February 2011

PubMatic: Consumers Confused About Online Tracking

PubMatic will release a study Monday that finds Internet users are more accepting of anonymous data collection when they understand how advertisers use it.

The paper, Audience Selling for Publishers, reveals that most consumers don't understand that interest-based advertising is anonymous. When survey participants -- about 500 people -- were asked if they knew some of their online behavior might be tracked for advertising purposes, 71% acknowledged that they knew. But when asked if they knew the online data collected about them for the purpose of advertising was anonymous, only 40% understood knew. Eric Klotz, PubMatic vice president of marketing, hopes the study serves as a wake-up call to the industry. "Everyone knows the user's privacy is paramount and that we provide a service to them," he says. "Understanding the how and the why changes everything."

Google's Latest Privacy Flub: Asking Kids For Partial SS Numbers

For at least the fourth time since last January, Google is facing questions regarding its views on privacy.

This latest incident stems from the company's Doodle-4-Google contest for students, which allows students to win prizes including a $15,000 scholarship. This year, the company initially asked the entrants, who ranged from kindergarten students to seniors in high school, for the last four digits of their social security numbers. Google said it did so because it wanted to keep better track of entries, since not all of the students attended schools that had registered for the contest. When the move came to light, people immediately questioned why Google would collect that type of sensitive information -- and from children, no less. Among others, Reps Ed Markey (D-MA) and Joe Barton (R-TX), co-chairmen of the House Bi-Partisan Privacy Caucus, said they were "deeply disturbed" by the news.

Cablers Ready For Interactive Advertising

The country's two leading cable operators are deploying the EBIF technology that propels interactive advertising at a rapid clip.

Comcast has 14 million-plus homes where set-top boxes have the technology installed, while Time Warner Cable had EBIF teed up in approximately 5 million set-top boxes at the end of 2010. The deployments are significant as both operators look to sell interactive advertising themselves in the local markets they serve, while Canoe Ventures uses both companies' infrastructures for its operations. Comcast said all of its 14 million homes are available for Canoe to use, while TWC did not immediately provide information. Canoe continues to stitch together a footprint across as much of the country as it can to allow cable networks to stream interactive advertising into homes served by multiple cable operators. A Canoe representative said ads can currently run in 18 million homes, indicating that Comcast and TWC provide the vast majority of the reach. Comcast and TWC are among the six operators that jointly own Canoe. And Canoe is counting on all six to offer EBIF-enabled boxes to serve ads on its platform.

85% of Marketers Going Mobile

More and more brands are directing resources to mobile advertising, according to a new survey from DM2 Media and Jumptap. According to the study, nearly 85% of marketers are doing some form of mobile marketing or advertising, and many (60%) that have near-term mobile marketing plans are paying for the programs out of their online budget.

Twenty percent said mobile will be a separate line item. According to the survey of nearly 350 mobile marketing executives, targeting is the most important attribute when selecting a partner. Nearly three-quarters said targeting was their top priority. The survey aggregates responses from nearly 350 mobile advertising executives including brands. Advertisers were almost evenly split between using the format for direct-response campaigns and branding, and nearly two-thirds (62%) participate in a mobile ad network or exchange.

Former colleagues laud new White House deputy CTO for innovation

People who have worked with Chris Vein, the new deputy chief technology officer for government innovation, say he is an innovator well-suited for the position. Most recently Vein was chief information officer and executive director of the technology department for the City and County of San Francisco, the 12th largest city in the country. He was the brains behind DataSF, a clearinghouse for sharing city data with the public, which is similar to Data.gov at the federal level. Colleagues believe he will help the White House implement its lofty open government goals. The day after taking the oath of office, President Obama called for agencies to institutionalize public participation in policymaking and collaboration with outside organizations.

Bloggers Lead with Deficit, Egypt

Though it doesn't often happen, the social and mainstream media were in sync last week as bloggers focused on two primary topics- the U.S. budget and Mideast unrest.

For the week of February 14-18, 22% of the news links on blogs were about President Obama's $3.73 trillion budget proposal, according to the New Media Index from the Pew Research Center's Project for Excellence in Journalism. That subject, along with the state budget strife in Wisconsin, topped the mainstream agenda as well last week. The president's budget proposal included a projected $1.6 trillion deficit, which was a concern for bloggers on both sides of the political aisle. However, conservatives and liberals linked to dueling columns from the Washington Post to support their differing views of the economic debate. Conservatives highlighted a Post editorial criticizing Obama for refusing to include tough choices about entitlement reform in his proposal. Liberals focused on a piece by Dana Milbank in which he accused House Speaker John Boehner of hypocrisy for saying that jobs are his party's first priority, but appearing indifferent to layoffs that could occur if the GOP's budget cuts were passed. The second story on blogs, at 21%, was the situation in Egypt following the protests and the February 11 resignation of President Hosni Mubarak. Two weeks earlier, the upheaval in Egypt had dominated the blogosphere, accounting for 57% of that week's links.

