"Is this even legal?" A leaked pitch reveals marketing agency uses 'Active Listening' software to eavesdrop on calls and push curated Facebook and Google ads

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A marketing agency might be using your phone's voice data to drive targeted ads.

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You never know who might be listening. (Image credit: Getty Images | miljko)

What you need to know

  • A market agency admits it listens to user voice data using its “Active Listening” software via smartphone microphones.
  • It's reportedly in partnership with Google, Facebook, and Amazon, and uses its software to channel the right ads to users.
  • As part of the agency's defense strategy, it claims that the disclaimer of its software is often included in the fine print of the terms of services agreement when downloading a new app or update. 

While Microsoft decides whether it will make its controversial and privacy-riddled Windows Recall feature in Windows 11 an opt-in experience and allow users to uninstall it, more trouble seems to be brewing in the AI world. 

Have you ever stumbled on an ad on social media or while browsing that features the item you were searching for on the web or talking to someone about over a phone call? Turns out, there's more to this than meets the eye. 

According to a new report by 404 Media, a marketing agency admitted it listens to user voice data using its “Active Listening” software via smartphone microphones. Consequently, it uses the data to channel the "right" Facebook and Google ads to customers. The agency reportedly has access to more than 470 sources, including Microsoft's LinkedIn. 

The market agency has been wrapped up in this controversial situation since December 2023. And now, new details in a pitch deck reveal that Cox Media Group (CMG) leverages AI capabilities to "capture real-time intent data by listening to our conversations" using its "Active Listening" feature. 

The pitch deck further revealed a list featuring Facebook, Google, and Amazon as clients of its "Active Listening" service. According to 404 Media, Google has since removed the media group from its Partners Program (perhaps an indication that it has severed ties with the agency). 

This caused a ripple effect, prompting Meta to investigate and examine the agency's terms of service to determine whether it has been using users' data without their consent, breaching their partnership agreement. According to the pitch deck:

"Advertisers can pair this voice-data with behavioral data to target in-market consumers."

Amazon refuted claims that it's embroidered in the marketing agency's privacy fiasco and further stated that it doesn't intend to seek its services. The company warned it would take legal action if it discovered that one of its partners violated its terms of service.

In a since-deleted blog by the marketing agency:

"We know what you're thinking. Is this even legal? It is legal for phones and devices to listen to you. When a new app download or update prompts consumers with a multi-page term of use agreement somewhere in the fine print, Active Listening is often included."

Interestingly, the marketing agency claims that the presence and use of the listening software are often included somewhere in the fine print of the terms of use agreement when downloading a new app or update.

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Kevin Okemwa
Kevin Okemwa
Contributor

Kevin Okemwa is a seasoned tech journalist based in Nairobi, Kenya with lots of experience covering the latest trends and developments in the industry at Windows Central. With a passion for innovation and a keen eye for detail, he has written for leading publications such as OnMSFT, MakeUseOf, and Windows Report, providing insightful analysis and breaking news on everything revolving around the Microsoft ecosystem. You'll also catch him occasionally contributing at iMore about Apple and AI. While AFK and not busy following the ever-emerging trends in tech, you can find him exploring the world or listening to music.

3 Comments Comment from the forums
  • GraniteStateColin
    Well that's creepy. I hope I have not granted this permission to any apps, but as Kevin's article points out, many apps require mic access for core functions, making it tougher to rule out their having been given too much access.

    If not already included (this may already be the standard, I'm just not sure), I'd like to see Google and Apple add some granularity to the mic and camera permissions so that there is a separate permission to limit access to only when the app is actively being used in the foreground when the screen is on. This way, only the handful of very specific voice control apps, like assistants, would actually ever be granted mic access at other times. Then, in the app description, highlight apps that will request the more advanced permissions. That would serve as a disincentive for developers to ask users to agree to additional permissions.

    I'd go a step further on what I'd personally like: an option in Google Play to filter out even showing me any apps that ask for that permission.
    Reply
  • DannyDOn
    It's scary, so when we're talking or doing something secretive, we must keep our smart devices away from us. Because it is likely monitoring the surrounding sound and then transmitting it back for analysis.
    Reply
  • Cosmocronos
    DannyDOn said:
    It's scary, so when we're talking or doing something secretive, we must keep our smart devices away from us. Because it is likely monitoring the surrounding sound and then transmitting it back for analysis.
    Well, I remember that after the introduction of the GSM devices people started to remove batteries when attending meetings; when, quite conveniently indeed, non removable batteries became the standard phones were routinely left outside the room. Granted, at the time the concern was about industrial espionage not advertising but, not surprisingly, the technology trickled down.
    Reply