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Sony Settles With FTC Over Rootkits

Posted by kdawson on from the wrist-slap dept.

The FTC has struck a deal with Sony punishing Sony for the rootkits it included on millions of CDs in 2005. The deal is exactly like the Texas and California settlements — $150 a rootkit. The settlement isn't final yet. There will be a 30-day public consultation. American citizens who read Slashdot might want to put in their two cents. Comments will be accepted through March 1 at: FTC, Office of the Secretary, Room H-135, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580 (snail mail only). Here is the FTC page announcing the settlement.

38 of 133 comments (clear)

  1. What about OS????/ by threeofnine · · Score: 3, Informative

    I am an Aussie, this means nothing to anyone outside the USA, it would be good to see Sony pay US$150 to everyone they infected with their shite.

    1. Re:What about OS????/ by bcraigen · · Score: 2, Interesting

      I was under the impression that these CD's were only sold in America??

    2. Re:What about OS????/ by grimJester · · Score: 2, Informative

      This site has maps of the spread of the rootkit. It looks like they were sold in the US and western Europe, with stray copies spread around the wordl.

  2. 150? If by 150 you mean 150ml by Cocoshimmy · · Score: 5, Funny

    How about 150ml of the Sony CEO's blood per rootkit. If they run out, then start taking blood from the rest of the executives in a hierarchical fashion.

    1. Re:150? If by 150 you mean 150ml by GringoCroco · · Score: 2, Informative
      From wikipedia

      Originally, the only symbol for the litre was l (lowercase letter l), following the SI convention that only those unit symbols that abbreviate the name of a person start with a capital letter.
      In many English-speaking countries, the most common shape of a handwritten Arabic digit 1 is just a vertical stroke, that is it lacks the upstroke added in many other cultures. Therefore, the digit 1 may easily be confused with the letter l. On some typewriters, particularly older ones, the l key had to be used to type the numeral 1. Further, in some typefaces the two characters are nearly indistinguishable. This caused some concern, especially in the medical community. As a result, L (uppercase letter L) was accepted as an alternative symbol for litre in 1979. The United States National Institute of Standards and Technology now recommends the use of the uppercase letter L, a practice that is also widely followed in Canada and Australia. In these countries, the symbol L is also used with prefixes, as in mL and L, instead of the traditional ml and l used in Europe. In Britain and Ireland, lowercase l is used with prefixes, though whole litres are often written in full (so, "750 ml" on a wine bottle, but often "1 litre" on a juice carton).
      Prior to 1979, the symbol (script small l, U+2113), came into common use in some countries; for example, it was recommended by South African Bureau of Standards publication M33 in the 1970s. This symbol can still be encountered occasionally in some English-speaking countries, but it is not used in most countries and not officially recognised by the BIPM, the International Organization for Standardization, or any national standards body. so Europeans that use "l" instead if "L" are American, you say ...
  3. Drawing parallels by rumith · · Score: 3, Insightful

    According to the FTC, the software also exposed consumers to significant security risks and was unreasonably difficult to uninstall. Hmm. Perhaps they would fine Microsoft too, based on this exact reason? ;)
    1. Re:Drawing parallels by Anonymous Coward · · Score: 3, Insightful

      When we'll see malware using Vista DRM "features" so even a user with admin privileges won't be able to get rid of it, maybe we should seriously consider that question.

  4. Save your reciept ? by Joebert · · Score: 5, Interesting

    Under the settlement, Sony BMG must allow consumers to exchange affected CDs bought before 31 December 2006, and reimburse them up to $150 (£76) to repair damage to their computers.

    I understand why stores require reciepts to return stuff, but when it comes to CDs which are non-returnable once that plastic wrap is taken off, who the hell bothers to save the reciept ?
    How are they going to know when the CD was purchased ?
    --
    Wanna fight ? Bend over, stick your head up your ass, and fight for air.
    1. Re:Save your reciept ? by zlogic · · Score: 2, Insightful

      These things could sell pretty well on eBay - buy a $75 rootkit CD and sell it to Sony for $150!

  5. how does this multiply out? by acidrain · · Score: 3, Informative

    Is that $150 per cd "sold through" or $150 per customer who is aware of the lawsuit and actually files to get their cheque? Because I imagine those are entirely different numbers. Also, for those who would like to see Sony hurt worse for this, do remember that that this is more than enough. Any company pulling a stunt like that again will be ignorant, not unconcerned.

    So when are desktop OS's going to come installed inside a secure virtual machine OS that is capable of detecting rootkits and possibly doing a little extra scanning on the side? That is long overdue.

