UK Officials Accused Of Colluding With Phorm

from the that-would-not-be-good dept

While the US quickly condemned clickstream tracking as a likely violation of privacy, many were quite surprised when UK officials went in the other direction, suggesting that Phorm's tracking was legal. The European Commission was so annoyed by this that it's taking legal action against the UK for privacy violations. But, still, many people are wondering why the UK government said something like Phorm was legal... and now accusations are coming out that it's because UK government officials let Phorm take part in writing the policy. There are a bunch of incriminating emails between the Home Office and Phorm, including one where officials ask Phorm execs if they would be "comforted" by the position the gov't was about to take. In another, the officials ask Phorm to review the document and give feedback, prior to the gov't releasing the actual policy. Talk about regulatory capture... The government, for its part, claims that people are misreading the emails, but it's difficult to see how the emails can be misread when they blatantly ask Phorm to review the document, and inquire whether the company and its partners will be comforted by the ruling.

Update: On top of this, it appears that Phorm is now lashing out at critics, claiming that they're "smear merchants" and "privacy pirates." That sounds convincing...
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Filed Under: behavioral advertising, collusion, privcy
Companies: phorm


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  1. identicon
    SteveD, 29 Apr 2009 @ 3:41am

    At a guess I'd say the Government green-lighted this issue after pressure from BT.

    There has been a great deal of discussion in recent years over who is going to pay for the upgrading of the UK's broadband network to support higher speeds (8Meg is the maximum in most places, well short of other European countries).

    BT own a great deal of the infrastructure but (unsurprisingly) don't want to pay the massive bill to upgrade it. There was some suggestion that the Government should pay a chunk and that didn't go down too well with everyone else.

    So I'd guess that BT pushed Phorm on the British Government as a way-out of the whole mess; with the extra revenue they could afford to start upgrading the network. So the Government gave it a green light.

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