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Karl Wabst

Consumer Policy Solutions :: New Survey Raises Consumer Online Privacy Awareness - 0 views

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    Jan. 27 /PRNewswire-USNewswire/ -- Consumer Policy Solutions today released a new survey examining consumer awareness and understanding of online privacy. With Data Privacy Day tomorrow, this is an especially timely survey intended to help raise consumer awareness of privacy issues and give consumers the knowledge and tools needed for the privacy they desire online. Many consumers are not fully aware of the implications of their online activity and the "virtual breadcrumbs" they inadvertently leave behind when roaming from site to site. This survey, which follows closely on the heels of a Consumer Policy Solutions survey released in May that revealed protecting personal privacy is a top consumer concern, takes a closer look at consumers understanding of online privacy. Many respondents were unaware of the tracking, collecting and sharing of information that occurs as a result of online activities. "Consumers care about protecting their privacy on the Internet, but they do not necessarily know how to protect themselves nor do they understand how the process works," said Debra Berlyn, president of Consumer Policy Solutions. "Today is a great day to raise awareness of what the issues are for consumers. I think our survey serves as a good gauge of how consumers view their privacy online." In response to the findings of the survey, Consumer Policy Solutions is launching a website www.ConsumerPrivacyAwareness.org dedicated to educating and informing consumers about online privacy issues. The survey found that: * Consumers think they are knowledgeable about online privacy, but many are unaware of how their activity and behaviors can be followed and collected online. o 70% of Internet users say they are very or fairly knowledgeable about how to protect their personal privacy online o 42% are unsure whether their online activity is tracked and recorded by companies for commercial purposes o 12% believe that tracking by companies for co
Karl Wabst

AT&T Backs Privacy Rules - WSJ.com - 0 views

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    As the impact of digital advertising on consumer privacy comes under scrutiny, AT&T is taking a stance in support of stricter standards. Rep. Rick Boucher (D., Va.), chairman of the subcommittee, said in an interview Wednesday that a statute is needed to regulate how companies collect, share and use data on consumers' behavior in targeting online advertising. While ad targeting on the Web has been at the forefront of privacy advocates' concerns, worries are growing about other media, ranging from mobile phones to emerging TV technologies. To sell marketers targeted ads, technology and media companies collect data about customers, ranging from the Web sites they visit to the neighborhoods they live in to the TV shows they watch. Marketers often will pay a premium for this form of advertising because it allows them to show their ads to consumers who are likelier to buy their products or services. "Pitfalls arise because behavioral advertising in its current forms is largely invisible to consumers," says Dorothy Attwood, AT&T's senior vice president of public policy and chief privacy officer, in prepared testimony she is expected to deliver at the hearing of the House Subcommittee on Communications, Technology and the Internet. Her statement says consumers don't fully understand that their online activity is used to create detailed profiles of them. Internet and other media companies say the data they use to target ads are anonymous and can't be traced to individual consumers. AT&T plans to argue that consumers should have "full and complete" notice of what information is collected about them and how it is used and protected, and should have tools that let them determine whether their Web activities are being tracked. The company says it won't use consumer information for online behavioral advertising unless it first obtains consent from the consumers involved. AT&T's stance contrasts with the position taken by most big Internet companies and industry trade grou
Karl Wabst

Deloitte Survey Finds Healthy Consumer Demand For Electronic Health Records, Online Too... - 0 views

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    As health care providers determine how they will take advantage of the $19 billion allocated in the stimulus package to help jumpstart advances in health information technology (HIT), consumer appetite for electronic health records (EHRs), online tools and services is also growing, according to the results of the 2009 Deloitte Survey of Health Care Consumers (www.deloitte.com/us/2009consumersurvey). While only 9 percent of consumers surveyed have an electronic personal health record (PHR), 42 percent are interested in establishing PHRs connected online to their physicians. Fifty-five percent want the ability to communicate with their doctor via email to exchange health information and get answers to questions. Fifty-seven percent reported they'd be interested in scheduling appointments, buying prescriptions and completing other transactions online if their information is protected. Technologies that can facilitate consumer transactions with providers and health plans, like integrated billing systems that make bill payment faster and more convenient, are also appealing to nearly half (47 percent) of consumers surveyed. The survey of more than 4,000 U.S. consumers 18 and over was released today at the Healthcare Information and Management Systems Society (HIMSS) Annual Conference held in Chicago. It is the second annual study examining health care consumers' attitudes, behaviors and unmet needs conducted by the Deloitte Center for Health Solutions offering health care industry leaders and policymakers a timely look at how health care consumerism is evolving. "Consumers are increasingly embracing innovations that enhance self-care, convenience, personalization and control of personal health information," said Paul H. Keckley, Ph.D., executive director, Deloitte Center for Health Solutions. "Consumers want a bigger say in their health care decisions. Consumer demand for HIT and its potential impact on reforming the system has never been stronger." Despite strong con
Karl Wabst