    --
    -- http://thegirlorthecar.com funny dating game for guys
    1. Re:how does this multiply out? by Don_dumb · · Score: 4, Insightful

      Is that $150 per cd "sold through" or $150 per customer who is aware of the lawsuit and actually files to get their cheque? Because I imagine those are entirely different numbers. I wonder how many people have these CDs and dont even realise that their CDs are or have been infected? This did make the mainstream media, but wasn't a huge story. I imagine there are thousands of people who still have no idea.

      Wouldn't a better punishment be that Sony is made to stand up and publicize (using such mediums as MTV) the particular CDs that were infected and educate people as to how they can protect against malware. - It openly damages them to those who aren't aware about this (thereby acting as a deterant for anyone else thinking about doing somthing like this), informs the masses as to the lengths DRM goes to (generating more widespread disapproval for DRM) and helps to fight malware through educating the yoot.
      --
      If this were really happening, what would you think?
    2. Re:how does this multiply out? by Professor_UNIX · · Score: 5, Funny

      How many people won't even know that they have been rooted?
      This sounds like the perfect opportunity for one of those chain e-mail letters to be circulated. "Have you played any of these Sony CDs on your computer? If so you're entitled to $150. Pass this along to 5 other people or you will die tomorrow!"
    3. Re:how does this multiply out? by theckhd · · Score: 4, Interesting

      Is that $150 per cd "sold through" or $150 per customer who is aware of the lawsuit and actually files to get their cheque?
      It's not even that simple, FTFA:

      As part of the settlement, Sony BMG will allow consumers to exchange CDs containing the concealed software purchased before December 31, 2006 for new CDs that are not content-protected, and will be required to reimburse consumers up to $150 to repair damage that resulted directly from consumers' attempts to remove the software installed without their consent. Sony BMG is required to publish notices on its Web site describing the exchange and repair reimbursement programs.
      It's a reimbursement for costs incurred while trying to repair the damage done. I presume this means you would need a receipt from a vendor or service company that removed the rootkit for you. I doubt Sony will award the full $150 to you if you removed it yourself.
  6. Meanwhile, RIAA wants $750 per song... by Zaatxe · · Score: 5, Insightful

    Isn't that a little unfair?

    --
    So say we all
  7. Not bad by Anonymous Coward · · Score: 2, Insightful

    The terms of the settlement actually seem pretty good for the consumer. You can claim up to 10 times the price of a CD for damages, you can exchange existing CDs for unencumbered ones, and Sony has to deal with the embarrassment of advertising this fiasco on its website. And more importantly, this will hopefully send enough of a message to other DRM providers and users to make them pause before throwing more malware into their products.

    The only thing I'd like to see added onto there is a clause requiring Sony to pay the legal defense fees of anyone sued by the RIAA. I can dream.

    1. Re:Not bad by Don_dumb · · Score: 2, Interesting

      The one change I would like, is for this to be labelled 'Malware' 'adware' or 'virus concealment tools' because barely anyone outside this site has any clue what a 'rootkit' is, to the public, this is just some "techy thing". Mention virus and people will take notice, they might not bother to protect themselves against them but they certainly know what viruses are. This would have had a different reaction form the public if they understood the issue.
      Sometimes the IT world just doesn't make its case clear in a public issue and loses out as a result.

      --
      If this were really happening, what would you think?
    2. Re:Not bad by MrNiceguy_KS · · Score: 2, Insightful
      I definitely agree about this being labeled Malware. Sony should be required to make a detection program available that users could run to see if their system is infected, and provide information to antivirus vendors so that it can be added to their detection signatures. They should make it's removal part of the next update to Microsoft's "Malicious Program Removal Tool" or whatever it's called.

      Also, their player program that shipped with the rootkit CDs had a 'phone-home' function that loaded a banner from the web. It didn't actually provide Sony any personal data other than the user's IP address, but Sony should be required to track down anyone still running the rootkit player and assist them in removing their software. If they can track down file-sharers using an IP address they should be required to do the same to clean up their mess.

      --
      Redundancy is good And also good.
  8. By that rationale... by GapingHeadwound · · Score: 4, Insightful

    From TFA

    The US regulator said the anti-piracy software wrongly limited the devices on which music could be played to those made by Sony or Microsoft.

    Hmmm... no mention whether Vista or other Microsoft operating systems will come under fire of the same arguement.

    1. Re:By that rationale... by grimJester · · Score: 2, Insightful

      Hey, your comment actually made me RTFA. Congratulations!

