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Lenovo Finally Pays $7.3 M Fine Over Invasive 2014 'Superfish' Adware Pre-Installations (softpedia.com)

Leonovo will add $7.3 million into a $1M fund settling a class action lawsuit over their undisclosed pre-installation of Superfish's targeting adware on 28 different laptop models in 2014.

Within one year the U.S. Department of Homeland Security had warned that the adware made laptops vulnerable to SSL spoofing, allowing the reading of encrypted web traffic and the redirecting of traffic from official websites to spoofs, while according to Bloomberg the original software itself also "could access customer Social Security numbers, financial data, and sensitive heath information, the court said."

An anonymous reader quotes Softpedia: According to a "SuperFish Vulnerability" advisory published by Lenovo on their support website following the discovery of the pre-installed software by consumers, the VisualDiscovery comparison search engine software was designed to work in the background, intercepting HTTP(S) traffic with the help of a self-signed root certificate that allowed it to decrypt and monitor all traffic, encrypted or not.... "VisualDiscovery was installed on nearly 800,000 Lenovo laptops sold in the United States between September 1, 2014 and February 28, 2015," also states the settlement agreement. "On January 18, 2015, in response to mounting complaints about the effects of VisualDiscovery, Lenovo instructed Superfish to turn it off at the server level...."

Out of the 800,000 who bought the laptops that came with VisualDiscovery pre-installed, the 500,000 ones who registered their devices with Lenovo or bought them from retailers such as Best Buy and Amazon will be contacted directly by the Chinese company and informed about the settlement agreement. The rest of the customers who cannot be reached straightaway will be targeted by Lenovo using multiple online advertising platforms, from Google to Twitter and Facebook.

A separate settlement with the FTC in 2017 was criticized for its failure to fine Lenovo -- though it did require the company to get affirmative consent for any future adware programs, plus regular third-party audits of its bundled software for the next 20 years.

34 of 79 comments (clear)

  1. HIgh art by mermeid007 · · Score: 1

    I see /. is approaching high art: "The rest of the customers who cannot be reached straightaway will be targeted by Lenovo using multiple online advertising platforms"

  2. What about an admission of guilt and apology? by Anonymous Coward · · Score: 1

    Or are those obsolete in the Trump era?

    1. Re: What about an admission of guilt and apology? by Dogtanian · · Score: 1

      If you meant the 7.3 *million* they were actually fined, that would probably be the case, yes.

      7.3 billion, on the other hand, would sting quite a bit- even for a company the size of Lenovo...!

      --
      "Slashdot - News and Chat Sites Deviant". (Click "homepage" link above for details).
    2. Re: What about an admission of guilt and apology? by Anonymous Coward · · Score: 1

      You mean like how Aaron Schwartz was facing 35 years for putting laptops in university closets so he could publish public domain works?

      https://www.eff.org/deeplinks/2013/03/3-months-or-35-years-understanding-cfaa-sentencing-part-1-why-maximums-matter

      Surely abusing millions of customers and doing so in the most irresponsible way possible is worse than that.

    3. Re:What about an admission of guilt and apology? by Anonymous Coward · · Score: 1

      In the spirit of petty politics where every failure of a current political factor has to be compared with another:

      I don't recall the fraudsters who called themselves bankers apologizing for profiting from tons of bad debt. If I recall they were quite happy to take credit for all the social good they were doing by giving loans to poor minorities who were only dis-included previously because america is racist. Oh but nobody bothered to give said minorities a raise so they all defaulted on those noble loans and got their credit ruined in the process.

      Current-era politics aside there's just a class of people who will never be held to account for their failings short of vigilante justice. There's a reason said concept has been tarnished so much in the last hundred years.

  3. $7.3 million divided by 800,000 customers by psychic_bacon · · Score: 2

    7.3 million divided by 800,000 customers doesn't leave much room for attorneys' fees, right?

    1. Re:$7.3 million divided by 800,000 customers by bobstreo · · Score: 2

      7.3 million divided by 800,000 customers doesn't leave much room for attorneys' fees, right?

      LOL, as if anyone but the lawyers get any of the money. It will cost more to track down and notify each impacted customer than anyone will ever receive.

    2. Re:$7.3 million divided by 800,000 customers by mermeid007 · · Score: 1

      Thank you, Anonymous, if that's your REAL name. What do bungling philosophers know, anyway?