2007 FTC Workshop: Ehavioral Advertising: Tracking, Targeting, and Technology - 0 views

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    On November 1 and 2, 2007, the Federal Trade Commission will host a Town Hall entitled "Ehavioral Advertising: Tracking, Targeting, and Technology." The event will bring together consumer advocates, industry representatives, technology experts, and academics to address consumer protection issues raised by the practice of tracking consumers' activities online to target advertising - or "behavioral advertising." The Town Hall is a follow-on to a dialogue on behavioral advertising that emerged at a November 2006 FTC forum, "Tech-Ade," which examined the key technological and business developments that will shape consumers' core experiences in the coming ten years. In addition, several consumer privacy advocates, as well as the State of New York, recently sent letters to the FTC asking it to examine the effects of behavioral advertising on consumer privacy. The Town Hall will explore how the online advertising market, and specifically behavioral advertising, has changed in recent years, and what changes are anticipated over the next five years. Among other things, it will examine what types of consumer data are collected, how such data are used, what protections are provided for that data, and the costs and benefits of behavioral advertising to consumers. The Town Hall will also address what companies are disclosing to consumers and what consumers understand about the online collection of their information for use in advertising. In addition, the Town Hall will look at what regulatory and self-regulatory measures currently govern the practices related to online behavioral advertising, as well as anticipated changes in the behavioral advertising space in the future. The Commission invites interested parties to submit requests to be panelists and to recommend other topics for discussion. The requests should be submitted electronically to behavioraladvertising_requests@ftc.gov by September 14, 2007. The Commission asks interested parties to include a stat
Karl Wabst

Are You Ready for Regulation of Targeted Advertising? | Interviews | ITBusinessEdge.com - 0 views

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    "Lora Bentley spoke with Anzen analysts Megan Brister and Jordan Prokopy via e-mail regarding behavioral advertising - what companies are doing, what regulators want to do and what we, as advertising consumers, need to know. With their coworker Miyo Yamashita, the analysts recently wrote a guest opinion for IT Business Edge. Bentley: Why are so many concerned about privacy when it comes to behavioral advertising? What is it about the Internet that convinces consumers that information they share there is not being used? Brister and Prokopy: Most concerns stem from the lack of transparency around data disclosure practices. While consumers may value a Web site's product and service offerings, they are generally unaware that businesses share their information with an extensive group of other businesses in order to deliver targeted advertising. This group includes news Web sites, advertising networks, profiling services, and Web analytics providers, to name a few. As Pamela Jones Harbour, a Commissioner at the Federal Trade Commission (FTC), discussed at the FTC Roundtable earlier this week, there is an asymmetry between consumer perceptions and business realities. Once consumers are informed of businesses' data handling practices, they will want to have more control over how businesses manage their information. As we discuss in our article, some businesses engaged in online behavioral advertising have been slow to adopt transparent consumer data management policies. This is a concern particularly for vulnerable groups, such as minors or non-English speaking consumers, because they may not understand legally written policies. Consumer advocacy groups argue that without knowledge and control over the collection, use, and disclosure of data, Web sites may misuse or expose sensitive data about consumers' health, lifestyles and finances."
Karl Wabst

FTC Staff Proposes Online Behavioral Advertising Privacy Principles : Internet Business... - 0 views

