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"A key, centrist digital rights group is set to put out a report calling for strong federal privacy laws and guidelines to regulate the growing tracking and targeting of Americans online. It argues that the self-regulation approach that industry fights for just hasn't worked. The online ad industry has "historically failed to fully implement its self-regulatory principles," according to the 34-page draft report by the Center for Democracy and Technology. CDT is a centrist D.C. group that works with and is substantially funded by the tech industry, including companies like Facebook, Google and AOL that are deeply invested in targeted ads. "Recently revised self-regulatory principles still fall short (.pdf) even as written," charges the draft, obtained by Wired.com. These tough words spearhead a new tactic for a group more used to convening inside-the-Beltway tech policy forums than launching ACLU-style send-outraged-e-mail campaigns. The CDT, which splintered off from the rabble-rousing Electronic Frontier Foundation 15 years ago, is also planning to launch a "Take Back Your Privacy" campaign on Thursday, designed to garner support for its call for comprehensive federal privacy legislation. Dozens of tech firms, known and obscure, record users' behaviors as they interact with search engines, blogs, e-commerce sites and even government websites. The tracking goes on in the background with little knowledge by consumers and even less oversight from government authorities. The tech industry - like others subject to potentially blunt-forced government regulation - has argued that policing itself was enough to prevent egregious privacy intrusions that could proliferate without any real chance individuals would even be aware of them."

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

TechEd has been a venue for Microsoft to make big product and platform announcements, but it is ultimately a place where developers come to learn. Two sessions-on data privacy and multicore programming-were especially popular with attendees.

It's hardly a bed of roses these days for IT companies and their managers. There are plenty of things nagging at high-tech vendors, too, according to the annual RiskFactor Report for Technology Businesses published by the financial consultancy, BDO Seidman. The information was gleaned from fiscal year 2008 10-K SEC filings of the 100 largest publicly traded U.S. tech companies. Strong competition and consolidation risk factors top the list of IT managers' concerns. Failure to develop new products or services is also a big headache. Other items making the worry list: * International operations. * Management of current and future M&As. * And, for the first time: Natural disasters, war, conflicts and terrorist attacks. So how should a top manager deal with all this uncertainty? Play some tennis, go for a run, gobble a few Tums and then forge ahead with the best ideas you have.

"Craig Newmark, founder of Craigslist and a customer-service guru, was riding on a public train in San Francisco, California, recently when something common but annoying occurred: The railcar filled with people and became uncomfortably hot. If the inconvenience had happened a few years ago, Newmark said he would have just gone on with his day -- maybe complaining about the temperature to a friend. But this was 2009, the age of mobile technology, so Newmark pulled out his iPhone, snapped a photo of the train car and, using an app called "SeeClickFix," zapped an on-the-go complaint, complete with GPS coordinates, straight to City Hall. "A week or so later I got an e-mail back saying, 'Hey, we know about the problem and we're going to be taking some measures to address it,' " he said. Welcome to a movement the tech crowd is calling "Gov 2.0" -- where mobile technology and GPS apps are helping give citizens like Newmark more of a say in how their local tax money is spent. It's public service for the digital age."

Maybe Craig of Craigslist has finally found something to do with technology besides making it easier to find a prostitute in Los Angeles?

"By now, California is well-acquainted with Meg Whitman, Steve Poizner and Carly Fiorina - Silicon Valley's big-name candidates this election season. But a pair of relatively unknown tech alums, sitting lower on the ballot, are even more an indication of the political maturation of the valley, a place that has traditionally favored pushing policy from the sidelines instead of crafting and enforcing it in Sacramento."

Geek politicians who want to do for CA what they did for the tech industry. Government 2.0 or crash, reboot, crash...

