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Posts Tagged ‘Business/Finance’

PII 2011: Making Privacy Portable

November 15th, 2011

Larry Downes moderating panel with Chris Babel, TRUSTe, Jim Brock, PrivacyChoice, and Chris Kelly, Kelly Investments. Jim: PrivacyChoice’s mission is to make privacy easier: managing online, templates, partners & their APIs. We’re bootstrapped right now. Chris B: TRUSTe: privacy services have evolved into advertising, mobile and cloud spaces. Was non-profit but 2.5 years ago we went for-profit. Chris K: companies with data components of user behavior, concerns with venture model.

Larry: privacy was a cost (or risk) of doing business, now we’re looking at empowering users in a way that generates profits. Anecdotal experience in making privacy profitable, and what we learned? Jim: customers have been coming to us (on business side) with a compliance model, wanting to see uplift in their site with TRUSTe seal. Customers have concerns, their seal helps address that. Chris B: space between customer needs and marketing efforts. “Profile Choice” allows real-time bidding on aggregate-able info, didn’t find the right mix at that time. Chris K: misunderstandings between what companies are trying to do and what customers believe they’re doing. Using data for ad targeting within a company privacy policy. Beacon became Facebook Connect.

Larry: Beacon, and Google Buzz, had unsuccessful launch: unclear purpose (benefits), generating FTC complaints. Is there something about the launch of a product or service that makes it more dangerous or risky than other times? Jim: use of large datasets are prone to claims of changing the rules. If you’re working in areas that weren’t contemplated, that can be confusing, need to think about how to advance sharing practices. Navigating these waters is extraordinarily difficult. Jim: any future change may be viewed as a breach of privacy, unexpected changes (lack of or poor communications, offer choices, does company honor user choices, no accountability). Chris K: FTC, government isn’t in a good position to deal on this level but you don’t want to attract their attention.

Larry: sources of funding? Chris: question is no longer is privacy big enough, now it’s what are the top level matters? Investment community–advertising (every $ spent wants to be more targetted). Jim: process in ad targeting space, global, and how little is online: ad people are demanding more information about who’s receiving their ads.

Larry: about your not taking public investments? Jim: happy accident.

Chris K: Forensics for providing choice or for analytics/response: there are techniques, can take better control over this as web providers to help users. Data flow as arms business: companies that need to control what’s happening on their site or people who want to offer services to consumers. Chris B: targeted ads now more transparent. Balance against malware, cookies and their sources that feels more like security.

Larry: FTC’s interest in these issues, pending legislation in Congress–how does possibility of regulations affect climate for investment? Chris K: uncertainty is a cloud, straightforward means of regulation can move industry forward. But interim finger-pointing, lobbying gaming, are problems. Likes EU model, but we’re moving away from that. Chris B: gov is crowdsourcing communities, online advertising and ad space initiatives are trying to be more self-regulating. Still uncertain, industry groups and co-regulation being brought up and talked about. Chris K: Congress is a giant consumer of these targeting services. Behavioral targeting seems to be settling. Larry: what if a new regulation passes that takes a business model out or forces… Chris K: legislation takes time to effect.

Questions. Did people that saw the TRUSTe seal click on the seal or just go with it? Chris: clicks were low, most people recognize seal as an envelope.  What are people choosing? (site can collect, store, use for ad targeting, give to 3rd parties) Chris K: policy should say. We can’t make sure people read the policy. Do I have a right not to have data collected? Ends up as different perspectives from people vs industry, investment (collect data).

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PII 2011: Mapping the PII Market: Players, Regulators, Stakeholders

November 15th, 2011

Session with Terence Craig and Mary Ludloff, PatternBuilders. Terence: their book is Privacy and Big Data (O’Reilly).

Things have changed in privacy and personal information. PII-driven business models (later). Data collectors are the engine: giants like Google, Facebook, Twitter, also organizations and agencies like Florida DMV (sold data to LexisNexus), also mom & pop operations. What makes information valuable? Your health and wealth, the networking you do, the Internet of things (you). What role to the aggregators play: markets for buying and selling data. Uses are infinite: research, monitoring, predictive modeling, advertising…

PII-driven business models:

  • Platform plays (SAS, Hadoop, Revolution, Microsoft’s SharingInsight, CouchDB, etc.) – where everything is phoning home all the time.
  • Social plays: LinkedIn, Facebook, Google Plus and Foursquare, but mobile is not this change. Also KISSmetrics, Klout, Zinga, hootsuite, radian6.
  • Goverment plays: TSA and NSA, FBI, IRS, can buy from Facebook, Palantir (DOD).
  • Privacy plays: SafetyWeb, reputation.com, TRUSTe, Singly, also Intellilight (in Detroit, attached to street lights where if there are a couple of people are there it turns audio mike and calls police), Spokeo, Datong
  • Everyone plays: not just about advertising, many industries and business models benefit.

