Launching into a tirade against the ad industry's rhetoric on
DNT regarding its potentially negative impact on ad targeting,
digital publishers, and the Internet ecosystem, Mr. Rockefeller was
adamant that he wanted "to get to the bottom of this controversy,"
referencing the stalled efforts of the World Wide Web Consortium's work towards
developing a DNT standard.
He also stressed the Digital Advertising Alliance's Ad Choices
program does not satisfy the mission put forth by the Federal Trade
Commission's call for a DNT standard.
Mr. Rockefeller, a Democrat, re-submitted his Do-Not-Track
Online Act (originally proposed in 2011) in February. The bill
calls on the Federal Trade Commission to oversee development of a
DNT mechanism, and was co-sponsored by Connecticut Democratic
Senator Richard Blumenthal.
When Mozilla unveiled plans in February to include a default
setting that disables third-party cookies in the lateset version of
its Firefox browser, the Interactive Advertising Bureau - a key
member of the DAA -- promised to fight it. During the
hearing, deemed "A Status Update on the Development of Voluntary
Do-Not-Track Standards," Harvey Anderson, Mozilla SVP of business
and legal affairs and general counsel told Senators industry has
not moved forward quickly enough.
"The efficacy of the Ad Choices program remains questionable,"
he said.
Chasms between what industry says its Ad Choices privacy program
does, and what privacy advocates and other observers say it does
were exposed by comments from DAA Managing Director Luigi Mastria
and those of Justin Brookman, director of the project on consumer
privacy at the Center for Democracy and Technology.
In particular, the DAA claims its system always stops data
collection when a user opts-out; however according to multiple
sources, in some cases opting-out through the program only blocks
behavioral ad targeting rather than actually stopping behavioral
data collection, as reaffirmed by Mr. Brookman during the
hearing.
Mr. Rockefeller acknowledged this, noting, "Companies continue
to collect vast amounts of consumer information and only promise
not to use this information for specific purposes such as
[advertising.]"
He also referred to the World Wide Web Consortium (W3C), whose
Tracking Protection Group has been slogging through discussions on
developing a standard for browser-based DNT for at least two
years.
"The WC3, W3C, whatever it is...has not authority whatsoever,"
said Mr. Rockefeller. Despite the fact that the organization does
not have enforcement or regulatory authority over U.S. companies,
both the White House and more recently the FTC have said the W3C is
an appropriate forum for self-regulatory development of DNT.
In a speech earlier this month that
liberally alluded to Shakespeare, newly-minted FTC Chairman Edith
Ramirez suggested, "consumers still await an effective and
functioning Do Not Track system, which is now long overdue." She
implied the W3C remains a good forum for that initiative. "I
therefore urge all players in the online advertising ecosystem to
dive into the W3C process with good faith and a resolution to
hammer out their differences to develop a transparent Internet
advertising system that meets the needs of consumers and
advertisers alike."
In its Privacy Bill of Rights, the U.S. Commerce Department also
called for a DNT standard to be developed through the W3C.
The W3C's own Peter Swire, co-chair of the DNT development
group, suggested detante could come to the increasingly contentious
DNT cold war between privacy advocates and the digital ad industry.
In a Wired opinion piece published today,
Mr. Swire, professor of law at the Moritz College of Law of the
Ohio State University, wrote, "A negotiated Do Not Track standard
offers the best way to avoid the arms race: It would allow
individual users to indicate whether they wish to have personalized
ads based on their surfing habits.
It would allow websites and advertising networks to continue
their existing cookie-based models with the consumers who don't opt
out. And it would help avoid the sizzling controversy and
escalation around cookie blocking and technical counter-measures.
Most importantly, it avoids the alternative: that the federal
government imposes its own solution."