It's never been easier to get information on the run. Smart devices such as the G1 and Apple iPhone let you put the Internet in your pocket and go - down the block or across the country. But this convenience could cost plenty in lost privacy, consumer advocates and tech analysts say. Once data have been collected and warehoused, you lose control of it forever. "The Big Brother aspect of it is troubling," says Rep. Edward Markey, D-Mass., former chairman of the powerful House Subcommittee on Telecommunications and the Internet. Mobile consumers are especially vulnerable, Markey says. Unlike PCs, cellphones tend to be used by one person exclusively. The information they telegraph - on Web browsing, lifestyle and more - tends to be "highly personalized." That's the main reason mobile data are so prized: The information is incredibly accurate. It's also why Markey and other privacy advocates say the debate about online privacy will become even more intense as advertising migrates to the mobile Web. Mobile advertising is still relatively new - G1 users, for now, get ads only through search results, for instance - but it's clearly a hot spot. The market is expected to reach $2.2 billion by 2012, from about $800 million now, according to JupiterResearch. Ultimately, it could surpass the traditional Web, now a $20 billion ad market. Yahoo, Microsoft and other ad-supported search engines collect information as Google does. But the sheer size and scope of Google's data-mining operation - the Web giant performs more than 80% of all desktop searches worldwide - makes it a uniquely pervasive presence, says Chester. Google and Yahoo, the two biggest players in search advertising, say their self-imposed privacy policies are sufficient to protect consumers, noting that they do not collect or store information in a way that can be directly tracked to an individual. Peter Fleischer, global privacy counsel for Google, says Google tries to make privacy language as

The more things change, the more they stay the same. Such is the case for information security management, which has been voted - for the seventh consecutive year - the most important issue affecting IT strategy, investment and implementation over the coming 12 to 18 months, according to the American Institute of CPAs' 20th Annual Top Technology Initiatives Survey. Employing a new strategy this year, the institute's 10-member tech task force distributed surveys to approximately 50,000 of the institute's members and then advertised the survey in an electronic newsletter. "We changed the voting audience," said David Cieslak, CPA, CITP and co-chair of the task force, noting that they sought responses from all institute members, without feedback from outside technology groups, as in past years. "It's a big year - our 20th - we wanted to make sure it was reflective of our membership." This year's survey received more than 700 responses, which ranked 33 technology initiatives that they perceived as having the most impact over the next 12-to-18 months. The most pressing initiative, according to respondents - information security management - is an integrated, systematic approach that co-ordinates people, policies, standards, processes and controls used to safeguard critical systems and information from internal and external security threats. "Integrity, confidentiality and the relationship that CPAs have with their clients is something that has always been important to accountants," said Mary MacBain, CPA, CITP and a task force co-chair. "Security is going to continue to be important." Jim Bourke, a member of the task force and partner-in-charge of technology at CPA and business advisory firm Withum Smith+Brown in Red Bank, N.J., said that it's no surprise to see information security management make the top slot yet again: "Look at the top three - what's the theme? Security and the concern about the privacy issues involving data. For the past few years, many CPAs ha

"We all know that Internet and communications technology is changing rapidly, creating huge opportunities for business innovation and individual self-expression. Most people are probably not aware, however, that privacy law is not evolving nearly as quickly. It is time to update legal protections to reflect the impact the digital revolution is having on modern life. Cloud computing -- a bit of tech-jargon meaning the use of remote servers to store and process data -- is a great example. The movement of personal and proprietary data off desktop computers and into "the cloud", which is made up of server farms and broadband connections, is a major disruptive trend in computing. Unless our laws change to account for cloud computing and other equally momentous technology developments, the Constitution's protection against unreasonable search and seizure will become a relic of the past. The federal law setting standards for government access to personal communications -- the Electronic Communications Privacy Act (ECPA) -- was written more than two decades ago, before the Internet took off. "

