Facial recognition startup Clearview AI settles privacy suit

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Clearview AI has reached a settlement in a lawsuit alleging its massive photographic collection of faces violated the subjects’ privacy rights.

FILE – Hoan Ton-That, CEO of Clearview AI, demonstrates the company’s facial recognition software using a photo of himself in New York on Tuesday, Feb. 22, 2022. Facial recognition startup Clearview AI has reached a settlement in a lawsuit alleging its massive collection of images violated the subjects’ privacy rights. Attorneys estimate the deal could be worth more than $50 million.

The case consolidated lawsuits from around the U.S. filed against Clearview, which pulled photos from social media and elsewhere on the internet to create a database it sold to businesses, individuals and government entities. “Clearview did not have anywhere near the cash to pay fair compensation to the class, so we needed to find a creative solution,” Loevy said in a statement. “Under the settlement, the victims whose privacy was breached now get to participate in any upside that is ultimately generated, thereby recapturing to the class to some extent the ownership of their biometrics.”

 

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