      The proposed settlement requires Sony BMG to clearly disclose limitations on consumers' use of music CDs, bars it from using collected information for marketing, prohibits it from installing software without consumer consent, and requires it to provide a reasonable means of uninstalling that software.

      From the summary, I thought this was about the rootkit, not the DRM functionality it was meant to protect. Why does the settlement require things that the law already requires? If the above is just a clarification of how the law was interpreted in this case, this might really have serious implications for the current crop of DRM. iTunes' DRM limits use to Apple products, PCP limits content playback to licensed hardware, Vista (probably) doesn't come with clear disclosure of what the DRM does etc.

      Hell, I bet not one DRM'd cd/dvd or DRM-limited piece of hardware has any visible warning label spelling out what restrictions it imposes compared to what the customer might reasonably expect.

  9. Send the repair bill in by scsirob · · Score: 2, Interesting

    Maybe some folkes can send the invoices for lost time and consultancy hours spent on fixing their systems.

    I'm sure that will be just a bit over $150...

    --
    To Terminate, or not to Terminate, that's the question - SCSIROB
  10. If someone in their basement pulled the exact..... by Anonymous Coward · · Score: 5, Insightful

    ....same thing, their asses would be in the slammer in no time. Sony souldn't be treated any different. This was a computer crime, plain and simple.

  11. How About... by Anonymous Coward · · Score: 3, Interesting

    How About you realise that this is Sony BMG - e.g. a partnership between Sony and Bertelssman. The rootkit would have been 100% BMG's idea. The CEO of Sony has gone on the record as saying he thinks online music sales are too expensive and should be close to the 25c mark.

    1. Re:How About... by ObsessiveMathsFreak · · Score: 4, Insightful

      The CEO of Sony has gone on the record as saying he thinks online music sales are too expensive and should be close to the 25c mark.
      What a great guy. Going on record saying what he sees as fit instead of actually running the company the way he sees fit.

      Why are they even paying this man?
      --
      May the Maths Be with you!
    2. Re:How About... by Rycross · · Score: 2, Insightful

      I'm sure Sony's PR department is grinning from ear to ear that people are falling for this shit.

      Listen.... it doesn't matter that they're separate departments. Its. The. Same. Company. Saying "Oh its just the music department, all those other departments are ok," is just a cop-out. At least be honest that you don't really care.

    3. Re:How About... by Anonymous Coward · · Score: 2, Informative
      Yay, more Intarweb stupidity...

      Listen.... it doesn't matter that they're separate departments. Its. The. Same. Company. Saying "Oh its just the music department, all those other departments are ok," is just a cop-out. At least be honest that you don't really care.
      You seemed have missed some fundamental facts. IT'S NOT THE SAME COMPANY! IT"S NOT A DEPARTMENT! IT'S A SEPARATE COMPANY! There's a *reason* it's called "Sony BMG" instead of "Sony Music Entertainment" (here's a hint, Sony doesn't own all of it), just like MSNBC is called "MSNBC" instead of "Microsoft Cable News" or some sillyness like that...

      Then there's the way that Sony has to invent their own wheel every time, rather than using (see Mini-Disc, Memory Stick, UMD Discs (PSP), etc)established standards
      What "established standard" should Sony have used instead of developing MiniDisc? There were no optical recordable disc standards, nor standards for perceptual lossy audio codecs (MPEG1 wasn't even a paper spec yet).

      again their tendency to create their own standards such as the Memory Stick rather than use existing technology (like SD cards).
      Uhhh, how could Sony have used SD when at the time Memory Stick was introduced SD didn't exist yet?
  12. So if I'm reading the settlement site correctly... by Telephone+Sanitizer · · Score: 5, Interesting

    Without a receipt for repair services the most that you can qualify for is $25 dollars, at their discretion.

    If you removed the unlawful hack yourself, no matter how much pain and suffering it caused, there is every probability that they will compensate you exactly nothing.

    (I mean nothing but the opportunity to exchange your defective CD for a slightly less defective one or a DRM-laden download.)

    I think the kicker is that this is one of those fancy federal consent-decrees -- like the one that was used to "break" the Microsoft monopoly way back when. They agree not to be such meanies and in exchange, they receive total immunity from prosecution on any related federal charges and all state laws that conflict with the federal decision are automatically superseded.

    I'm so glad that the feds are looking out for me. With punishment like that, Sony surely KNOWS they've been naughty. It's certain that they won't do anything like THAT again.

  13. Claim form help? by Kredal · · Score: 5, Interesting

    The claim form you need to fill out for recompensation is at this link.