A national security panic spread through the Internet yesterday after a report by The Wall Street Journal suggested "terabytes" of classified data on the F-35 Lightning II had been stolen by hackers. Today the Pentagon and Lockheed Martin responded to the allegations saying they are untrue, and I believe them. Defense Department spokesman Bryan Whitman said, "I'm not aware of any specific concerns." That's a key phrase. Lockheed Martin--the F-35 superjet's primary contractor--also commented "We actually believe The Wall Street Journal was incorrect in its representation of successful cyber attacks on the F-35 program." And the company's CFO Bruce Tanner added "I've not heard of that, and to our knowledge there's never been any classified information breach." While it's easy to argue that these responses are merely a smokescreen to save political face, the language is much more direct than a plain old "no comment." Typically, companies protect themselves in this sort of situation by denying the existing or potential hackers any public information on the success or failure of hack attempts, obscuring the level of secrecy of any stolen data. In the F-35 case it looks like the denials are much firmer, and that suggests the developers of the JSF are confident in their security systems. It's an echo of alleged data leaks via F-35 contractor BAE Systems last year, that were later withdrawn due to lack of evidence that leaks had occurred. Government and defense contractor computer networks face a pretty continuous rate of hack attempts. As a result such companies have even more stringent data security protocols in place than normal organizations. They're still not absolutely impervious to hacking, of course, as no such system ever is. So that's why the most highly classified data--critical to the super-secret offensive and defensive capabilities of hardware like the F-35--is typically stored on computers that have an extremely low-tech "air gap firewall". They're not co

Former Booz Allen Hamilton management consultant Melissa Hathaway's much anticipated 60-day review of U.S. cybersecurity policy is scheduled to hit President Obama's desk this Friday. All eyes of the tech security community will be watching. It will signal what approach Obama will take in the complicated task of stemming cyber threats. Obama has said he will make the Internet safer for citizens and businesses, while playing catchup to China and Russia who are far ahead in the cyberwarfare arms race. "We're trying to do cybersecurity in a democracy," says Leslie Harris, President and CEO of the Center for Democracy & Technology. "Doing cybersecurity in China, my guess, is a lot easier." CDT held a press briefing this morning at which it warned that a cybersecurity bill, introduced earlier this month by Sen. John Rockefeller, D-W.Va, and Sen. Olympia Snowe, R-Maine, is the first of several that likely will be proposed once Hathaway's review is out. Harris said CDT agrees with a provision in the Rockefeller-Snowe bill that would create a cabinet-level cybersecurity adviser reporting directly to President Obama, but questions some of the extraordinary federal enforcement powers that could be created. CDT says it doesn't want citizens' civil liberties trampled upon. CDT general counsel Greg Nojeim gave Hathaway high marks for keeping her review process relatively open, in contrast to the Bush administration's penchant for secrecy. "So far the White House review team gets high grades on transparency," Nojeim said. Hathaway has held closed briefings in the past several weeks with Congressional committees, industry groups and privacy organizations, said Nojeim. "But the real test will be whether their recommendations reflect a commitment to transparency in the execution of the program," said Nojeim.

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There is no denying that Google is a giant success. But its size has made the "do no evil" mantra all the more difficult for it to follow - and for some of us to believe. Lately, it seems every new release and every new decision draws the ire of someone, be it politicians, privacy campaigners, or even villagers. While the Google brand is certainly in better shape than many tech firms, its constant moves to control more and more of our data and information has some up in arms. Privacy Three recent announcements have drawn the attention of privacy campaigners in the UK - Latitude, Street View, and behavioural advertising. Latitude is Google's mobile tracking system. Sign up for it, add your friends, and you can all see exactly where each other is via your mobile phone signal pinpointed on a Google map. Handy if you're bored and want to know who's out and about, but the location tracking system could be frightening for a host of other reasons, some say. Last month, Liberal Democrats Home Affairs spokesman Tom Brake filed an early day motion (EDM) asking the government to look into Latitude. Brake said: "This system poses an insidious threat to our hard-won liberties. 24-hour surveillance and a Big Brother society are new realities." But the heat was off Latitude after Street View was unveiled in the UK. The photo mapping system features street-level photos of 25 cities, offering a virtual tour of places such as London, Manchester and more. But some people aren't so happy having their homes, cars and selves photographed and mapped - even with face and number plates blurred. The backlash didn't take long to start. Within a day, Privacy International was on the case, asking the Information Commissioner to shut the site down.

