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July 2, 2009 9:27 AM PDT

Ad industry groups agree to privacy guidelines

by Caroline McCarthy

A coalition of advertising industry trade groups have agreed on new guidelines for privacy related to behavioral targeting on the Web. Officially released on Thursday and expected to go into effect early next year, the set of principles concern what advertisers can do with personal data collected in order to zero in on target audiences.

IAB logo

The groups involved are the American Association of Advertising Agencies (4A's), the Association of National Advertisers (ANA), the Direct Marketing Association (DMA), and the Interactive Advertising Bureau (IAB).

The guidelines take the form of seven principles, ranging from a commitment to better consumer education about behavioral targeting, to a focus on keeping potentially sensitive data secure.

"Consumers deserve transparency regarding the collection and use of their data for behavioral advertising purposes. I am gratified that a group of influential associations--representing a significant component of the Internet community--has responded to so many of the privacy concerns raised by my colleagues and myself," Federal Trade Commission (FTC) commissioner Pamela Jones Harbour said in a release.

"These associations have invested substantial efforts to actually deliver a draft set of privacy principles, which have the potential to dramatically advance the cause of consumer privacy. I commend these organizations for taking this important first step."

Lawmakers have paid close attention to the evolution of online behavioral targeting over the past few years, especially as the vast amount of personal data on social networks makes it possible for advertisers to target more and more specific niches. Some have even suggested that behavioral targeting should be opt-in by default.

Last month, several subcommittees of the U.S. House of Representatives Committee on Energy and Commerce hosted a hearing about behavioral ad standards, and executives from companies like Facebook, Yahoo, and Google testified. At least one of those companies has come out publicly in support of the new guidelines.

"One of the key strengths of the principles is the fact that they apply to a broad range of companies participating in online advertising--advertisers, publishers, and ad networks," a post about the new measures on Google's public policy blog read.

Originally posted at Digital Media
Caroline McCarthy, a CNET News staff writer, is a downtown Manhattanite happily addicted to social-media tools and restaurant blogs. Her pre-CNET resume includes interning at an IT security firm and brewing cappuccinos. E-mail Caroline.
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by Hunnter2k3 July 2, 2009 11:52 AM PDT
I honestly don't see the big fuss over behavioral advertising.
To be perfectly honest, i PREFER it over the usual static method.

I don't care about drinks, i don't care about music that much either, nor do i care about mobiles (phones), and so on.
But i do care about computers, technology in general, gaming, electronics, housing, blah blah.
I'd rather have advertising that is specific to me rather than something i don't like, or outright hate.
It is why i visit this site. If i didn't like it, why would i be here?

I love it when sites let you choose what interests you so the ads will be more interesting, such a good idea.

Obviously the only reason people dislike this is because they don't want their significant others knowing they visit porn, or any illegal sites.
I don't care to be honest, everyone i know know my interests, know which sites i visit and they accept it. Why lie to people?
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by brienza1975 July 2, 2009 2:42 PM PDT
You must be one of those ones that visit porn and illegal sites!
by cp256 July 3, 2009 9:57 AM PDT
As if this will make any difference at all. YAWN. I pay no attention to the ad spam that manages to creep past my ad blockers anyway.
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About The Social

CNET News' Caroline McCarthy is a downtown Manhattanite who believes that, despite popular opinion, the Web can actually help your social life. She's happily addicted to fun social-media tools from Twitter to Yelp to Facebook, sends an inordinate number of text messages, and has a tendency to waste time at the office reading restaurant blogs. Here, she explores all facets of the Web's gregarious side, as well as the unique tech culture in her home city of New York. (Don't call it Silicon Alley.)

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