September 2016

Advocates push back on exemption in federal privacy rules

39 consumer advocate groups, including the American Civil Liberties Union, the Electronic Frontier Foundation, and Free Press, said that placing an exemption in looming federal privacy rules for broadband providers that covers data divorced from an individual customer would be ill-advised and illegal. The Federal Communications Commission is in the process of crafting rules that, under a proposal from FCC Chairman Tom Wheeler, would make it harder for Internet providers to use their customers' data for most purposes. Privacy and consumer groups said in a Sept 7 letter to Chairman Wheeler that the commission shouldn’t make an exception for data that has been stripped of information that could identify the customer to whom it belongs.

“We urge the Commission to resist some parties’ request for the creation of a special carve-out for ‘de-identified’ customer information,” the groups said. “There is no room in the statute to accommodate that request.” “Even if there were, it would be harmful to consumers to allow ISPs to make an end-run around privacy rules simply by removing certain identifiers from data, while leaving vast swaths of customer details largely intact,” they added. The groups argued that it would be easy to re-connect the data with a user. “It is often trivial to re-identify data that has supposedly been de-identified," they said in the latest salvo in the battle over the rules.

AT&T, owner of DirecTV, exempts DirecTV from mobile data caps

AT&T is now exempting DirecTV streaming video from data caps on AT&T's mobile Internet service. AT&T purchased DirecTV in July 2015 and on Sept 7 pushed an update to the DirecTV iPhone app to implement the data cap exemption. "Now you can stream DirecTV on your devices, anywhere—without using your data. Now with AT&T," the app's update notes say under the heading "Data Free TV." This feature requires subscriptions to DirecTV and AT&T wireless data services. It sounds like the data cap exemption may not apply to all data downloaded by the app, as the update notes further say that "Exclusions apply & may incur data usage." The service is also "Subject to network management, including speed reduction." The iPhone update also lets customers download shows from their home DVR to mobile devices. The DirecTV apps for Android and iPad have not yet received the update.

Data cap exemptions—also known as zero-rating—are controversial and are being reviewed by the Federal Communications Commission. The FCC's network neutrality rules prevent Internet service providers and mobile carriers from speeding up online services in exchange for payment, but they don't include a specific ban on zero-rating. Instead, the net neutrality regime has the FCC review zero-rating on a case-by-case basis to determine whether specific implementations harm customers or competitors.