"Identity theft can happen to anyone," is the frequent refrain of government and advocacy groups warning consumers about bank fraud. What they don't add: The crime is far more likely when that "anyone" is a woman. A study released Monday by the fraud-tracking firm Javelin Research showed that women are 26% more likely than men to be the victims of identity theft. While 3.8% of men had their banking details stolen and used for fraud in the last year, 4.8% of women were victimized. And women took far longer on average to discover their financial identities had been compromised, leading to far greater risk of repeat fraud: Women took 83 days to detect they'd been targeted, compared with 45 days for men. The growing reason behind this disparity, argues Javelin President James Van Dyke, is an often-misunderstood trend: Digital commerce is making identity theft harder, rather than easier. Because men are statistically more likely than women to adopt newer technologies such as online banking and shopping, they more often have the benefit of high-tech safeguards, Van Dyke says. Women, because of their lesser use of Web banking and sales, suffer from more old-fashioned fraud caused by stolen credit cards or retail employees, he says. Fifty-eight percent of women, for instance, have never banked online, compared with 55% of men, according to Javelin's study. That means women are less likely to sign up for fraud protection programs like text message or e-mail alerts that warn of abnormal transactions. Twenty-three percent of men use e-mail alerts, compared with 15% of women; 8% of men receive text message warnings, compared with just 3% of women.

To help parents better understand their childrens' online privacy rights, the Federal Trade Commission has developed a new article, Protecting Kids' Privacy. The article is posted at OnGuardOnline.gov, a Web site sponsored by the federal government and the technology industry to help users stay on guard against Internet fraud, secure their computers, and protect their personal information. Parents can learn what Web sites must do to protect the privacy of kids younger than 13 under the Children's Online Privacy Protection Act (COPPA). For example, with very few exceptions, sites must get parents' permission if they want to collect or share their kids' personal information. Parents also will find tips for talking to their kids about online privacy, knowing what their kids are doing online, reporting a Web site that may be violating COPPA, and more. To learn more about online privacy for kids, view this article on OnGuardOnline.gov at www.OnGuardOnline.gov/topics/kids-privacy.aspx or view it as an FTC Facts for Consumers publication at http://www.ftc.gov/bcp/edu/pubs/consumer/tech/tec08.shtm. The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC's online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 1,500 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC's Web site provides free information on a variety of consumer topics.

Financial fraud last year caused 7.5 percent of all adults in the United States to lose money, largely because of data breaches. That's the finding of a survey conducted by Stamford, Conn. research firm Gartner. The survey polled 5,000 U.S. adults and also found that when compared with average consumers, nearly twice as many people who lost money to fraud changed their shopping, payment, and e-commerce behavior. In particular, victims of electronic checking and/or savings account transfer fraud were nearly five times more likely to change banks because of security concerns. "Fraud victims are also more cautious about which brick-and-mortar stores they shop at and how they pay for goods when they get there, demonstrating more awareness of the risk of data breaches," said Avivah Litan, vice president and distinguished analyst at Gartner, in a news release. High-tech crimes, such as data breaches (which typically involve hacking into enterprise systems) and phishing attacks against consumers, are the most prevalent causes of payment card fraud. Gartner found that financial losses were highest with new-account, credit card and brokerage fraud, with average losses per incident totaling $1,097, $929 and $900, respectively. However, victims of brokerage, credit card and debit/ATM card fraud find it easiest to recover their losses, receiving an average of 100 percent, 86 percent, and 77 percent of the funds stolen, respectively.

I was at an advertising conference last week. Some folks are concerned that privacy advocates will press the government to regulate the most common of tracking technologies: behavioral targeting. That's the system that drops a cookie onto our computers to record many of our wanderings through the Web in hopes of targeting us with relevant ads. I had just written The Next Net, about how we'll be tracked on the mobile Internet. And I was thinking that if behavior targeting worries people, the data cascading from our phone use will terrify them. But there are also plenty of reasons to worry about regulation. First, there's a divide in our society between people extremely worried about erosion of privacy and others who appear, with their Web postings, videos and Tweets, to celebrate it. Which group wins? They both can. Take a look at this new friend-finding location-based application for Facebook, Locaccino. It comes out of Carnegie Mellon. The idea is that people can fine-tune their privacy profiles, deciding who can see where exactly they are, and who gets a blurrier vision, or none at all. The point is that millions of people are clearly eager to exchange all sorts of data. It's a way for them to learn, make friends, find things, and have fun. What's more, it supports a vibrant and innovative software market in a gloom-infested tech industry. Some of the innovation will go toward protecting privacy. Because privacy is something that both sides of this debate want and need, even if they don't agree on what it is. Regulations? The most important privacy regs, in my view, should mandate clear communications on how customer data will be used, and will limit tracking to those who have chosen to participate.

