NebuAd has said that its technology respects privacy and that it
tells ISPs to seek subscribers' permission before implementing it,
but a major ISP has suspended plans to use the system ahead of the
Senate hearings.
The controversy is familiar to that generated when Phorm
announced that it was working with UK ISPs on similar technology.
BT and Virgin Media had both been in negotiations with Phorm about
using the technology before a privacy backlash hit Phorm and the
ISPs alike.
Citizens' rights pressure group the Center for Democracy and
Technology has produced a report claiming that use of the
technology could violate US anti-spying laws. "We conclude that the
use of internet traffic content from ISPs may run afoul of federal
wiretap laws unless the activity is conducted with the consent of
the subscriber," said its report.
"When an ISP copies a customer’s communications or allows them
to be copied by an advertising network, those communications have
undoubtedly been 'intercept[ed]'," said the report.
"Therefore, unless an exception applies, it seems likely that
placing a device on an ISP’s network and using it to copy
communications for use in developing advertising profiles would
constitute illegal interception."
NebuAd yesterday announced that it has developed new online
notifications for its system so that ISPs can let customers be
informed about any use of it.
"NebuAd has developed a means to offer consumers direct, initial
online notification and periodic reminders – thereby equipping
users with more opportunities to make informed decisions about
their web experience," said a company statement.
ISP Charter Communications has put its plans to test the
technology on hold after being asked to do so by the chairman of
the US's House Subcommittee on Telecommunications and the Internet
Ed Markey.
"Any service which does not affirmatively subscribe and that can
result in the collection of web-related habits and interests of a
subscriber, or a subscriber's use of the operator's services, or
the identification of an individual subscriber, and achieves any of
these without the 'prior written or electronic consent of the
subscriber' raises substantial questions," said Markey, a Democrat
Congressman in his letter to Charter chief executive Neil Smit.
"We respectfully request that you do not move forward on Charter
Communications' proposed venture with NebuAd until we have an
opportunity to discuss with you the issues raised by this proposed
venture," said Markey.
NebuAd will appear before the Senate committee investigating
online privacy. The Committee will also discuss privacy with
Facebook, Google and Microsoft.
