How to Lose a $180M Company (Based on Data)

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How to Lose a $180M Company (Based on Data)

Hi everyone! today I want to talk about very recent interesting event that you may have seen in the news and I also want to talk about how it happened and why it happened. So maybe you know Avast – company providing a very popular antivirus software and this antivirus has more than 400 million users worldwide and Avast as a company was aware of the value of the data available coming from their huge user base so what they started to do is to scrape a web browsing data from their users and selling it as a web analytics to many big corporations via their subsidiary called Jumpshot.

Now Jumpshot was doing really well selling their analytics and was worth eventually more than $180M. The point here is maybe users have even legally agreed to this in some terms and conditions that no one reads because they are too long simply or maybe maybe they have not agreed to this but it doesn’t really matter because the users were not aware of this happening and the company took something from the users that had a value which is their user data made money out of it and then kept all the money just for themselves.

Later Jumpshot was shut down as a public found out what’s going on here also a huge way of awareness came up. The question here is why did this happen in the first place I see two reasons first is the huge demand for data like this on one side and then also limited options for companies to get to data on the other side so to me there are also two lessons learned here first one is if your company is based on a data be sure to source them in a fair way and second don’t try to hide as a company from users what you are doing with their data because sooner or later they will find out anyway

 

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reference – How to Lose a $180M Company (Based on Data)

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