Zoom to enhance security as part of proposed U.S. settlement with FTC

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By Susan Heavey and Nandita Bose
WASHINGTON (Reuters) – Zoom Video Communications Inc <ZM.O> must implement a new information security program as part of its proposed settlement with U.S. regulators over user privacy issues, the Federal Trade Commission said on Monday.
The FTC said in a statement that the company would face fines of up to $43,280 for each future violation under the agreement.
It said Zoom’s misleading claims about offering users a secure channel of communication while offering a lower level of protection gave a false sense of security, especially for those who used the company’s platform to discuss sensitive topics such as health and financial information.
“Zoom’s security practices didn’t line up with its promises,” said Andrew Smith, director of the FTC’s Bureau of Consumer Protection.

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