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Obama administration seeks online privacy rules

Obama administration seeks online privacy protections with voluntary but enforceable rules

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NEW YORK (AP) -- The Obama administration is calling for stronger privacy protections for consumers as mobile gadgets, Internet services and other tools are able to do a better job of tracking what you do and where you go.

Consumer and privacy groups welcomed the effort, though some worried that it won't do enough.

Administration officials outlined a proposed "Consumer Privacy Bill of Rights" on Thursday and urged technology companies, consumer groups and others to jointly craft new protections. Such guidelines will initially be voluntary for companies, but those that agree to abide by them could be subject to sanctions for any violations.

"As the Internet evolves, consumer trust is essential for the continued growth of the digital economy," President Barack Obama said in a statement. "That's why an online privacy Bill of Rights is so important. For businesses to succeed online, consumers must feel secure."

The effort comes as companies have found more sophisticated ways to collect and combine data on your interests and habits. Beginning next week, for instance, Google will start merging data it collects from email, video, social-networking and other services when you're signed in with a Google account.

The growing use of smartphones and tablet computers adds another dimension to the tracking. Location information can give service providers such as Facebook insights into where you spend your time and, if you have friends who use the same services, whom you tend to hang out with in person.

Data collection can help companies improve and personalize services. It can also help advertisers fine-tune messages and reach the people most likely to buy their products and services, often without consumers even realizing it.

That is why the administration is seeking more data protections for consumers in a report issued Thursday.

How strong the protections will be ultimately depends on what rules the different parties involved can agree on. Because legislation to enable traditional regulation would take time, the administration favored an approach that combined input from private companies, advocacy groups, regulators and other parties.

Consumer Watchdog, a nonprofit research and advocacy group in California, said the approach will work only if influential companies don't water down the rules to render them meaningless.

"I am skeptical about the 'multi-stakeholder process,' but am willing to make a good-faith effort to try," said John M. Simpson, the group's privacy project director. He's referring to the various parties with competing interests tasked with making the rules.

Last week, the Federal Trade Commission complained that software companies producing games and other mobile applications aren't telling parents what personal information is being collected from kids and how companies are using it. Depending on how the guidelines are crafted, companies could be required to more prominently disclose when they collect such things as location, call logs and lists of friends — not just from kids, but everyone.

The report is not intended to replace other efforts at offering privacy protections.

Apple, Google, Microsoft and other leading companies in mobile computing agreed Wednesday to require that mobile applications seeking to collect personal information warn users before their services are installed. The guidelines came as part of an agreement with California's attorney general.

Separately, the FTC has recommended the creation of a "Do Not Track" tool to let consumers curb advertisers from studying their online activity to target ads. On Thursday, an alliance representing Google, Yahoo, AOL and other leading ad-delivery companies committed to adopting the Do Not Track technology when it is built into Web browsers, something expected this year. The FTC could punish violators.

Commerce Secretary John Bryson said in a briefing with reporters that the administration's proposal not only protects consumers but also gives businesses better guidance on how to meet consumer expectations.

The proposal expands on widely accepted Fair Information Practice Principles crafted in the 1970s, when the Internet was just an experimental network used primarily by researchers. Those existing guidelines say that consumers should be informed about any data collection and given the option to refuse. They should also be allowed to review and correct data about themselves. The principles have provisions for security and enforcement.

Applying the principles to the Internet era, the administration said data collected in one context should not be used for another, while companies should specify any plans for deleting data or sharing information with outside parties, such as advertisers. Companies also need to be mindful of the age and sophistication of consumers. Disclosures need to be presented when and where they are most useful for consumers.

The idea isn't to give people access to everything a company collects about them, but they should at least be able to review and correct any information that is used to make decisions.

The Commerce Department's National Telecommunications and Information Administration plans to convene companies, privacy advocates, regulators and other parties in the coming months to craft detailed guidelines that reflect those principles. Enforcement will be left to the FTC under existing laws.

The codes of conduct will be specific to particular types of companies. One might cover social networks, for instance, while another might deal with services on mobile gadgets. A company that offers social-networking features on phones might adopt both. New ones could emerge as technology evolves.

Although officials expect many companies will agree to the new codes, allowing them to use that commitment in marketing materials, the report also called on Congress to pass new laws to require remaining companies to adopt such guidelines. Until then, enforcement will be limited to companies that say they would abide by the codes but fail to do so.

The Center for Democracy and Technology, a Washington group that advocates stronger privacy protections, welcomed the voluntary codes as an interim measure, but said legislation ultimately will be needed to fully protect consumers.

Legislation also will be needed for the FTC to give protections to businesses that follow a checklist of good practices. Known as safe harbor, such protections would exempt companies from sanctions if they inadvertently break a code.

The report comes 14 months after the Commerce Department first proposed a privacy bill of rights. The issue was later elevated to the White House and won its endorsement with the release of Thursday's report.

The administration dropped a proposal in the original report to create a federal privacy office within the Commerce Department. Instead, the task of convening parties to craft guidelines is left to the existing National Telecommunications and Information Administration.