    3. Re:$7.3 million divided by 800,000 customers by SirAstral · · Score: 2

      Yes, we all got the message.

      It's okay to screw people over if you are willing to pay the price. Governments think of these things in the terms of compensation.

      It would be better if the citizens thought of these things in the terms... we no longer buy from companies that are caught doing this so they go out of business and other businesses are not likely try this crap or risk losing their customers.

      So if it's about sending a message... we sure sent the wrong one!

    4. Re:$7.3 million divided by 800,000 customers by SirAstral · · Score: 1

      That would be because you are intentionally misconstruing what I am saying.

      Let me help you out. There are people that harmed themselves, it is only my opinion is that the fine should have been cut in half, though I certainly don't have any problem with Lenovo losing all of that cash either.

      My other opinion is that people should stop buying Lenovo entirely so that they go completely out of business as punishment for doing what they did and as a warning to other businesses that do the same.

      You see, I care about what is right and proper. It is NOT right and proper for lawyers to get loads of cash like this though they definitely deserve to be compensated for their efforts. Additionally, these people deserved a total refund plus damages for those that purchase them in ignorance. Those that purchased after certain date deserve NOTHING because there is a reasonable expectation that they should know public and readily available information and cannot claim ignorance. The case is civil so preponderance is all that is necessary not proof beyond shadow of doubt despite what many morons think.

      And why do you think I am gloating? What is there to gloat about here?

    5. Re:$7.3 million divided by 800,000 customers by Uberbah · · Score: 1

      You could always get off your lazy entitled ass and hire your own damn attorney. Of course, that would also mean you would have to shoulder the cost of the lawsuit and assume all of the risk if you lose. Which doesn't happen with class action lawsuits - still sure you want to shit all over them?

  4. Should be cut in 1/2 by SirAstral · · Score: 1

    The fine should be cut in 1/2. I told a few customers one day in Best Buy that Lenovo was installing this trash on systems as well as using the mainboard to store this trash.

    They still bought the things. There is a certain point where you can start blaming the so-called "victims" for being stupid.

    I no longer feel sorry for anyone that buys lenovo, nintento, Sony, or from any other business that felt that screwing customers over was OKAY and good practice. I wish people understood that boycotts are effective, but since they are too lazy to participate in the economy properly I no longer feel sorry for them when they get screwed by big business.

    1. Re:Should be cut in 1/2 by mermeid007 · · Score: 1

      Most importantly Lenovo stopped everything immediately in this case and gave consumers back their privacy and control. Great that they are paying something. In some cases people literally did lose money for various reasons. Real people.

    2. Re:Should be cut in 1/2 by alvinrod · · Score: 1

      At a certain point, people are responsible for their own actions and poor choices. It isn't victim blaming if you tell someone that they have cancer because they spent their entire life smoking cigarettes.

    3. Re:Should be cut in 1/2 by SirAstral · · Score: 1

      Wow... I guess if you are going to blatantly lie, make the lie a whopper.

      Read what I posted again.

      I said people were told that malware was present yet they still purchased them... when people "knowingly and voluntarily" buys a product they "legally" accepted something called "assumption of risk". This means they LOST their right "legally" to bitch about being spied on!

    4. Re:Should be cut in 1/2 by Sigma+7 · · Score: 1

      When it comes to laptops, there's not as much of a choice. If a buyer needs a laptop, it's unlikely that they'll build their own, and thus they have to rely on brand-name equipment.

      Around that time, the major brands had pre-installed garbage that slows down computers or otherwise send telemetry. The question is by how much, rather than which ones.

    5. Re:Should be cut in 1/2 by SirAstral · · Score: 1

      "No, the question is which ones can you definitively prove.."

      This is a class action lawsuit, a preponderance of evidence is what is required NOT definitive proof. How many of you morons are going to fill up the internet with your moronic ignorance? You must be one of those Sunday armchair lawyers that believes everything they see on TV and thinks they know far more than they do.

      There is literally and internet full of people that DO KNOW that can help you. Go and listen to them and read some things!

    6. Re:Should be cut in 1/2 by SirAstral · · Score: 1

      I don't have to pass the bar, I provided proof already with a link to an actual lawyer, why do you keep ignoring that? Scared to admit you are wrong?

    7. Re:Should be cut in 1/2 by epine · · Score: 1

      The fine should be cut in 1/2. I told a few customers one day in Best Buy that Lenovo was installing this trash on systems as well as using the mainboard to store this trash.

