Facial recognition software has been at the centre of many controversies since its inception. Credit: Shutterstock/Gorodenkoff

Almost a week after facial recognition company Clearview AI was fined €30.5m ($33.7m) for building an illegal database, experts say “customer data belongs to them, and them alone.”

The Dutch watchdog, Data Protection Authority (DPA), said last week (3 September) that using Clearview’s services was illegal under Dutch regulations due to the creation of the database, while the AI company disagrees.

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Clearview AI’s chief legal officer branded the decision as “unlawful” and “unenforceable” while experts have stressed the importance of strong data protection measures.

Sridhar Iyengar, managing director for CRM company Zoho Europe, said: “We believe customer data belongs to them, and them alone. Businesses looking to collect that data must make every effort to outline their data collection policies.

“Whether it’s third-party cookies or facial recognition, we believe data privacy should be at the heart of data policies for all organisations.”

Clearview AI is an American facial recognition company, providing software to primarily law enforcement and other government agencies.

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The company has stated that it does not conduct business in the EU or the Netherlands so is not subject to GDPR (the EU’s General Data Protection Regulation).

DPA however also issued an additional order to the company, imposing a penalty of up to €5m on Clearview for non-compliance.

Damien Duff, principal AI consultant, at tech consultancy Daemon said: “The misuse of facial recognition technology, particularly when personal data is collected without consent, highlights the importance of implementing AI responsibly.

“Organisations must ensure their AI systems align with human values, focusing on transparency, fairness, and bias mitigation from the ground up.”

A report on the DPA website states that the company should never have built the database as it is insufficiently transparent with those whose data it holds.

DPA said that Clearview had not objected to its decision and would therefore be unable to appeal against the fine, with Chairman Aleid Wolfsen adding: “Facial recognition is a highly intrusive technology, that you cannot simply unleash on anyone in the world.”