Web Privacy Policies Need Transparency, Say Heads Of FTC, FCC

By Rob Sanna - Talk Radio News Service

 The men in charge of both the Federal Trade Commission (FTC) and the Federal Communication Commission (FCC) told members of the Senate Committee on Commerce, Science, and Transportation on Tuesday that customers should be able to “opt-in” to information tracking when shopping on the internet.

Under current information tracking systems, consumers must “opt-out” of privacy policies or disable internet tracking devices called cookies. Unless consumers spefically tell internet service providers they do not want to be tracked, their internet activity is recorded.

“For vulernable populations and sensitive information, we have said that those should be ‘opt-in’ rather than ‘opt-out,’” said FTC Chairman Jon Liebowitz. “In terms of informing consumers and protecting their privacy…’opt-in’ is a much better approach.”

“There’s a huge disconnect between what consumers think happens to their data and what really happens to their data. Most consumers believe that a privacy policy protects their privacy, instead, a privacy policy delinates their rights and their lack thereof,” he added.

Members cited the example of a British gaming company called Gamestation, who included a clause in their terms and conditions which forced customers who agreed to “surrender their eternal soul” to Gamestation.

According to Leibowitz, most consumers did not opt out of this clause, even when provided with a rebate incentive. This, he said, demonstrates that people do not read privacy policies, and that the policies do not protect people adequately.

“In order to get the economic benefits of broadband, tele-health, and education, people need to be confident that the internet is a safe, trustworthy place,” said FCC Chairman Julius Genachowski. “The more people have the concerns that we’re hearing today, the less likely they are to take advantage of this medium.”

FCC Chairman Vows To Expand Broadband

By Benny Martinez
University of New Mexico/Talk Radio News Service

Federal Communications Commission (FCC) Chairman Julius Genachowski told the Senate Commerce Committee Wednesday that a recent federal appeals court ruling on net neutrality will not stop the FCC from moving forward with the National Broadband Plan.

“Notwithstanding the decision last week in the Comcast case, I am confident that the Commission has the authority it needs to implement the broadband plan,” Genachowski said.

The FCC Chairman said that, despite complications in last week's case, the Communications Act would ultimately give the Commission the authority and enable it to reform universal service to connect everyone to broadband communications.

According to a statement released by the Committee, 93 million Americans have no access to broadband, 13 million of whom are children. Genachowski pledged that his agency's plan will help solve these disparities and connect schools and rural health clinics across the country.

“We have an obligation to make sure that we protect and empower consumers as we promote innovation, and as we promote investment,” he said.

Genachowski said that the FCC has shifted focus from planning initiatives to implementing and executing the National Broadband Plan.

“I’m convinced that we can find a way that we can get to a place that works for the country and that promotes the global competitiveness of the United States,” he said.