Verizon Letter on Privacy Stirs Debate

VERIZON LETTER ON PRIVACY STIRS DEBATE
[SOURCE: New York Times, AUTHOR: Laura Holson]
Verizon Wireless, one of the nation’s largest cellphone carriers, has stirred up controversy with a letter it sent to customers recently telling them that it would begin sharing information from their calling records with its “affiliates, agents and parent companies.” Verizon is seeking to share that information only among Verizon divisions, so it can better sell new products to existing customers. In the mailing, Verizon gave customers 30 days to “opt out” if they did not want their information shared. But analysts and consumer advocates suggest the company may also be interested in gathering information as it prepares to tailor the advertising it displays on cellphone screens, based on individual customer habits and attributes. Mobile advertising is an untapped source of revenue among mobile phone companies looking to expand their businesses. The concern about the mailing, which spread quickly online and resulted in the company clarifying its position late yesterday, points to the privacy challenges facing communications companies as they seek to deliver information and advertising directly to cellphone users.
http://www.nytimes.com/2007/10/16/business/16phone.html?ref=todayspaper
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