The Federal Trade Commission will require Verkada to implement a comprehensive security program after allegations of inadequate practices led to significant data breaches involving customer security cameras.
Verkada's failures allowed a hacker to view patients in sensitive medical facilities, raising serious concerns about the protection of consumer personal information and the company's security protocols.
The complaint against Verkada includes allegations of violating the CAN-SPAM Act by bombarding potential customers with emails that lacked proper opt-out mechanisms and information required by law.
As a part of the settlement, Verkada must pay a $2.95 million penalty—the largest the FTC has levied for CAN-SPAM violations—highlighting the seriousness of the offense.
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