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    To address important consumer privacy concerns associated with online behavioral advertising, the staff of the Federal Trade Commission today released a set of proposed principles to guide the development of self-regulation in this evolving area. Behavioral advertising is the tracking of a consumer's activities online - including the searches the consumer has conducted, the Web pages visited, and the content viewed - in order to deliver advertising targeted to the individual consumer"s interests. For more than a decade, the FTC has engaged in investigation, law enforcement, studies, and other privacy developments to protect consumers' privacy online. Concepts used to develop the principles emerged from the agency's longstanding privacy program and, more recently, from two conferences hosted by the FTC. In the fall of 2006, a three-day public hearing, "Protecting Consumers in the Next Tech-ade," examined technology developments that could raise consumer protection policy issues, including privacy, over the next decade. This past November, building on the Tech-ade hearings, the FTC hosted a Town Hall entitled "Ehavioral Advertising: Tracking, Targeting, and Technology," to focus in on privacy issues raised by behavioral advertising. "The purpose of this proposal is to encourage more meaningful and enforceable self-regulation to address the privacy concerns raised with respect to behavioral advertising. In developing the principles, FTC staff was mindful of the need to maintain vigorous competition in online advertising as well as the importance of accommodating the wide variety of business models that exist in this area," according to its proposal "Behavioral Advertising: Moving the Discussion Forward to Possible Self-Regulatory Principles." The proposal states that behavioral advertising provides benefits to consumers in the form of free content and personalized advertising but notes that this practice is largely invisible and unknown to consumers. To address the
Karl Wabst

Consumers, FTC Seeking Behavioral Advertising Transparency | Knowledge Network | ITBusi... - 0 views

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    "Consumers are often oblivious to the fact that some businesses share a great deal of their personal information with other businesses who deliver targeted behavioral advertising, says Anzen analysts Megan Brister and Jordan Prokopy. In an e-mail interview with IT Business Edge editor Lora Bentley, Brister and Prokopy say most consumers are just not aware of the business practices of companies that use personal information for profit. The Federal Trade Commission recently held meetings with consumer and privacy advocates, business and government leaders to discuss privacy, regulatory, and business issues of online behavioral advertising. It plans plan to ramp up efforts to protect consumers and possibly push for tougher legislation to protect consumers. One issue, Brister and Prokopy say, is the lack of transparency by companies that engage in behavioral advertising. These companies have been slow to adopt clear data-management policies and even when they do have policies, they are often written in language that is difficult to understand. Fortunately for consumers, some type of regulation appears to be on the way. The FTC appears eager to penalize businesses who lack transparency regardless of whether the consumer actually experienced any real negative effects as a result, Brister and Prokopy say."
Karl Wabst

Advertiser tracking of Web surfing brings suits - 0 views

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    Big Brother may be at it again. Behavioral advertising - the tracking of consumer's Internet surfing activity to create tailored ads - has triggered an intense legal controversy that has law firms scrambling to stay on top of a burgeoning practice. Attorneys say that behavioral advertising is raising privacy, litigation and regulation fears among consumer advocates, the electronic commerce and advertising industries and legislators. Law firms are busy helping companies come up with a transparent way of letting consumers know that their online activities are being tracked and possibly shared. "Lawmakers and companies are having a tough time keeping up with this new frontier of Internet privacy issues, and there is growing consumer unrest about behavioral advertising, leading in some cases to consumer rebellion," said Lisa Sotto, a partner and head of the privacy and security data group in the New York office of Richmond, Va.-based Hunton & Williams. "Consumers find this type of tracking intrusive, and businesses are starting to take the consumer reaction seriously," she said. The buzz over behavioral advertising has been building since congressional hearings that were held last year, during which Congress called on Internet service providers (ISPs) to testify about a highly controversial advertising practice known as "deep-packet inspection." The practice gives companies the ability to track every Web site consumers visit and provides a detailed look at everything they're doing, such as where they're going on vacation, who is going, how much they spent on the trip and what credit card was used. But then came the first class action targeting behavioral advertising, filed against Foster City, Calif.-based NebuAd Inc., an online advertising company accused of spying on consumers from several states and allegedly violating their privacy and computer security rights. The lawsuit specifically alleges that NebuAd engaged in deep-packet inspection. Valentine v. Ne
Karl Wabst

