ICO: Phorm is OK if it is opt-in and anonymous
Phorm must be opt in
10 Apr 2008, Tom Young, Computing
Controversial web advertising system Phorm must be opt-in and maintain customer anonymity says official guidance issued today from privacy watchdog The Information Commisssioner's Office (ICO).
BT, Carphone Warehouse, and Virgin Media are currently evaluating Phorm. The system profiles the addresses and contents of sites visited by web users and then uses that information to match a user against broad advertising categories.
The ICO says that if Phorm's system adheres in practice to the claims of the company, then it will not breach the Data Protection Act.
"Phorm has asserted that it does not have nor would it ever want or need access to any information held by the ISP which would enable it to link their user ID and profile to a living individual," says the guidance.
"If this is true the company is not processing personal data of the ISP’s customers in providing its product and the DPA will not apply."
But even if Phorm is not processing personal data, any ISP using the system could potentially trace individuals because it knows the identity of the anonymous IP addresses being profiled by Phorm.
Because of this, users must choose to be involved in the system, which currently seems to be the case, says the ICO.
"At this point it appears that users will be presented with an unavoidable statement about the product and asked to exercise a choice about whether or not to be involved on that basis," it says.
The ICO says it will keep use of Phorm under review.
Any breach of the Regulation of Investigatory Powers Act 2000 (RIPA) – a law on the interception of communications – is a matter for the Home Office, which is currently investigating the issues.
Reader comments
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Examining our ISP Contracts
Has anybody read their ISP contract to see if they have already unwittingly signed up to allow their internet traffic to be monitored ?
To be honest I think it is a liberty.
I already avoid adverts on television by just watching less of it. Am I going to have to do the same with my internet usage ? Hmm. Perhaps not.
I would like to suggest a little script blocker that lets you stop adverts appearing at all whilst you are browsing using Firefox : NoScript @ http://www.noscript.net
Tor is also a handy little program that hides who you are and where you are if you wish to remain anonymous, and wish to thwart their efforts to use such underhand methods.
Fight back now !
If I want to shop for a product I will go out and look for it. I don't want my bandwidth taken up with unecessary rubbish thank you.
Posted by: Elizabeth Jones 10 May 2008
Phorm is spyware
It is not mentioned in your article that Phorm plans to locate servers inside your ISP. All HTTP traffic flows through this server, regardless of whether you are opted in or not.
Phorm claim they will ignore your details if you are not opted-in.
The ISP has no control or knowledge of the software on this server.
The end result is identical to you having a piece of spyware on your PC - except that you can't remove it.
Posted by: Jeremy Boden 18 Apr 2008