Published 17. Mar. 2021

Clubhouse Concerns: Privacy And Security Issues

Clubhouse's recent security breaches have made users question whether the app is able to protect their data and maintain their privacy.
Business
Cyber Security
Digital Business
General
Innovation

As entrepreneurs, influencers, and c-level executives (CXO) flock to Clubhouse in a bid to harness the app, the security and privacy shortcomings are becoming evident, forcing businesses to re-evaluate their approach to the social media platform.

The app’s fast rise to fame also came with a price as security issues within the platform came to light, posing the question of whether users’ data are fully protected.

In this article, we take a quick look at the recent data breach that Clubhouse experienced and what concerns it raises.

 

Data Spillage and Security Leaks

 

Stanford University Internet Observatory first raised concerns about a Shanghai-based start-up that supplies Clubhouse’s back-end infrastructure and that they would have access to “users raw audio, potentially providing access to the Chinese government.”

Another report by McAfee’s Advanced Threat Research team also highlighted similar security issues in both hardware and software due to Clubhouse’s reliance on the Shanghai tech company.

Both reports seem to indicate that the platform was working on an infrastructure that was poised to be hacked or breached.

In February, Clubhouse confirmed that chats were breached from the invite-only app. The company claimed that an unidentified user was able to stream Clubhouse audio feeds from “multiple rooms” and streamed it on their own third-party website.

A spokesperson for the company has stated that the user was permanently banned and that new safeguards were being installed, which pushes the app a step towards securing and protecting user data even more.

 
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Differing Impacts of security issues

 

Responses from cybersecurity experts on whether Clubhouse is safe for users varied widely with some claiming it should be a serious concern for anyone who uses the app for sensitive conversations.

On the other side of the coin, experts highlighted that the security issues raised by the reports were hypothetical and that the risks were mainly concerned with users in China, where the app is already banned.

Nevertheless, certain parts of the world are taking a serious look at Clubhouse’s shortcomings when it comes to data protection and consumer law with countries such as Germany taking court action against the app due to its failure to meet GDPR requirements.

Whether or not Clubhouse security measures are compliant with data and privacy acts, it’s important for businesses and CXOs to be aware of the potential security risks involved with the platform.

 

Prioritizing Cybersecurity Investments 

 

Despite Clubhouse’s meteoric rise to unicorn status with a reported valuation of $1 billion, for them to remain as a viable platform for businesses and industry leaders, the company must invest in and strengthen its cybersecurity measures immediately.

Given the vast increase in digital communications due to work-from-home initiatives and our own report on cybersecurity trends among CXOs and businesses, the onus lies on Clubhouse to ensure that their users’ data are protected.

While the recent security issues do not pose any serious threats or risks, for now, they still serve as a reminder that users need to be vigilant when using the app and that Clubhouse needs to improve its security measures sooner than later.

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