Industry Giants to Weigh in on US Privacy Laws - PC World - 0 views

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    A group of U.S. companies, led by technology giants Microsoft, Hewlett-Packard and eBay, is set to outline recommendations for new federal data-privacy legislation that could make life easier for consumers and lead to a standard federal breach-notification law. The recommendations, which were developed by a group of industry players called the Consumer Privacy Legislative Forum, are set to be released at an upcoming privacy conference six weeks from now, according to Peter Cullen, Microsoft's chief privacy officer. The companies have been working for the past three years to encourage the adoption of federal consumer data-privacy laws and to answer the question of what federal legislation should look like, Cullen said in an interview. Other forum members include Google, Oracle, Procter & Gamble and Eli Lilly. One idea is that laws should make it easier for consumers to understand what they're getting into when they share their personal data with Web sites, Cullen said. "The whole focus on consent really puts an unfair burden on the consumer," he said. "My mom doesn't know what an IP address is." The recommendations will cover rules around data use and the ability of consumers to correct inaccurate data. And they will cover data breach notification, which is now covered by a patchwork of state laws. Simplifying breach-notification laws by creating a single federal standard is important, Cullen said Wednesday while speaking at a discussion of privacy policy in San Francisco. "It's not that there is no privacy law. There's actually too much privacy law," he said. "If you think about data-breach notification laws just as an example, there are 38 state laws, many of them very different." "We need to think about much more of a framework approach." Congress has passed some laws covering consumer data privacy, such as the 1996 Health Insurance Portability and Accountability Act (HIPAA), but existing laws do not comprehensively cover consumer privacy in general.
Karl Wabst

Legal Technology - Web Behavioral Advertising Goes to Court - 0 views

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    Big Brother may be at it again. Behavioral advertising -- the tracking of consumer's Internet surfing activity to create tailored ads -- has triggered an intense legal controversy that has law firms scrambling to stay on top of a burgeoning practice. Attorneys say that behavioral advertising is raising privacy, litigation and regulation fears among consumer advocates, the electronic commerce and advertising industries and legislators. Law firms are busy helping companies come up with a transparent way of letting consumers know that their online activities are being tracked and possibly shared. "Lawmakers and companies are having a tough time keeping up with this new frontier of Internet privacy issues, and there is growing consumer unrest about behavioral advertising, leading in some cases to consumer rebellion," said Lisa Sotto, a partner and head of the privacy and security data group in the New York office of Richmond, Va.-based Hunton & Williams. "Consumers find this type of tracking intrusive, and businesses are starting to take the consumer reaction seriously," she said. The buzz over behavioral advertising has been building since congressional hearings that were held last year, during which Congress called on Internet service providers (ISPs) to testify about a highly controversial advertising practice known as "deep-packet inspection." The practice gives companies the ability to track every Web site consumers visit and provides a detailed look at everything they're doing, such as where they're going on vacation, who is going, how much they spent on the trip and what credit card was used. But then came the first class action targeting behavioral advertising, filed against Foster City, Calif.-based NebuAd Inc., an online advertising company accused of spying on consumers from several states and allegedly violating their privacy and computer security rights. The lawsuit specifically alleges that NebuAd engaged in deep-packet inspection. Valentine v. Ne
Karl Wabst

Consumer Watchdog: U.S. Senate Records Reveal Google Inc. Lobbying Campaign on Personal... - 0 views

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    First quarter federal reports show Google lobbied on the electronic medical records provisions of the federal economic stimulus act, contradicting the Internet giant's earlier claims that Consumer Watchdog's report of its effort was "100 percent false." Google's report shows a total expenditure of $880,000 on lobbying during the period including on "online health-related initiatives; issues relating to online personal health records, including in connection with H.R. 1: American Recovery and Reinvestment Act of 2009." Google also contracted with an outside firm, the Podesta Group, which independently reported lobbying for Google on "health information technology" and "online privacy." King and Spalding LLP also independently reported lobbying for Google on "online health-related initiatives, including health information technology provisions in H.R. 1, The American Recovery and Reinvestment Act." After the nonprofit, nonpartisan Consumer Watchdog reported the "rumored" lobbying in January, Google contacted a charitable foundation about withdrawing Consumer Watchdog's funding. In a letter to Google CEO Eric Schmidt released today, Consumer Watchdog said the company owes the group an apology. Read Consumer Watchdog's letter here: http://www.consumerwatchdog.org/resources/LtrSchmidt042209.pdf. "It is now clear from public records that Google was lobbying Congress relating to online personal health records in connection with the economic stimulus act... What else could Google have been seeking except to be excluded from the Health Insurance Portability and Accountability Act (HIPAA) provisions on privacy and forbidding sale of records? Please tell us," wrote Jamie Court, Consumer Watchdog president and John M. Simpson, consumer advocate. "There is a simple way to resolve this," the letter said. "Publicly release all the substance of Google's lobbying efforts on H.R. 1. Google knows the drill: organize the information and make it universally accessible and useful."
Karl Wabst

