89%) of manufacturers studied did not provide clear information on the duration of software updates for their products.
– A total of 163 out of 184 analyzed smart products—including items like hearing aids and security cameras—failed to publish update duration information online.
– The lack of specification about software support raises issues under the Magnuson-Moss Warranty Act, which mandates disclosure for warranty information on eligible products.
– If manufacturers misrepresent product longevity or claims regarding features, this could contravene the FTC Act.
– **Consumer Implications:**
– Consumers may pay for products that become obsolete quickly due to the lack of software support, leading to potential financial losses.
– Advocacy groups have alerted the FTC regarding the risks consumers face as smart products lose functionality due to unsupported software or policy changes.
– Examples of high-profile failures include smart home devices that became unusable or functionally limited after the manufacturer ceased providing software updates.
– **Industry Response:**
– The FTC’s report was driven by advocacy groups’ requests for clearer guidance regarding smart device software support.
– A previous survey found that few major appliance makers share information about software update durations with consumers.
Overall, this text is highly relevant for professionals in compliance, consumer protection, and product lifecycle management, as it highlights the critical need for transparency from manufacturers in the evolving landscape of smart products.