In August 2023, Zoom updated its terms of service to grant itself a perpetual, worldwide, royalty-free licence to use customer content for AI training. The backlash was immediate — customers, privacy researchers, and enterprise clients all revolted. CEO Eric Yuan said it was a "mistake." Zoom rolled it back within days. But the attempt revealed the instinct: when nobody was watching, the first move was to claim ownership of every conversation on the platform. Zoom marketed its calls as "end-to-end encrypted" for years. In 2020, the FTC proved they weren't — Zoom maintained access to meeting content, and the encryption keys were generated on Zoom's servers, not on users' devices. Some calls were routed through Chinese servers even when no participants were in China. The company that 500 million people trusted with their meetings during lockdown was lying about encryption on its marketing page.
What they claim: Zoom respects privacy and requires consent for data use.
What we found: March 2023 ToS: 'perpetual, worldwide, royalty-free, sublicensable license' for all video/audio/chat for AI training. No opt-out. CEO: 'process failure.' Reversed Aug 2023 only after backlash from EFF, Bellingcat, and millions of users.
What they claim: Zoom meetings are secure by default.
What we found: Zoombombing (2020): no default passwords, strangers joining meetings. FBI warning. Schools banned Zoom. Default security prioritized ease-of-use over protection.
What they claim: Zoom provides end-to-end encryption for secure communications.
What we found: FTC settlement (2020): falsely claimed E2EE while using transport encryption (Zoom held keys). Routed calls through China. 20-year compliance order. Genuine E2EE added later but opt-in, disables recording, breakout rooms, and other features.
What they claim: E2EE provides genuine security.
What we found: E2EE opt-in, disables cloud recording, transcription, breakout rooms, polling, reactions, join-before-host. Most orgs leave it off. Secure option designed to be inconvenient.
What they claim: Users control their own data sharing.
What we found: Host consent applies to ALL participants. No individual opt-out without leaving. For employees, employer consent is coerced consent. EFF: 'how is that really consent?'