• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Pentagon accuses Alibaba, Baidu and BYD, three of China's biggest companies, of supporting the Chinese military

2

'We are rapidly running out of time': Watchdog sounds Social Security alarm after 22% cut confirmed for 2032

3

Costco CEO Ron Vachris rose from forklift driver to the C-suite without a college degree: ‘Don’t chase a title’ is the career advice that got him there

1

Pentagon accuses Alibaba, Baidu and BYD, three of China's biggest companies, of supporting the Chinese military

2

'We are rapidly running out of time': Watchdog sounds Social Security alarm after 22% cut confirmed for 2032

3

Costco CEO Ron Vachris rose from forklift driver to the C-suite without a college degree: ‘Don’t chase a title’ is the career advice that got him there
TechChange the World

How Apple Will Stop Companies Abusing Facial Recognition on New iPhone X

Jeff John Roberts
By
Jeff John Roberts
Jeff John Roberts
Editor, Finance and Crypto
Down Arrow Button Icon
Jeff John Roberts
By
Jeff John Roberts
Jeff John Roberts
Editor, Finance and Crypto
Down Arrow Button Icon
September 23, 2017, 9:19 AM ET
549600875
Female Head with biometric facial mapPhotograph by Alfred Pasieka — Getty Images/Science Photo Libra

When Apple’s new iPhone X arrives next month, its Face ID technology will introduce a new era of convenience—but also new risks of broad face-based surveillance by corporations and governments.

Apple’s strong record on privacy means it’s likely to deploy the facial recognition tool responsibly, but that doesn’t account for third-party companies that plan to integrate Face ID into their apps. Such companies could seek to assemble their own databases of faces and, in the worst case scenario, use a facial database to identify consumers online and in the streets for ad purposes.

Apple has yet to disclose full details of how Face ID will operate, though a source familiar with the tool says there is a plan to prevent app makers from violating user privacy. Meanwhile, outside of a single state law, consumers will have little recourse if companies begin to collect images of their face without consent.

Facing a Pandora’s Box

Facial recognition technology is not new. Casinos have used it for years and, more recently, Samsung and Microsoft began offering it as a feature for consumers to unlock their phones and laptops. What’s different is the hype over Apple’s iPhone X is likely to thrust facial recognition into the mainstream like never before.

Face ID, in a nutshell, is about Apple replacing fingerprints with facial images as a security feature on the iPhone X. For consumers, this means they’ll be able to unlock their phone just by looking at it, and also to use their face as a means to authorize in-app transactions with banks and retailers.

The feature has been hailed for its convenience, but it has also raised concerns that third parties—namely law enforcement or thieves—will be able to unlock iPhone Xs against their owners’ will just by pointing it at them. But there’s also a more subtle worry that Face ID will give Apple and its app partners an easy way to create a massive database of consumer faces.

The privacy fear is that iPhone-enabled facial recognition will be used not just for signing into apps and devices, but also for surveillance and marketing. For instance, malls or restaurants might capture facial images of customers walking in the door, and then use data obtained from app makers to identify who they are.

So far, Apple has smoothed over privacy concerns by noting Face ID is entirely self-contained within the phone: The facial image, which is created with a special camera on the device, is stored only on the iPhone and never shipped back to Apple. This means that, while consumers’ photos and other content are regularly transferred to Apple’s iCloud storage service, this won’t be the case with their facial recognition data.

This is good news, but what about the banks and other companies that plan to rely on Face ID with their apps? A retailer’s app, for instance, might ask an iPhone owner to use Face ID to approve a transaction, but then also use the process to capture an image of the customer’s face.

In response to a question about third parties’ use of Face ID, Apple said in a statement that “users’ privacy has been a priority since the very beginning.” The company added it would provide more details about Face ID closer to time of the product’s release in early November.

“The most unknown part of Face ID is the third-party aspect. It could be troubling if third-party app developers have carte blanche to access the hardware,” said Chris Dore, an attorney with Edelson PC, a law firm that has won high-profile cases involving companies that used apps to collect consumer data without their permission.

App makers typically get permission to collect data through terms-of-service agreements, which very few consumers bother to read. In theory this could be a way for app makers to vacuum up millions of facial images.

“Hopefully Apple is aware of this and will have a way of sand-boxing third party’s use of Face ID,” said Dore, using a term that describes walling off an app’s access to certain features of a smartphone.

Fortunately, that appears to be exactly what Apple plans to do so. A source familiar with Face ID, who was not authorized to speak publicly, confirmed the company will indeed “sandbox” the new iPhone’s facial recognition capacity in a way that prevents app makers from harvesting biometric data. If Apple does implement such an approach, it would be consistent with how the company handles its so-called Touch ID, which lets users authorize purchases with a finger or thumbprint.

All of this is reassuring for privacy advocates, but it also underscores how, in the United States, there are virtually no restrictions on how companies can exploit powerful facial recognition tools.

A Law to Scan Our Faces

The privacy features built into Face ID are likely to limit misuse of a powerful technology. At the same time, Dore worries the new iPhone will increase the popularity of facial recognition, and lead unscrupulous companies to exploit it.