Implications for all PII players: privacy expectations, regulatory adherence (global), transparency (toward customers), crisis management. Privacy concerns are growing with consumers. Government is signalling that concern with new legislation. Companies must invest in this area, including training and certification.

Regulations: it’s confusing and will get more so. US: >30 federal states, >100 state regs for data security privacy. EU, pending legislation adds more. Bottom line; you’re going to need help here. Be transparent, be explicit about what you can’t provide. Use opt-in data options only.

Crisis management: when things to wrong, know how you are going to deal with them. Get a team and process in place. It’s about staying with the story if you can (used to be getting ahead of the story, now stay with). How to avoid a train wreck: be transparent, think global, be ready for breaches, behave as if you were worth your customers’ trust.

Question: opt-in: don’t short the short-term: be transparent. Opt in is a good way for customers to choose, is sticky.

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IIW XIII: Standard Information Sharing Agreement

October 20th, 2011

Information Sharing Work Group, a group of Kantara Initiative, is working to develop a standard information sharing agreement. Slides are in progress, will be linked to when available.

Joe offered a quick intro to Information Sharing Agreements. The point of Information Sharing Agreements is to improve services for both individuals and organizations through the right data and the right time. Services need data to operate.  Personal data is the most relevant, timely and quality data. This is what individuals bring to the table.

  • Criteria. Preferences. Requirements. Queries and Intention
  • Relationships and memberships
  • Age, Address and billing information
  • History: transactions and interactions.

Together, all of this comprises the digital context that people bring to their online experience.

If organizations can access this context, they can provide a bunch of interesting services and improve existing services. Read more…

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Open Data Partnership

March 12th, 2011

When the government threatened to regulate an industry that has for some time been playing fast and loose with people’s personal data, the industry proposed to open their databases–at least a little. The Open Data Partnership is claimed to be a “market-wide collaboration that allows consumers to gain more control over the information that companies have collected about their interests in one easy-to-use portal.”

SmartPlanet quoted Mike Zaneis, Senior Vice President and General Counsel for the Interactive Advertising Bureau (IAB), who explained:

Better Advertising’s Open Data Partnership is exactly the kind of initiative that will enable us to remain self-regulated as an industry. The more transparency we can provide consumers that enables them to retain control over their own data, the more trusted our ecosystem becomes – to the benefit of everyone.

Interestingly, many of the big data tracking companies have already signed on. (Hubspot, which just received an infusion of $32M from Google and Salesforce, are all missing from the list.)

With predictions for a sharp increase in analytics and data mining in 2011, the window offered by the Open Data Partnership is an interesting third option to “Do Not Track” or laissez-faire. It gives people better understanding and control over what they’re sharing and why. That said, it’s still about advertising (in which people are the product, not the customers).

Coaching moment: This is an interesting situation. If you could know more about yourself by looking at the data being collected, would you? Once you saw this information, would you be inclined to help correct it? If not, why?

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11 Identity Trends

January 31st, 2011

Salvatore D’Agostino at DigitalIDNews posted an article earlier in January, 11 identity trends to watch in 2011, in which he pointed out that despite the proposed National Strategy for Trusted Identities in Cyberspace and the Federal Identity, Credentialing and Access Management Guidance (Draft, PDF), ”national ID programs, social networking, mobile and e-commerce are all moving out on their own.” The author’s list (with my emphasis) includes:

1. Mobile identity always has been and will continue to be the biggest game in town. Each year nearly 5 billion smart card technology subscriber identity modules are sold. And as smart phones grow in sophistication and as a result occupy an increasing percentage of user screen time they will become the most important area in the identity marketplace.

2. None of the Facebook, Google, OpenID, triad will actually manage to issue trusted identities in 2011 and consumers will continue to fail to realize they are the product and not the customer for these and many other identity providers.

7. The User Managed Access work of the Kantara Initiative will gain support as it addresses the overarching requirement of the need for user control of personal information in the era of shared infrastructure.

9. Consumers will demand the adoption and benefits of commercial off-the-shelf application software to provide privacy and identity protection of data at rest and in motion via encryption and secure channels in their day to day communications with banks, health care organizations, and other organizations even in those states where it is not mandated.

11. Identity theft and fraud will continue to grow and be subsidized by consumers via premiums, user fees and interest rates without the mandate for strong interoperable identities. And while the National Strategy for Trusted Identities will talk the talk it remains to be seen if it can walk the walk.

Coaching moment: As passive customers of digital services, we are prone to greater influence and manipulation by the system, for the benefits of the system and not for ourselves. If we wish to empower ourselves–and the commercial marketplace generally–with better and more trustworthy practices, we will need to be active and even vocal supporters of the alternatives that lead us in that preferred direction. This isn’t as scary as it might seem. It just means making certain choices more mindfully, more aware of the cost of “free.”

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