Need, Light Touch Must Be Shown for Any Data Privacy Bill, Says Bono Mack
SAN FRANCISCO -- Rep. Mary Bono Mack, R-Calif., said she will take charge of any data-privacy bill that gains steam in the House. “I will lead that effort,” as chair of the Commerce, Manufacturing and Trade Subcommittee of the Commerce Committee, she said Monday in a brief video message to the Adweb 3.0 conference. But it will happen only if research shows that legislation is needed and if it takes an up-to-date regulatory approach, Bono Mack said. She expressed concern that any government action not hold back U.S. economic growth or the competitiveness of American companies around the world, and she called regulatory certainty important in achieving those goals.
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Bono Mack did tell business to do more to explain to Internet users the economics of providing content at no cash expense to them and to recognize that sensitivities vary by types of information collected, notably with data that can affect credit, employment and healthcare. Consumers should be allowed to express the expectations they have in visiting websites and using search engines, and those younger than 13 need special protections because they're “unable to protect themselves,” she said.
"The Republican Congress probably wants something that is fairly friendly to industry, but they also want to show that they're taking decisive action,” TRUSTe President Fran Maier said at the conference. Her company is especially interested in getting safe harbors into any legislation, so participation in industry programs will take care of compliance, she said. Media coverage and Facebook activity have made data privacy a widespread concern “all of a sudden,” Maier said. The role of Facebook is independent of whatever the company’s privacy policies are, she said.
The chances that this Congress will pass data-privacy legislation are just higher than 50 percent, Maier told us after she spoke. But the issue would “blow up” if a measure is broadened to offline information, because of fierce opposition from retailers, she said. The prospect of successful Do Not Track legislation is only 15 to 20 percent, Maier said. Business wouldn’t accept Do Not Track as a default imposed by the government, she said.
The Digital Advertising Alliance offers the “biggest opportunity” for success in self-regulation, Maier said at the conference. The broad alliance seeks widespread adoption of an icon in online advertising for users to click for information about data collection and sharing and for opt-outs from targeted ads. “Don’t fear the opt-out,” Maier said. Testing indicates that less than 1 percent of consumers take advantage of the choice to opt out, though those who do opt out across the board, not selectively, she said.