Life360 is selling the location of millions of users who use its services, according to research by The Markup. The application, which is available for iOS and Android, is presented as a location platform for families. It allows, in particular, to know the location in real time of those members who are part of the family group and who have the app installed on their mobiles.
The publication of The Markup, a non-profit media outlet that investigates large companies on how they use technology for their own purposes, ensures that the data is sold to brokers, such as X-Mode, Cuebiq, Arity and Safegraph , who act as intermediaries to later settle the information to other companies . In particular, to companies that do business with advertising. 20% of the total turnover of Life360, about 16 million dollars, according to the aforementioned media , are thanks to these practices.
A former employee of X-Mode, one of the companies that buys the location of users, assures that the transactions of this app are among the “most valuable offers” they have. Specifically, because the information that is shared is very accurate and of a “high volume”. Life360, which has 33 million active users, shares the information of those over the age of 13.
The CEO of Life360 defends the sale of data as a business model
Credit: Lilfe360 The location app mentions in its privacy policy that the data collected by the app can be sold. Therefore, it does not appear that it is a hidden practice or that it is outside the legal framework. However, they do not seem to be completely clear with their users about how this type of data is distributed. People who use the service can overlook that among the information collected and distributed is the location of millions of children who have the app downloaded, and that these can be transferred from company to company. Fortunately, the user can request that this data not be shared , but again, it is not a process that the app facilitates.
Chris Hulls, head of Life360, mentioned to The Markup that selling data is vital to being able to offer the necessary services for free . “We see data as an important part of our business model that allows us to keep basic Life360 services free for most of our users, including features that have improved driver safety and saved many lives,” he says. He also ensures that his company is not aware that Life360 is “one of the largest sources of data in the industry.”
Life360 acquired Tile, the object locator company, for $ 205 million. The company that competes directly against Apple and its AirTags, has always been cautious when it comes to transferring user data. Tile's policy, however, could change in the coming months, when the purchase is finalized and it becomes part of Chris Hulls' company.