Social media is on the rise, and so are the privacy and security risks. Is it time to dial back on the whole Web 2.0 'friend' thing? The social media honeymoon is officially over. While it may not yet be time to fly to Reno for a quickie divorce, you might want to start thinking about sleeping in separate bedrooms for a while. Example du jour: Over the weekend, a rogue application spread across Facebook, warning users about bogus errors in their profiles. Clicking on the "Error Check System" app causes it to send false warnings to your entire FB posse, per the unofficial AllFacebook blog. There doesn't seem to be any payload associated with that app besides driving traffic, but the potential for abuse is obvious. But a bigger problem on social nets is an old familiar one: spam. So far, spam only accounts for about 5 to 25 percent of all e-mail passed on social networks, versus 90 percent of regular e-mail, says Adam O'Donnell, director of emerging tech for Cloudmark, which filters spam for some large social nets (but won't identify which ones). As more people start tweeting about what their cats ate for lunch and share their Facebook profiles with near-total strangers, though, that number will only grow. The type of spam on social networks is different too, says O'Donnell. Think fewer fake Viagra come-ons, more social engineering scams. In other words, the junk you get on social networks is more likely to be aimed at stealing your credentials or your identity -- and thus much more dangerous than garden-variety spam.

Canadians who travelled to the United States in 2008 are being advised to check their credit-card statements and watch for signs of identity theft after a massive security breach at a U. S.-based company that processes millions of credit cards. Canada's Privacy Commissioner said yesterday she was shocked to learn that New Jersey-based Heartland Payment Systems, which processes credit-card transactions for more than 250,000 businesses in the United States, had found "malicious software" in its operating system. "I'm amazed to see something this significant can still happen with the importance that not only privacy commissioners, but experts everywhere, are placing on security," Jennifer Stoddard said. "I was concerned to see this going on and the size of it." Tech experts say the hack could be one of the largest ever credit-or debit-card data breaches, and that Canadians should watch closely for signs of identity theft.

Jan 15, 2009 There may be only a handful of days left in the Bush administration, but the brouhaha over White House e-mail retention policies promises to continue right up to the last day. A federal court yesterday extended a preservation order to ensure that the outgoing administration does everything it can to recover any missing White House e-mails. The White House IT staff now has five days to scour workstations for missing e-mail before administration data records are archived on Jan. 20. The ruling, by U.S. District Judge Henry Kennedy Jr., also orders staff of the Executive Office of the President (EOP) to relinquish any digital media that may contain e-mails from March 2003 and October 2005. The legal action is the latest resulting from a lawsuit filed in September 2007 by the National Security Archive against the EOP, seeking to preserve and restore White House e-mails it alleged were missing. "There is nothing like a deadline to clarify the issues," Tom Blanton, the National Security Archive's director, said in a statement. "The White House will complain about the last-minute challenge, but this is a records crisis of its own making." The Archive, an independent nongovernmental research institute based at George Washington University, is a repository of government records and does not receive U.S. government funding. The Citizens for Responsibility and Ethics in Washington (CREW), a left-wing public advocacy group, also filed suit, but its legal action was subsequently consolidated with the Archive's legal action, which is taking place in the U.S. District Court for the District of Columbia. Last May, the White House's top tech staffer acknowledged that three months of data were missing from backup tapes. In earlier testimony before a congressional committee, White House technical staff said millions of e-mails from the past eight years could potentially have been erased. Also yesterday, Magistrate Judge John M. Facciola held an emergency status con