      Your logic is circular. You think they should have trusted "some guy" spouting an opinion, who turns out to be so rational, he's insisting they should have trusted "some guy" spouting an opinion, years later ...

      Moreover, your 15-second anecdotal interaction warrants a 50% revision in how the world turns.

      No idea why Joe Random Consumer might not trust your demeanor on first glace.

  5. Re:Umm... reinstall? by mermeid007 · · Score: 1

    People are clueless about how to do that. Seriously how many people do you think actually have a clue how to reinstall an OS on a PC.

  6. Re:Actually I didn't lie, you did. by SirAstral · · Score: 1

    "You're asserting everyone who bought them was told that. You have yet to prove that. It's obviously not the case."

    You have two problems.
    #1. You are assuming that I can somehow PROVE that my story is correct in any meaningful way. I am not in the habit of taking video evidence of people not following my advice. So NO I don't have to prove anything, the comment is anecdotal. Do you automatically believe people when they say they were assaulted? It's the same thing... anecdotal unless some evidence supporting the claims are presented. A busted nose is not good enough.

    #2. People bought items from Best Buy, as in Best Buy was still selling these systems POST MEDIA STORM and still failed to notify customers that malware was KNOWN to be present upon the systems involved. Let me ask you this, if your local grocer was selling products known to contain salmonella would you want to sue them if they didn't pull that stock or warn you? Product sellers do have some incumbent responsibility here. This means that there is some culpability on Best Buy's behalf legally if someone presses the issue.

    ""when people "knowingly and voluntarily" buys a product they "legally" accepted something called "assumption of risk". -Sure, but there are still laws. They don't go away because of assumed risk generalizations."

    You do know that once the "specifics" are out, that it is no longer "assumed risk generalizations" right? If you are going to argue your side you need to be more intelligent about it. The problem is specific in this case NOT general. When specific information is provide and you ACT upon that information POST reception you are "legally" considered informed! This means you LEGALLY accept the transfer of risk because you are informed.

    Yes, people that did not know deserve compensation, but lets be honest... that only works for so long. Or do you think that it is okay for everyone to be walking around like mindless zombies trusting everything at face value?

    "Anyhow you can say I'm lying but you are advocating above to halve the court fine based on a fallacious sub-legal argument, so yeah."

    Go and talk to a lawyer, they argues this stuff all day long! You can even go and listen to one on youtube called Legal Eagle say the same thing.

    https://www.youtube.com/watch?...

    So if you disagree with a REAL lawyer there is your chance to challenge one!

  7. Re:Actually I didn't lie, you did. by SirAstral · · Score: 1

    Don't you know the different between, anecdotal, facts, evidence, and opinions? I guess not so let me break this down.

    Me saying it should be 1/2 is my opinion.
    Me saying that people bought them after me telling them they were loaded with malware was anecdotal.
    Me not proving this to you means nothing, and my desire to not make any efforts to prove it are not tantamount to surrender either, it just means me proving anything to YOU is not worth the time or effort. I don't think you would be intellectually honest enough.

    The fact that you are trying to construe my statements means you are the one without credibility.

    "Lawyers have been consulted, your pseudo-argument lost big"

    You are a titanic moron. You said that "...you are advocating above to halve the court fine based on a fallacious sub-legal argument, so yeah.""

    The argument is not sub-legal. Whether that argument was successful in this case, if used, has ZERO bearing on this. But because you are a moron you cannot tell the difference. There have been more than enough cases where this "sub-legal" argument won a case. How are you not able to figure this out?

    You were told to check with a layer to find out if the argument was valid, NOT if this argument applied to this case specifically. I am sure you know of that saying... better to be thought an idiot than to open your mouth and remove all doubt? That is you. You have wasted enough effort setting up straw-man after straw-man here to put me on the defensive.

  8. Re:admit when you're wrong, Sir Astral? by SirAstral · · Score: 1

    The assumption that I am a man huh? I am a man so your assumption is correct. I am definitely willing to admit when I am wrong. Now, tell me specifically what you think I am wrong about, and I will review your claim that tell you.

    If I am wrong I will admit it, if I made a mistake that created confusion, I will correct what I meant. If I am not wrong, I will attempt to show you where YOU are mistaken.

    Your turn! Show me where I am wrong.

