An Ottawa-based sex toy company is learning the hard way that it isn’t welcome to data-mine in the bedroom after reaching a $3.75 million USD settlement (about $5 million CAD) with two customers who allege the company collected real-time data of their connected vibrators without their knowledge.
The company, Standard Innovation Corp, did not admit any wrongdoing under the terms of the settlement, but did agree to destroy the personal information collected and stop collecting such information in the future.
We-Vibe Rave, the connected vibrator in question, works with the company’s We-Connect app to allow a partner to remotely control the vibrator. According to the settlement agreement, about 300,000 customers purchased the vibrators, with around one-third using the app. The settlement offers app users part of a fund up to $10,000 USD after expenses and fees, and up to $199 USD to those who purchased the vibrator and didn’t use the app.
Source: Financial Post