MediaPost Publications Google Takes Mystery Out Of BT, Gives Consumers A Say In What Th... - 0 views

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    Google will unveil new privacy measures today that will give consumers more control over behavioral targeting. Now, when Google serves banner ads on outside publishers' sites, the ads will include links that provide more information explaining why they were served. Clicking through will lead to details about the company's behavioral advertising program, which categorizes consumers as interested in particular types of goods or services based on the sites they visited. The program is only in beta for now, but once Google signs up publishers, consumers will be able to view the categories they have been placed in--such as "interested in travel"--and also tell Google to remove them from whatever buckets they wish. Consumers also will be able to opt out of the program permanently via a browser plug-in. Or, if people want to receive ads for certain types of products, they can edit their profiles to reflect that--in effect, opting in to particular types of ads. Google's new measures come at a time when online behavioral targeting is facing increased scrutiny. Last month, two Federal Trade Commissioners warned that the online advertising industry could face new laws if it didn't take steps to self-regulate on privacy issues. Recently, Google rival Yahoo announced enhancements to its privacy policies. Among other changes, Yahoo said it would allow consumers to opt out of behavioral targeting on its own site. Google's move drew praise from the Interactive Advertising Bureau's Mike Zaneis, vice president for public policy. "It's really a consumer empowerment tool, which is great," he said. "It's one more example of how industry is competing on the privacy issue, to the benefit of consumers--and also to the benefit of businesses."
Karl Wabst

FTC Publishes Proposed Breach Notification Rule for Electronic Health Information - 0 views

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    The Federal Trade Commission today announced that it has approved a Federal Register notice seeking public comment on a proposed rule that would require entities to notify consumers when the security of their electronic health information is breached. The American Recovery and Reinvestment Act of 2009 (the Recovery Act) includes provisions to advance the use of health information technology and, at the same time, strengthen privacy and security protections for health information. Among other things, the Recovery Act recognizes that there are new types of Web-based entities that collect or handle consumers' sensitive health information. Some of these entities offer personal health records, which consumers can use as an electronic, individually controlled repository for their medical information. Others provide online applications through which consumers can track and manage different kinds of information in their personal health records. For example, consumers can connect a device such as a pedometer to their computers and upload miles traveled, heart rate, and other data into their personal health records. These innovations have the potential to provide numerous benefits for consumers, which can only be realized if they have confidence that the security and confidentiality of their health information will be maintained. To address these issues, the Recovery Act requires the Department of Health and Human Services to conduct a study and report, in consultation with the FTC, on potential privacy, security, and breach notification requirements for vendors of personal health records and related entities. This study and report must be completed by February 2010. In the interim, the Act requires the Commission to issue a temporary rule requiring these entities to notify consumers if the security of their health information is breached. The proposed rule the Commission is announcing today is the first step in implementing this requirement. In keeping with the Recover
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Karl Wabst

Consumer Sentiment: Sentiment Climbs but Remains Pessimistic - 0 views

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    Consumer Sentiment rose up by 1.8 points in early January to 61.9%, compared with market expectations for a slight decline to 59.0%. Despite this surprising gain, sentiment is still 8.4 points below its September level and 21.0% below its year ago level. The current level remains well below its recessionary average of the past 50 years. Current Conditions slipped by 0.3 points to 69.2%. This is 5.8 percentage points below its September level and 26.7% below its year ago level. Consumer Expectations jumped by 3.2 points to 57.2%. Nevertheless, they are still 10.0 percentage points below their September level and 16.0% below their year ago level. Bottom Line: Consumer sentiment climbed in early January. However, sentiment had collapsed in October in reaction to the intensification of the financial and credit market turmoil. Overall assessments of the economy, as well as assessment of current conditions and consumer expectations, are still significantly below their September level and well below their year ago levels. Thus, despite this month's increase, household assessments of the economy are still mired at recessionary levels. The causes of consumers' pessimism are also dampening real consumer spending.
Karl Wabst