    One of the questions is as follows:

    7. Briefly describe the type of harm / damage / problem you experienced and the steps that you
    took in response:

    What kinds of problems, other than the pain of removing it, did people have? Was any actual damage done? Did anyone's computer get taken over? I'm just curious what a valid response would be to this, for when I fill out the form.

    --
    Whoever stated that signature sizes should be limited to one hundred and twenty characters can just go ahead and kiss my
  14. Understatement of the year... by Panaqqa · · Score: 5, Insightful

    According to the FTC, the software also exposed consumers to significant security risks and was unreasonably difficult to uninstall.

    Huh? "Reasonably difficult"? This damned thing broke Russinovich's machine, and he had to use several utilities he developed himself to get rid of it by looking deeper into the Windows OS than I think Microsoft ever intended (or wanted) anyone to look. How many /. denizens would have looked for this little gem using named pipes to communicate?

    "Difficult to uninstall"? Right...
  15. I Chooose a Better Punishment by N8F8 · · Score: 5, Interesting

    I'll never buy something from Sony again until they change their anti-consumer practices.

    --
    "God fights on the side with the best artillery." - Napoleon, Marshal of France - speaking truth to power
  16. Two cents by Bob54321 · · Score: 3, Funny

    American citizens who read Slashdot might want to put in their two cents.

    No, thats all wrong. Sony is supposed to pay out...

    --
    :(){ :|:& };:
  17. Wonder who really gets to pay... by ray-auch · · Score: 4, Insightful

    What's the betting that cost of this gets passed onto artists as deductions from royalties ?

    Artist monthly statement:

    Sales: $$$
    Gross royalties (tiny%): $
    Deductions:

          [ blah blah blah ] $$
          DRM legal costs $$
          [new this month]

    Net Royalties: -$$$

    [NB: you won't have to pay us because we're nice like that, we'll just carry it forward]

  18. I have an idea for compensation by badenglishihave · · Score: 2, Funny

    How about a free PS3 instead? Oh wait, that would just introduce more Sony problems into our lives. Whoops.

  19. Re:If someone in their basement pulled the exact.. by jimicus · · Score: 4, Insightful

    Yes, but Sony is a company and this is the USA.

    All the rights of an individual with hardly any of the responsibilities.

  20. Banning things which are already illegal by h2g2bob · · Score: 2, Interesting

    Quite - installing software without consumer consent is pretty much the legal definition of computer hacking. If I was to do that, I'd go to prison. If this is what they did, why isn't Sony's execs in prison?

  21. Damn them anyway! by Anonymous Coward · · Score: 3, Interesting

    Sony's rootkit (which my teenaged daughter installed; damn it I had autoplay shut off for a reason!!!) cost me the price of an SB Audigy since I couldn't find sound chip drivers, and XP since my video card mfg didn't have Win 98 drivers for download. Around $200 plus an afternoon of my time; reinstalling W98, then going to Circut City and installing XP (three fucking times - it didn't like my CD burning software and had a popup on boot saying XP had disabled it, but XP wouldn't let me uninstall it because it had disabled it. Then it updated my networking drivers which disabled the internet. Great product that XP).

    After being yelled at for ruining my computer, she broke the CD and threw it away, and I've lost the receipts for the SB and XP.

    I think a more fair settlement would have been to just have Sony give $500 to every man, woman, and child on the planet, and have its CEO spend as much time in a US federal assrape prison as anybody who would have done this to Sony's corporate computers would have, after being caned in Singapore. Then when he was released from US prison, have the Chinese execute him and bill his family for the bullet.

    If you work for Sony in any capacity at all, I hate your fucking guts. Please die and take your God damned company with you.

    Sorry for the rant.

  22. The REAL point of a class action lawsuit by elrous0 · · Score: 2, Insightful
    Here's a little breakdown of how class action suits *really* work:
    • Suing lawyer gets $5 million
    • Corporation gets protection from individual lawsuits
    • Consumer gets a meaningless coupon

    -Eric

    --
    SJW: Someone who has run out of real oppression, and has to fake it.
  23. tell them by zogger · · Score: 2, Informative

    That's the kind of stuff that needs to go to the FTC comments on this case. Encourage your friend (and he to any of his friends who might also have gone through the same deal) to write in what happened to them. This, in his case now, became part of accessibility laws, he is being discriminated against because of the extra cost and hassle of having to use that particular software, yet the settlement makes no provisions for that. Use that angle.

  24. Re:individual doing this would go to jail by Adambomb · · Score: 2, Informative

    Because avoiding jail time is expensive, and how many individuals have deeper pockets than even an average sized corporation?

    Sad, but true.

    --
    Ice Cream has no bones.