FCC approves new privacy rules, but consumers remain at risk

The FCC approved privacy rules that protect customers by giving customers greater control over their personal information and limiting what Internet service providers can do with that data. The rules require service providers to gain “opt-in” consent – a positive agreement – from customers to collect and share sensitive data, meaning those providers will have a harder time selling consumer information for advertising dollars. While the consumer privacy protections are a positive step, consumer data remains unprotected elsewhere in the Internet ecosystem.

Internet companies like Google and Facebook collect massive amounts of data on their users and then sell that data to advertisers. Facebook alone collects at least 98 data points for each of its estimated 1.7 billion users. And as companies like Google expand from search and social media to wireless phones and pay-TV, they create more detailed profiles of their users – which means more money from advertisers.

The FCC’s new privacy rules don’t apply to these companies and, as of right now, no regulatory body is protecting customer privacy from the Internet giants. Rep. Frank Pallone (D-NJ) has proposed a solution, calling for legislation that would empower the Federal Trade Commission (FTC) to protect consumer privacy from the “unscrupulous practices” of Internet companies.

Customer data should be protected across the digital ecosystem – whether from the Internet service providers or the data collectors. The FCC rules are a good first step, but we must press forward.

Links:

FCC Adopts Privacy Rules to Give Broadband Consumers Increased Choice, Transparency and Security for Their Personal Data (FCC, Oct. 27, 2016)

The FCC just passed sweeping new rules to protect your online privacy (The Washington Post, Oct. 27, 2016)

Broadband Providers Will Need Permission to Collect Private Data (New York Times, Oct. 27, 2016)

Here’s how Facebook makes money off you (Speed Matters, Aug. 26, 2016)

Rep. Pallone calls for legislation that empowers the FTC to protect consumer privacy (Speed Matters, Oct. 6, 2016)