Federal Trade Commission - Privacy Initiatives - 0 views

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    Privacy is a central element of the FTC's consumer protection mission. In recent years, advances in computer technology have made it possible for detailed information about people to be compiled and shared more easily and cheaply than ever. That has produced many benefits for society as a whole and individual consumers. For example, it is easier for law enforcement to track down criminals, for banks to prevent fraud, and for consumers to learn about new products and services, allowing them to make better-informed purchasing decisions. At the same time, as personal information becomes more accessible, each of us - companies, associations, government agencies, and consumers - must take precautions to protect against the misuse of our information. The Federal Trade Commission is educating consumers and businesses about the importance of personal information privacy, including the security of personal information. Under the FTC Act, the Commission guards against unfairness and deception by enforcing companies' privacy promises about how they collect, use and secure consumers' personal information. Under the Gramm-Leach-Bliley Act, the Commission has implemented rules concerning financial privacy notices and the administrative, technical and physical safeguarding of personal information, and it aggressively enforces against pretexting. The Commission also protects consumer privacy under the Fair Credit Reporting Act and the Children's Online Privacy Protection Act.
Karl Wabst

Microsoft-led Privacy Group Backs off Legislation - PC World - 0 views

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    A Microsoft-led group set up three years ago has backed away from its original goal of pushing for comprehensive U.S. privacy legislation. Originally, the Consumer Privacy Legislative Forum was set up to bring a diverse array of consumer companies, technology vendors and even advocacy groups together and help drive privacy legislation. But now the group has been renamed the Business Forum for Consumer Privacy and is instead being billed as "an organization focused on fostering innovation in consumer privacy governance," according to the group's new mission statement. The Forum has released a white paper at the International Association of Privacy Professionals conference held in Washington this week. "What the organization is doing is developing the framework that would make new governance possible," said Martin Abrams, an adviser to the Forum who is executive director with the Centre for Information Policy Leadership at Hunton & Williams, an international law firm. Two of the Forum's original members, Symantec and the Center for Democracy and Technology, say they have dropped out. Eastman Kodak has also dropped out, according to Abrams. He was not authorized to say who the current members are, but the group appears to include Microsoft, Hewlett-Packard, eBay and Google. U.S. consumers are covered by a patchwork of state and federal laws that are confusing for companies, and which often force consumers to work hard to protect their own data. Many of the Forum's members would like to change things, but it appears that coming up with legislative proposals was too much.
Karl Wabst

BroadbandBreakfast.com: Advocate Alleges 'Racial Labeling' in Targeted Online Ads - 0 views

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    "The ubiquity of online advertising is a product of its importance to the internet economy, said a group of consumer advocates Wednesday during a debate on the future of online advertising. But the impact of new targeted advertising methods on consumer privacy and its potential to manipulate online experiences was the subject of heated argument at the event, sponsored by the Information Technology and Innovation Foundation. Privacy does not mean the same thing to all consumers in all situations, said Progress and Freedom Foundation Senior Fellow Berin Szoka. Advertisements are attempts to capture user attention - the "great currency of the Internet" - and when successful support a wide range of valuable content, he said. But in online life, "consumers have many values," Szoka added. "Privacy is one of them," he said, but it is not an absolute. Consumers must sometimes trade privacy for content, he said. "There is no free lunch." As more information and entertainment migrates to the internet, Szoka said it is "critical…that we find a way to support this media." Targeted advertising can fit the bill, he suggested - especially if technology gives users more control over their own preferences. Most consumers don't understand that advertising is a necessity for today's internet, he said. New technologies like targeting need to be given a try, he said, so content providers can recoup the value of their advertising - down 25 percent since 2000, he noted. Center for Digital Democracy founder Jeff Chester said Szoka's ideas about advertising's future represented a "false dichotomy." The real debate should be over the rules that regulate advertiser content, he said. Chester warned of a "Targeting 2.0″ system in which neuroscience combined with massive databases not only serve ads, but target content to users. "It's about influencing our behavior without our consent," he said. Chester pointed to the subprime lending cr
Karl Wabst

