Privacy groups want more from FTC

Privacy advocates are glad that the Federal Trade Commission outlined some potential problems with companies that collect and sell people’s data, but say it’s only a first step.

After the FTC released its call for new legislation on “data brokers”, Center for Digital Democracy executive director Jeffrey Chester called the effort “insufficient.” “The real problem is that data brokers -- including Google and Facebook -- have embraced a business model designed to collect and use everything about us and our friends -- 24/7,” he said. “Legislation is required to help stem the tide of business practices purposeful designed to make a mockery out of the idea of privacy for Americans.”

American Civil Liberties Union legislative counsel Christopher Calabrese said that the FTC itself needed to be doing more with its current powers “to root out bad practices now.” That could include action under the Fair Credit Reporting Act, he said, which bans various forms of discrimination that the FTC alleged are made possible through data merchants’ repackaging of consumers' information.

“Strongly enforcing those laws is a first step toward curbing the harms that come from the buying and selling of detailed personal profiles of every nearly every American,” Calabrese said.