Former NSA contractor Edward Snowden took to Twitter soon after Apple announced Face ID to express similar concerns:

#FaceID
Good: Design looks surprisingly robust, already has a panic disable.
Bad: Normalizes facial scanning, a tech certain to be abused.

— Edward Snowden (@Snowden) September 12, 2017

Such fears may be justified as, right now, there is little to prevent companies from scanning the faces of their customers and creating databases from those images.

Wal-Mart, for instance, experimented with facial recognition as a tool to detect shoplifters. Meanwhile, Facebook has used its “tagging” feature for photos to assemble what is likely the most comprehensive record of human faces in history.

In response to this phenomenon, the state of Illinois passed a law that requires companies to obtain permission from consumers before collecting biometric data, including facial scans.

Get Data Sheet, Fortune’s technology newsletter.

Already, consumers have brought class action suits against Facebook, Google and the digital scrapbook site Shutterfly for allegedly failing to abide by the law. The companies are pushing back aggressively in court, claiming the law doesn’t apply to them, but a series of decisions have so far gone against them. Meanwhile, a stealthy effort in 2016 by the tech industry to persuade Illinois lawmakers to rescind the law came up short.

Two other states, Washington and Texas, have passed their own versions of a biometric law, but, as they provide no right for consumers to sue, they are not expected to have much impact.

All of this may one day lead to calls for federal rules about how and when companies can collect consumers’ faces. For now, though, their best hope may be to rely on Apple’s technology to prevent a convenient feature from turning into a surveillance tool.

About the Author
Jeff John Roberts
By Jeff John RobertsEditor, Finance and Crypto
LinkedIn iconTwitter icon

Jeff John Roberts is the Finance and Crypto editor at Fortune, overseeing coverage of the blockchain and how technology is changing finance.

See full bioRight Arrow Button Icon

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

Geoffrey von Maltzahn and Kimberly Powell on stage at Fortune Brainstorm Tech
AITerm Sheet
AI drug discovery leaders warn U.S. health funding cuts risk falling behind global rivals
By Lily Mae LazarusJune 10, 2026
1 hour ago
Kevin O'Leary wears a silver and black suit with a chain of basketball cards around his neck.
AIData centers
From the Trump administration to Kevin O’Leary, there’s a new narrative that China is to blame for plummeting data center popularity
By Sasha RogelbergJune 10, 2026
3 hours ago
JB Straubel, co-founder of Tesla and founder and CEO of Redwood Materials, speaking at Fortune Brainstorm Tech 2026 in Aspen, Colorado. (Photo: Michael Faas/Fortune)
NewslettersFortune Tech
Why China is outpacing the U.S. power grid
By Andrew NuscaJune 10, 2026
3 hours ago
A $7 billion horse race: Goldman Sachs and Morgan Stanley battle for ‘lead left’ position ahead of OpenAI and Anthropic IPOs
Startups & VentureFinance
A $7 billion horse race: Goldman Sachs and Morgan Stanley battle for ‘lead left’ position ahead of OpenAI and Anthropic IPOs
By Shawn TullyJune 10, 2026
5 hours ago
Visa’s CFO downplays the importance of stablecoin and agentic commerce to the U.S. payments giant—at least in the short term
Bankingdigital and mobile payments
Visa’s CFO downplays the importance of stablecoin and agentic commerce to the U.S. payments giant—at least in the short term
By Angelica AngJune 10, 2026
5 hours ago
Man in a white shirt and jacket.
InnovationBrainstorm Tech
Marc Lore’s robots make 500 burrito bowls an hour. A human can make 45
By Amanda GerutJune 9, 2026
12 hours ago

Most Popular

Pentagon accuses Alibaba, Baidu and BYD, three of China's biggest companies, of supporting the Chinese military
Asia
Pentagon accuses Alibaba, Baidu and BYD, three of China's biggest companies, of supporting the Chinese military
By Kate O'Keeffe and BloombergJune 8, 2026
2 days ago
'We are rapidly running out of time': Watchdog sounds Social Security alarm after 22% cut confirmed for 2032
Economy
'We are rapidly running out of time': Watchdog sounds Social Security alarm after 22% cut confirmed for 2032
By Nick LichtenbergJune 9, 2026
19 hours ago
Costco CEO Ron Vachris rose from forklift driver to the C-suite without a college degree: ‘Don’t chase a title’ is the career advice that got him there
Success
Costco CEO Ron Vachris rose from forklift driver to the C-suite without a college degree: ‘Don’t chase a title’ is the career advice that got him there
By Preston ForeJune 8, 2026
2 days ago
Current price of oil as of June 9, 2026
Personal Finance
Current price of oil as of June 9, 2026
By Joseph HostetlerJune 9, 2026
23 hours ago
Trump, who has repeatedly called climate change fake, is now threatening Brazil with tariffs over the deforestation of the Amazon
Environment
Trump, who has repeatedly called climate change fake, is now threatening Brazil with tariffs over the deforestation of the Amazon
By Sasha RogelbergJune 8, 2026
2 days ago
Current price of silver as of Tuesday, June 9, 2026
Personal Finance
Current price of silver as of Tuesday, June 9, 2026
By Joseph HostetlerJune 9, 2026
23 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.