FTC Staff Revises Online Behavioral Advertising Principles - 0 views

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    Federal Trade Commission staff today issued a report describing its ongoing examination of online behavioral advertising and setting forth revisions to proposed principles to govern self-regulatory efforts in this area. The key issue concerns how online advertisers can best protect consumers' privacy while collecting information about their online activities. Over the last decade, the FTC has periodically examined the consumer privacy issues raised by online behavioral advertising - which is the practice of tracking an individual's online activities in order to deliver advertising tailored to his or her interests. The FTC examined this practice most recently at its November 2007 "Behavioral Advertising" Town Hall. The following month, in response to public discussion about the need to address privacy concerns in this area, FTC staff issued a set of proposed principles to encourage and guide industry self-regulation for public comment. Today's report, titled "Self-Regulatory Principles for Online Behavioral Advertising," summarizes and responds to the main issues raised by more than 60 comments received. It also sets forth revised principles. The report discusses the potential benefits of behavioral advertising to consumers, including the free online content that advertising generally supports and personalization that many consumers appear to value. It also discusses the privacy concerns that the practice raises, including the invisibility of the data collection to consumers and the risk that the information collected - including sensitive information regarding health, finances, or children - could fall into the wrong hands or be used for unanticipated purposes. Consistent with the FTC's overall approach to consumer privacy, the report seeks to balance the potential benefits of behavioral advertising against the privacy concerns it raises, and to encourage privacy protections while maintaining a competitive marketplace. The report points ou
Karl Wabst

FTC Privacy Initiatives - Section 5 FTC Act Unfairness & Deception - 0 views

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    Enforcing Privacy Promises: Section 5 of the FTC Act A key part of the Commission's privacy program is making sure companies keep the promises they make to consumers about privacy, including the precautions they take to secure consumers' personal information. To respond to consumers' concerns about privacy, many Web sites post privacy policies that describe how consumers' personal information is collected, used, shared, and secured. Indeed, almost all the top 100 commercial sites now post privacy policies. Using its authority under Section 5 of the FTC Act, which prohibits unfair or deceptive practices, the Commission has brought a number of cases to enforce the promises in privacy statements, including promises about the security of consumers' personal information. The Commission has also used its unfairness authority to challenge information practices that cause substantial consumer injury.
Karl Wabst

CQ Politics | A Battle Over Ads That Know Too Much About You - 0 views

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    Some consumers say they like the way Internet retailers will suggest new purchases to them based on what they've bought previously. Others feel creeped out when a banner ad seems to know a bit too much about their Web surfing habits. It's called behavioral advertising, and it's central to the business success of all manner of Internet commerce, from bookstores to newspapers. The practice needs regulation, says Rep. Rick Boucher , the Virginia Democrat who chairs the House Energy and Commerce Subcommittee on Communications, Technology and the Internet. Boucher says legislation to protect consumer privacy online will spur people to surf more. But Internet advertising companies are not happy about regulation, especially because Boucher's plan would require, in some cases, that consumers agree in advance before their surfing habits could be tracked. Such an approach "would really be a sea change in the U.S. regulatory framework," says Mike Zaneis, vice president for public policy at the Interactive Advertising Bureau. Virtually all consumer protection laws, he says, permit people to opt out of solicitation, for instance, with a "do not call" registry. For the Internet, Congress has done almost nothing. "To suddenly move toward a draconian opt-in standard," he says, "would really be damaging not just to businesses but consumers." Zaneis, whose group includes such news heavyweights as the New York Times Co. and Conde Nast Publications, says now is not the time to upend Internet companies' business models, right when the economy is in the tank and print advertising is drying up. He argues further that new Web browsers make the issue moot by giving consumers the ability to easily block the electronic "cookies" that track their online movements. The issue promises to be a lobbying extravaganza. Last year, when the Federal Trade Commission (FTC) was developing self-regulatory guidelines for Web companies engaging in behavioral advertising, it
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