Cafe24 Faces Backlash Over AI Work Monitoring: 2 Million Clients at Risk?

Introduction: Why Is Everyone Talking About Cafe24?

Did you know that one of Korea's largest e-commerce platforms, Cafe24, is under fire for introducing an AI-driven work monitoring system? The controversy exploded after it was revealed that employees' screens were being recorded and analyzed using Google’s Gemini AI. With over 2 million client companies relying on Cafe24, concerns about sensitive information leaking have set the Korean tech community ablaze.

How Did the AI Monitoring Controversy Begin?

It all started in mid-June 2025, when Cafe24 rolled out a new program called Meta Auto. This software records employees’ computer screens during work hours and uses Google Gemini to analyze work patterns and automate repetitive tasks. The goal, according to the company, was to boost efficiency and streamline processes. But soon after, employees and industry insiders raised alarms: what if confidential client data — names, credit card numbers, sales details — appeared on these recordings and ended up being processed by external AI services?

What Are the Main Privacy and Security Concerns?

Cafe24 isn’t just any tech company — it provides web hosting and e-commerce solutions for millions of online stores. That means it handles extremely sensitive customer data. The core of the controversy is this: if screen recordings include client information, and those recordings are analyzed by Google’s AI, could that data be leaked or misused? While Cafe24 insists that all data is stored on internal servers and not shared externally, experts and community voices point out that even with safeguards, human error or technical loopholes could still lead to breaches.

How Did Cafe24 Respond to the Outcry?

Facing mounting criticism from both inside and outside the company, Cafe24 quickly added a feature to block the recording of sensitive information. Now, if the system detects confidential data, it alerts the employee and can shut down the recording. The company also claims that employees are advised not to record any work involving personal or sensitive data. Despite these assurances, skepticism remains high. Many believe that the risk of accidental leaks — especially when using powerful external AI tools — can never be fully eliminated.

Online Community Reactions: Outrage, Skepticism, and Satire

The Korean internet exploded with reactions. On platforms like Blind, FM Korea, and Naver, employees and netizens voiced their anger and disbelief. Some called it 'workplace surveillance,' while others joked that the sudden announcement of a four-day workweek was a distraction tactic. Comments ranged from 'Are we being watched like Big Brother?' to 'Will this be used to justify layoffs later?' The consensus: trust in Cafe24’s data handling has been seriously shaken.

Cultural Context: Why Is Data Privacy Such a Big Deal in Korea?

For international readers, it’s important to understand that South Korea has a history of high-profile data breaches, making the public especially sensitive to privacy issues. E-commerce platforms like Cafe24 are expected to uphold the highest standards of data protection. The use of foreign AI services for internal monitoring is seen as particularly risky, given past incidents where global tech giants mishandled Korean user data. This explains why the Cafe24 incident has triggered such a strong backlash.

What Does This Mean for the Future of Work and AI in Korea?

The Cafe24 scandal is more than just a company issue — it’s a glimpse into the growing pains of AI adoption in the workplace. As Korean companies race to automate and optimize, the debate over privacy, ethics, and transparency is only intensifying. Employees are demanding greater protections, while customers want assurance that their information is safe. The outcome of this controversy could set important precedents for how AI is used in businesses across Asia.

Key Takeaways for Overseas Fans and Observers

If you follow Korean tech and e-commerce, this story is a must-watch. It highlights the tension between innovation and privacy, and the unique challenges faced by companies operating at the intersection of global AI technology and local data regulations. For fans of K-culture and digital business, Cafe24’s crisis offers a real-time lesson in how quickly public trust can be lost — and how hard it is to win back.

What’s Next? Ongoing Investigations and Industry Impact

As of July 2025, the controversy is far from over. Industry experts are calling for stricter oversight, and some client companies are reportedly reconsidering their relationship with Cafe24. The Korean government may also step in with new regulations. Meanwhile, other tech firms are watching closely, knowing that their own AI initiatives could face similar scrutiny. Stay tuned — this debate is just beginning.