Gateway Has to Close the Gate on Customer Information
Gateway Corporation best known for its "Hooked on Phonics" educational material was fined by the Federal Trade Commission for violating their own customer privacy policy. The company was accused of changing its privacy policy from not sharing customer data to sharing it with third parties and did not inform their customers of the change. They then reportedly rented direct marketers their list of customer information. The data disclosed to direct marketers did involve in some cases information on children.
"Hooked on Phonics" Firm Settles FTC Privacy Charges , ClickZ News, July 7, 2004
