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[ NNSquad ] Mandated Opt-In Requirements Run Amok?


Mandated Opt-In Requirements Run Amok?
http://j.mp/k6MePu  (This message in Google Buzz)

 - - -

Computerworld recently ran an article titled:

"Google Buzz settlement called a 'killer' for e-commerce"
( http://j.mp/jw6QQG )

The article's thrust is concerns that information change opt-in
requirements mandated as part of the FTC's Google Buzz settlement
could become the required standard for all (U.S.) online services.

While the tone of the article might be viewed as a bit alarmist, there
are associated quite valid concerns to be considered.

For many years, I have taken the position that when it comes to
significant, serious personal information choices, opt-in is
generally preferable to opt-out, since most people tend to stick with
the defaults in most situations.

However, I've also become increasingly concerned of late that mandated
opt-in requirements at increasingly "micromanaged" levels, and
relating to relatively trivial data elements, could indeed be
counterproductive and create collateral effects that would be to
consumers' detriment, not benefit.

In this regard, a paper I've noted in the past, Lundblad and Masiello's
"Opt-In Dystopias" ( http://j.mp/c3VQiX [Lauren's Blog] ) is very useful
reading.

While I've been clear that I felt the Google Buzz launch could have
been handled better, I also remain convinced that the "privacy
problems" involved were in key respects overblown, partly at the
urging of Google's commercial adversaries.  And I feel that Google's
very rapid response and corrections related to the stated concerns
were exemplary.

Two other points for consideration.  First, it seems that efforts to
mandate micromanaged opt-in requirements are being directed primarily
at the online services sector, but not so much at traditional
"offline" telecom, banking, credit card, and related services -- which
tend to change even major terms with no more warning than a bill
insert and perhaps an opt-out option.  And in many cases, these
traditional services are dealing with far more personal information
than services like Google!  And if you don't accept changes from your
bank or credit card firms -- that is, if you do opt-out -- you're
likely to be told that you no longer can transact new business on
those accounts.

And that's the second point.  What would happen on online services to
users who chose not to opt-in to various "micro"-changes?  Would they
no longer be able to conduct new transactions and other activities?
Or would online services be required to keep providing access for
those customers under their original terms, which might make no
economic sense, and could over time create a nightmare of different
users operating on previous terms of service that are increasingly
archaic, as the current terms have evolved onward for newer users?
The logistical mess that would be created could be impressive indeed,
not to mention the confusion caused by the increasing divergence of
terms for many older vs. newer users moving forward.

The upshot of all this is that opt-in vs. opt-out issues are much more
complicated than they may appear to be at first glance in both the
online and offline worlds, and this complexity seems to be rapidly
increasing.

Simplistic regulatory approaches to this area are likely to end up
doing more damage than good as far as most consumers are concerned.

--Lauren--
Lauren Weinstein (lauren@vortex.com): http://www.vortex.com/lauren
Co-Founder: People For Internet Responsibility: http://www.pfir.org
Founder:
 - Network Neutrality Squad: http://www.nnsquad.org
 - Global Coalition for Transparent Internet Performance: http://www.gctip.org
 - PRIVACY Forum: http://www.vortex.com
Member: ACM Committee on Computers and Public Policy
Blog: http://lauren.vortex.com
Twitter: https://twitter.com/laurenweinstein 
Google Buzz: http://j.mp/laurenbuzz 
Tel: +1 (818) 225-2800 / Skype: vortex.com