FTC: Manufacturers Violate Federal Law By Hiding Software Support Plans

The FTC said that smart device makers that fail to disclose their software support plans may be violating federal law. Also: meet OpenWRT One: a wireless Internet router designed to be repairable!

In what could be a groundbreaking decision for the fast-evolving Internet of Things, the U.S. Federal Trade Commission issued a report last Tuesday that found widespread failures by smart device makers to disclose their planned software support lifecycles and said such negligence may breach the Magnuson Moss Warranty Act.

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The report (PDF) is based on a survey conducted by the FTC of 184 different smart products to see which manufacturers properly disclosed the length and extent of software support for the devices to consumers. The Commission found that 161 of the products they surveyed (87%) failed to disclose on their websites how long the products would receive software updates.

“Consumers stand to lose a lot of money if their smart products stop delivering the features they want,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection. “Our study shows that nearly 89% of manufacturers of products we examined failed to post this information prominently or make it readily available. When shopping for smart devices, consumers should ask questions and consider how long their product will last.”

The FTC staff analyzed smart devices across a wide range of categories, from baby monitors and smart bassinets to headphones, smart lightbulbs, dishwashers and home security cameras. Staff used the manufacturer’s product webpage specific to the device model to find the support duration or end date.

They attempted to recreate a realistic consumer online search: using Google searches to find the connected device support information and then examining the entire product webpage, including the “overview” or “highlights” section, the “tech specs,” “technical details,” or “product information” section, and the “FAQ” or “support” section in the search for clear information on software support. Searches were limited to 3 minutes, and links to external sites or documents were not followed.

Often, the FTC found, software support information is missing or hard to find: buried in product specs; on FAQ pages; or in footnotes, rather than being clearly stated on product pages. Manufacturers also employ vague and misleading language like promising “lifetime support” or “continuous updates” for their products, while leaving the specifics of support vague. (So: an OEM might provide “lifetime support” for a smart device, but then make an arbitrary decision to discontinue and brick the product six months after you purchased it. In that case “lifetime support” = 6 months.)

In some cases, the FTC found that the claims are simply untrue. Manufacturers that claim to offer "lifetime" support for devices have actually ceased security updates years prior.

The report followed a letter submitted to the FTC in September, 2024 by US PIRG, Consumer Reports, the Software Freedom Conservancy, Secure Resilient Future Foundation and 13 other groups. The letter asked the FTC to develop guidance to address “software tethering,” in which manufacturers use software to control and limit how devices function after a consumer has purchased it.

Manufacturers’ failure to disclose the duration of their software support commitments “warrants further consideration by policymakers and law enforcers,” the FTC concluded. In some cases, the failure to inform prospective purchasers about the duration of software updates for products sold with written warranties may violate the Magnuson Moss Warranty Act, which requires that written warranties on consumer products costing more than $15 be made available to prospective buyers prior to sale and that the warranties disclose a number of things, including, “a clear description and identification of products, or parts, or characteristics, or components or properties covered by and where necessary for clarification, excluded from the warranty.”

Manufacturers that market a device as having certain features (“lifetime support!”) and then fail to provide software updates needed to maintain those features raise the specter of deceptive practices in violation of the FTC Act, the Commission said.

The burden imposed on consumers (and the planet) by arbitrary “end of life” declarations by manufacturers - including the severe cyber risk of unsupported, unpatched smart devices - has been a topic of debate and discussion in recent months. That includes EOL…RLY? a discussion at the HOPE XV (Hackers on Planet Earth) conference in July and Bricked and Abandoned: How to Keep the IoT from Becoming an Internet of Trash at DEF CON 32 in August. Check out those videos for a fuller conversation of EOL and abandonware issues.

It remains to be seen what will come of the FTC letter -especially with the incoming administration likely to make changes to the Commission and other federal agencies. However, there is evidence that some lawmakers on Capitol Hill are responding to consumers’ frustration with finicky, short lived and expensive smart devices.

In late October, Rep. Marie Gluesenkamp Perez (D-WA-03) introduced the Performance Life Disclosure Act, a federal law that would require home appliance manufacturers to label products with the anticipated performance life with and without recommended maintenance, as well as the cost of such maintenance.

Under the bill, the National Institute of Standards and Technology (NIST) would determine which home appliances fall under the requirement, and manufacturers would have five years to comply.

“Home appliances are major purchases – but when families buy a brand-new washer, dryer, or fridge just to have it conk out after a few years, it’s immensely frustrating and it drains wealth from the middle class,” said Rep. Gluesenkamp Perez in a statement. “Many manufacturers aren’t making home appliances like they used to – and this legislation would help Americans identify which products and manufacturers are worth investing our hard-earned dollars in.”

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Other News

Meet OpenWRT One: The First Open Source, Fixable Wireless Router

Last week, the Software Freedom Conservancy announced the production release of the OpenWrt One: the first wireless Internet router designed and built with “software freedom and right to repair in mind,” the SFC said in a statement. The new wireless router is built using software from OpenWrt, a Linux operating system designed for use on embedded devices.

According to a write up over at Tom’s Hardware, the new router will retail for $89 with production by Banana Pi for the device production. (You can order one over at Aliexpress.) Tinkerers can purchase just the logic board for $68.42. OpenWrt One “will never be locked down and is forever unbrickable,” Software Freedom Conservancy said. “You can control your own network with the software of your choice, and ensure your right to change, modify, and repair it as you like.” (Read more at sfconservancy.org)

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