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Zoom settles lawsuit over ‘Zoombombing’ and data privacy

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Zoom Video Communications Inc has agreed to pay tens of millions of dollars to settle a lawsuit over user privacy and “Zoombombing”.


Zoom exploded in popularity last year.


But alongside the surge in popularity, the company came under fire for a range of privacy issues, including the lack of end-to-end encryption on the platform.

The class action lawsuit was filed in March 2020, claiming that Zoom had shared personal data with Facebook, Google and Linkedin.

The video conferencing firm was also accused of failing to prevent hackers from interrupting online meetings, a phenomenon which became known as “Zoombombing”.

Zoom has denied any wrongdoing, but has agreed to pay US$85 million to settle the lawsuit. The company has also agreed to improve its security practices.

“The privacy and security of our users are top priorities for Zoom, and we take seriously the trust our users place in us.”

zoom statement

“We are proud of the advancements we have made to our platform, and look forward to continuing to innovate with privacy and security at the forefront,” Zoom said in a statement.

If the settlement is approved by a judge, subscribers in the class action would be eligible for 15% refunds on their subscriptions or $25, whichever is larger.

Those who did not pay for a subscription can make a claim for $15.

THE RISE OF THE VIDEO CALL

Zoom surged in popularity last year, as many people became reliant on video conferencing for not only work, but contact with their family and friends.

Zoom had 81,900 customers with more than 10 employees at the start of 2020. By April 2021, that number had since risen to 497,000.

The company’s boss has described 2020 as an “unprecedented year for Zoom”.

Eric Yuan believes we’re likely to see a hybrid work model post-COVID-19, as the “traditional way” no longer works.

“We are energised to help lead the evolution to hybrid work that allows greater flexibility, productivity, and happiness to both in-person and virtual connections,” Yuan says.

 

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Money

Why the meme-stock frenzy is unlikely to repeat

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GME shares surge 74%, but experts stress a meme-stock frenzy resurgence is unlikely due to fundamental differences in the company’s financial situation.

Australia’s budget unveils a second consecutive surplus of A$9.3 billion, prioritising the critical minerals industry and green energy initiatives to reduce reliance on Chinese supply.

Also, GameStop shares have surged 74%, but experts caution against expecting a repeat of the 2021 meme-stock frenzy. #featured #trending

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Why are airlines after the Biden Administration?

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Major airlines are taking legal action against the Biden administration over a newly implemented rule requiring them to disclose fees upfront.

On this episode of Hot Shots – Major airlines are suing the Biden Administration, AI-piloted fighter jets, SpaceX faces funding challenges, and Apple receives crushing feedback.

Ticker’s Ahron Young & Veronica Dudo discuss. #featured #trending

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The mounting pressure on Government spends

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Questions abound regarding the factors fueling this inflation surge in Australia and whether it correlates with the escalating government expenditures.

Concerns extend to how Chalmers navigates the mounting pressure amid discrepancies in spending allocations.

Moreover, as Australians grapple with the reality of rising living costs, the feasibility of cutting spending becomes a pressing issue. Additionally, amidst economic uncertainties, individuals seek guidance on managing stock market risks effectively. #Featured #Trending

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