NebuAd, ISPs, sued over behavioral ad technology, tests

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Redwood City, Calif.—Online tech company NebuAd, which developed and had marketed behaviorally targeted advertising technology before dropping its plans last summer in the face of a Congressional inquiry, has been sued along with several Internet service providers for alleged privacy abuses.

The class-action suit, filed by 15 Web users, also names Washington Post-owned Cable ONE, which along with several other companies had tested the NebuAd technology earlier this year.

The suit alleges violations of the Electronic Communications Privacy Act, Computer Fraud and Abuse Act, and California’s Invasion of Privacy Act, among other laws, for tracking users' online behavior without their knowledge or permission.

Last summer NebuAd halted its plans to launch its so-called deep-packet technology following Congressional concerns over consumer privacy. Several customers severed their partnerships with NebuAd, and NebuAd's founder and chief executive, Bob Dykes, resigned. —Christopher Hosford

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