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Published: October 2009

FCC: Require mobile marketers to disclose consumer data collected

Coalition: Privacy

In a letter to the Federal Communications Commission, Consumer Action asked the agency to consider requiring mobile marketers to disclose to consumers all of the data they collect about them.

Below is an excerpt from the letter:

The FCC has a vital role to play in protecting privacy in the wireless industry. Any wireless policy must address privacy in order to protect consumers.  Not only should consumer data be secured (and data collection minimized), but the FCC must analyze how wireless data is used to structure the commercial and other transactions that have become a part of the mobile device marketplace. 

The mobile industry has already developed extensive plans and techniques to help determine what it calls the “user journey” through the “mobile Internet.” Many mobile marketers are eager to exploit what they correctly perceive as a unique opportunity to target consumers by taking advantage of our highly personal relationships with these extremely pervasive devices to provoke an immediate consumer response.

Studies show that consumers are concerned about their privacy, eschewing intrusive data collection and sharing when they learn of such practices. However, most consumers do not know about these types of data collection and sharing, nor do they understand the privacy and security risks that are part of the wireless industry. And young consumers especially have difficulty understanding these risks, as children and adolescents are at a developmental disadvantage to give meaningful and informed consent to collection of their personal data. We urge the FCC to take the steps detailed below to protect consumer privacy rights from exploitation.

The situation is such that Congress and agencies such as the FCC need to step in and protect consumers by regulating targeted behavioral advertising. In fact, the FCC should consider all avenues it may use to protect consumers.

Conclusion

In its Notice of Inquiry, the FCC said it is seeking to ensure consumers receive accurate data about terms of service. We believe this means the FCC should ensure consumers are fully aware of the surreptitious data collection that is being conducted by mobile service providers and mobile advertisers, why it is being collected, and how they can opt-out of this data collection and retention. The FCC also should seek to protect youth from harmful and unfair marketing practices, especially as children and adolescents are prime targets for behavioral advertising, even though they lack the capacity to make informed decisions regarding data collection. The potential dangers to consumers’ privacy rights are enormous, yet few consumers understand the intrusive and all too common data collection and sharing that occurs with mobile devices.

We urge the FCC to: (1) Work with Congress and other federal agencies to regulate targeted behavioral advertising; (2) Investigate the data collection and profiling of both children and adolescents, with a particular focus on the role mobile service providers and mobile advertisers play in the collection and use of data from youth for interactive marketing purposes; (3) Establish binding regulations concerning consumer privacy in mobile services, so that consumers can be informed of their privacy rights and the privacy risks involved in using the services of each mobile service provider; and (4) Consider all avenues it may use to protect consumers.

Lead Organization

Center for Digital Democracy

Other Organizations

Center for Digital Democracy | Consumer Federation of America | Consumer Watchdog | Privacy Rights Clearinghouse | US PIRG

More Information

Center for Digital Democracy

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