___

Online:

http://1.usa.gov/zp645t

 

46 comments

  • J  •  Maidenhead, United Kingdom  •  3 months ago
    After he merrily signed all available laws allowing state to look into every possible activity of the citizen. This man is a bad joke
  • WilhemenaCooker  •  Intercourse, Pennsylvania  •  3 months ago
    i care less about online privacy than i do govt intrusion into my life - hey, govt: get the _ _ _ _ out of my life!
    • turksf 3 months ago
      How right you ARE Wilhemena..They say you are free in this country. They control your life from the day you are born with their laws,rules and taxes. They put Doctor Kovorkian in jail for putting sick and suffering people with unbearable pain to sleep so they wouldn't suffer any further. It tells me you don't have the right to die the way you want too either.
  • A Yahoo! User  •  Romeoville, Illinois  •  3 months ago
    More rules that the govt can't enforce without putting allot more people on the govt payrolls.
    Yep! Now you know why Obama wants more rules.
    Lets face it, they can't even enforce the sec rules.
    Illegal immigration rules. etc etc etc
    • oldman1 3 months ago
      this is how obama makes jobs tho .
  • ARMYVET  •  3 months ago
    The Feds already know your income, your address, all your family's names and where they live, the cost of your home, get my point?? Mind your own business Obama...stay out of our lives !!
  • chuck r  •  3 months ago
    Is this the same administration that not only refused to end the Patriot Act but has actually expanded it so as to spy on Americans for things that have nothing to do with terrorism? Are they same people who demanded an Internet "kill switch" so as to completely shut down the flow of information they deemed hostile to their beliefs? And what about these bills they are trying to pass under the cover of copyright protection, but just for the greedy media companies, that also have clauses allowing the government to compile secret folders on citizens for whatever reason they like with absolutely no oversight by judicial branches? The same government whose Attorney General has done NOTHING in almost 4 years regarding the massive frauds committed on Wall Street. Not a single indictment nor even the start on any kind of investigation. But for increasing the control over the common people Obama and Company haven't missed a bet.
  • whited  •  3 months ago
    What a jackass. He passes all kind of laws taking away our privacy, then want's to protect what's left of it!? This president is so psychopathic he doesn't realize we are on to his moronic election year manure.
  • me  •  Richardson, Texas  •  3 months ago
    Obummer + Fed = The worst jock itch ever............
  • TheCentimillionaireAntiEs ...  •  3 months ago
    What, more Government? Not obama.
  • Faye Muss  •  3 months ago
    Facebook, Chewstroke, Twitter.....all collecting and tracking your info.
  • Brian  •  Omaha, Nebraska  •  3 months ago
    Who wants to bet by the time this law is set in stone it has 100000 different stipulations for certain companies, is over 1,000 pages long of weirdly worded ridiculousness and my guess is that it will be used to monopolize this information for certain companies and create artificial barriers for those in which the administration does not favor. It will be interesting to see.
    • oldman1 3 months ago
      true
    • johnny g 3 months ago
      He very Quitly signed ACTA last year,signed NDAA this year in effect making hisself a dictator and I just imagine he supported SOPA and PIPA until he decided he would lose a lot of votes that way so now for his campain he had to come up with something to make hi devoted followers think he is actually trying to protect our rights ,BULL !
  • barondriver  •  Southfield, Michigan  •  3 months ago
    Obummer needs to turn this problem over to his czar on trivia and figure out how the hell to save the United States from global financial collapse, runaway oil prices that will wreak havoc on U.S. citizens, getting Americans back to REAL jobs and just acting like the a real President of the United States!!!
    • johnny g 3 months ago
      Too busy campaigning as usual.
  • Yo mama  •  Capitola, California  •  3 months ago
    This is a serious, runaway, impossible to enforce situation. Don't like Obie but on this issue he is right on. There is no answer. Facebook is the anti Christ. Pull out of social networking before its too late.
  • Matt  •  3 months ago
    The justice department can't do their job now. Why would we propose new stuff for them to regulate?
  • tp  •  Temecula, California  •  3 months ago
    This is part of the "New World Order" agenda....Microchip implants will be their ultimate goal to control us.
  • opinionist  •  3 months ago
    So where is all this abuse that Obama is concerned about? This is all about a government takeover of the internet and even more freedoms lost to big brother government. George Orwell's 1984 is a good predictor for the future unless people throw the big government progressives out of both political parties.
  • JoeBagaDoughnuts  •  3 months ago
    England already has the "data protction act" Google/Apple you owe £5000 ($7500) for each data loss x 20 millions of smart phones in England. :P
  • Bryon  •  Cincinnati, Ohio  •  3 months ago
    And who will protect us from Obama?
  • H  •  3 months ago
    I do NOT trust Obama or government to protect privacy.
  • Richard  •  3 months ago
    BO and the Democrat party ranted and raved that the homeland security laws were an invasion of privacy, but when they came up for renewal he expanded them.
  • b  •  3 months ago
    I love the so called "libertarians" and conservatives ranting against Obama for this. Of course we should have basic privacy laws, are you honestly going to read through every single contract and agreement for all of these mobile/social apps to ensure that you are protected? I mean do you guys really hate basic regulations that much? Is it really that bad being able to go to the store and knowing the can of food or jug of milk you buy is 99.9999999 percent likely to be safe for consumption? Do you really want to go back a hundred years to when people dropped left and right from poisoned food? Do you really want every company to be able to mine and sell your own personal data?
 
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