Websites defend consumer-tracking tools

Responses from major Web companies regarding their consumer-tracking technologies raise a number of concerns about consumer privacy, according to House Privacy Caucus co-chairman Edward Markey (D-Mass.).

Markey and Privacy Caucus co-chairman Joe Barton (R-Texas) wrote to 15 companies in August in response to a series of reports on the increased use of online tracking technologies that collect and store personal information about consumers without their consent. The letters ask firms cited in the reports to explain how they collect information from consumers, what data they collect and how they use it.

On Friday, the lawmakers released responses from 11 of the firms, which defended their privacy practices and argued they are doing their best to give users a way to protect their privacy. But at least one of the firms admitted they are not able to detail all of the tracking tools used by their sites.

"It is technically impossible for Yahoo! to be aware of all software or files that may be installed on a user's computer when they visit our site," wrote Yahoo vice president of global policy and head of privacy Anne Toth, in response to a question from the lawmakers.

That answer drew criticism from Markey, who said his main interest is protecting children's privacy online and ensuring they are not targeted by predators or criminals.

"The responses raise a number of concerns, including whether consumers are able to effectively shield their personal Internet habits and private information from the prying eyes of online data gatherers,” Markey said. “Consumers may be unaware that the sites they visit, coordinating with a cadre of analytics firms, advertising networks and offline data companies, may be tracking their activities around the Internet."

Several of the firms detailed corporate privacy policies and opt-out procedures in their responses, but Markey said such policies are often complicated and difficult to navigate.

"For example, a single website may have business relationships with a dozen or more third-party data firms that display advertisements on its site. A consumer may have to visit each of these sites, consulting its privacy policy and clicking through to opt-out, if such an option is provided," Markey added. "In some cases, a list of all third-party affiliates is not readily accessible, keeping consumers in the dark."

AT&T chief privacy officer Robert Quinn said his firm consolidated 17 separate written privacy policies into a single, easy-to-understand privacy policy last summer. He denied that AT&T sells information it collects, as did officials from Microsoft and Yahoo. Comcast said it shares information on user locations with third-party ad delivery firms, but declined to specify how much they earned from the sales of such data.

Markey said the responses would help inform lawmakers when they consider comprehensive privacy legislation, which they are expected to take up early next year. In addition to safeguarding children, he said, he's especially concerned about strong health privacy protections online.