NCTA Seeks To Protect Us From Terrorists Too Lazy To Search Cable Public Files

[Commentary] Public Knowledge joined the Public Interest Spectrum Coalition to, among other things, oppose this Petition for Reconsideration filed by the National Cable & Telecommunications Association (NCTA) in the white spaces docket. It numbers among the silliest things I have read in nearly 15 years of practice — which takes much.

NCTA believes that if its members must put the geographic coordinates of their cable headends into the publicly accessible database, we will create a veritable shopping list for terrorists eager to strike at our vital Internet hubs and greatest source of OnDemand soft-core porn (God bless the First Amendment and US v. Playboy Enterprises, Inc.). Normally when I see the cable industry post something this outrageously silly, I ask myself “what are they hiding?” But I honestly could not think of any other reason why they would want the location of their cable headends secret. It doesn't impact interconnection or tell us anything broadband-related because what matters is the location of broadcast receiver antennas and, besides, cable operators don't have any interconnection obligations. It doesn't impact franchise fees, or provide any information about whether or not operators are meeting their build out obligations. Reluctantly, I concluded that the cable guys seriously believe that if we publish the locations of cable headends, swarms of “terrorists and saboteurs” are going to attack us on a neighborhood by neighborhood basis to destroy our access to broadband.

Hey Pepco: There's an app for that

[Commentary] The recent snowstorm raises the following question: What century does Pepco think its customers are living in?

During the storm, Montgomery County citizens were rightly outraged. While we understand that there are financial trade-offs involved in preparing for storms that may or may not occur, the number and length of power outages were inexcusable. Worse, Pepco's emergency response system is both more expensive and less efficient than it should be, because it is based not on the technology of today, not on the technology of the last decade, but on the technology developed in the 19th century: voice communications. And attempting to report an emergency electronically was impossible. Customers with smart phones or working computers found an emergency page with an emergency phone number along with a message that says, "We regret that we cannot respond to outages reported by e-mail." E-mail? Pepco hasn't even caught up to the communications of the 1990s. It obviously needs to include an e-mail component in its emergency response system. But an even more effective way to report an emergency would be through a cell phone application. By using a broadband connection (such a smart phone) linking to the Pepco home page and filling out a simple form with the address, customers could access a dropdown screen to click on the nature of the problem and a phone number for a contact person. Such applications — a staple in many industries for reporting a problem — are routinely built in days, not months. Companies find that they save money through this type of reporting, because the information can be collected, analyzed and utilized far more rapidly. Decision-making becomes more efficient, more effective and more precise. The system can handle an unlimited number of reports (because it is not necessary to hire emergency operators to take the reports), and resources can be spent on responding to, instead of just collecting, information.

Quinn not ready to sign Internet sales tax bill

Gov Pat Quinn (D-IL) says he remains undecided about signing an Internet sales tax bill sitting on his desk: It could force thousands of website marketers to flee the state, but he expressed strong concern that brick-and-mortar retailers are hurt by the current tax system.

“It’s important that we realize we have to have a fair tax structure,” he said, speaking for the first time on the issue outside the White House after a meeting on job creation with other Democratic governors and President Barack Obama. “We can't have some companies that remit sales taxes and others that don't.” The so-called “Amazon Tax” bill, which passed in the Illinois General Assembly's last veto session, has created a firestorm in Chicago’s technology community. It would require out-of-state firms such as Amazon.com Inc. of Seattle to pay Illinois sales tax on transactions that originate on websites based in Illinois. Already, Amazon and Overstock.com Inc. of Salt Lake City have notified Illinois affiliates that they will stop doing business with them if the bill becomes law.

White House wants 'disruptive' shift in IT strategy, Kundra says

The White House is pushing for dramatic change in federal information technology strategy away from infrastructure ownership and toward provisioning of services, which will require new approaches and collaborations, Federal CIO Vivek Kundra said.

“There is a huge shift in federal IT,” Kundra said at the AFCEA Bethesda panel event. “We want to make sure the shift is disruptive.” The trend encompasses not only moving e-mail systems to the cloud and consolidating data centers but also eventually will affect large enterprise systems and information security by 2012, Kundra said.