  9. Re: a cultural difference by sound+vision · · Score: 1

    The "pro-consumer framework", at least in the US, has been completely run over and disregarded in the digital age. Funnily enough the driving forces behind that are big technology companies and the idea that "money makes it right." Wow, just like China!

    But I digress. Let us fixate on how innately terrible the Chinese are. That way we don't have to deal with the difficult task of self-improvement.

  10. Re:Actually I didn't lie, you did. by SirAstral · · Score: 1

    Lol, it is shocking how much of a moron you are, but not surprising.

    "The fact is Lenovo was fined appropriately" that is a statement of opinion. Prove Lenovo was fine appropriately. But you can't. no one can because what is appropriate is a matter of opinion, it has always been, hell it's not even in dispute and court rulings are often written as such "in the opinion of this court" for example.

    "and your efforts to halve that" How does a post on Slashdot constitute 'effort' in this setting? I did not file an amicus curiae and neither am I a witness for either side. I am just offering my opinion. You need to take a chill pill or something.

    "based on a sub-legal argument" I have already proven that I am correct with a link to a real laywer. You are free to find a layer to rebut the lawyer in the link I claimed.

    Your attempts to gaslight me are humorous though. A moron that can't even get simple facts straight trying to gaslight someone is always a hoot!

  11. Arguing on the internet by raymorris · · Score: 1

    At some point, this ancient wisdom comes into play:

    Arguing on the internet is like the special Olympics. Even if you win ...

    He's clearly not listening. Go hug someone or whatever because you're wasting your time here.

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  13. blow out and reinstall by p51d007 · · Score: 1

    Usually first thing I do with a laptop, is set it up, then pull and shelf the HDD/SDD until the warranty period ends. I install a blank drive, set it up how I want. Granted, if the bug is embedded in the bios or something, can't really do anything about that, but for the most part, that should clean it out, not to mention getting rid of the bloat.

    1. Re:blow out and reinstall by theurge14 · · Score: 1

      Or you could just not buy it from a company that loads adware.

  14. A whole $7m? by schitso · · Score: 3, Insightful

    Surely this devastating blow to their financial security will serve as a deterrent for other companies... right? What's that? Their gross profit over the last 10 years has averaged in the hundreds of millions, and this fine serves no other purpose than to demonstrate that it's a more fiscally-viable option to fuck over your customer and then pay the fine later? Color me shocked...

    1. Re:A whole $7m? by Solandri · · Score: 2

      That was my initial reaction. But a little research turned up that Lenovo only made about $250k from Superfish. So the condition that the fine greatly exceeds the profit has been met. Though I would've added a stipulation that in addition to the fine, they have to reimburse users for any expenses they incurred due to security breaches caused by Superfish-related vulnerabilities.

    2. Re:A whole $7m? by Uberbah · · Score: 1

      Eh. As for penalizing this specific instance, sure that ration is okay - as far as deterring future similar examples, the fine is still missing a few zeros.

  15. Re:Umm... reinstall? by TheRealQuestor · · Score: 1

    Capable sure, but most non-computer savvy peeps I know, and I know a lot, don't have a freaking clue on how computers work, let alone know how to or want to learn more them other then click on an icon and go to a program or a website and for many of them even that is pushing their limits. Everyone's brains are wired differently. Some are wired to be good at certain things and others are wired to be shit at nearly everything. So assuming others can do something just because you think they should be able to is extremely naive and lacks wisdom which is on par with the ignorance of most people's concept of computers.

  16. Proprietary software is always unwise. by jbn-o · · Score: 1

    Not dealing in (whether commercially or gratis) proprietary software is always wise. $7,300,000/800,000 people is almost $9.13/person. Nobody who can afford a modern Lenovo computer will find $9.13 very rewarding and Lenovo won't find $7.3M a challenge to pay.

    But the structure of proprietary software (being hidden from the user who is legally prohibited from inspecting or editing the software and often prohibited from sharing the software as well) keeps users ignorant of the software they run. Since there's a lot of proprietary malware out there and we can't tell which proprietary software is malware, we are wise to avoid it all. Ethically, all proprietary software operates not in the user's interests. Users aren't well served by software running on their computers which don't respect their software freedom. This is increasingly becoming a health/life or death concern (see a recent story about a CPAP machine hacker, for instance) and have always been an a concern for those motivated by how we ought to treat other people (perhaps the most important consideration we can make in life).