Groups file FTC complaint over cell phone privacy

14.01.2009

It was unlikely "that many users fully understand the privacy implications of every discount coupon, free download, or ringtone offer that comes their way," the two groups wrote in their FTC petition.

The complaint comes at a time when advertisers are busy deploying what the CDD and PIRG described as a "dizzying array" of branded marketing applications for mobile platforms. Increasingly marketers are using rich media applications, mobile video, branded portal sites, and direct-response micro-sites to deliver customized marketing messages to mobile users, the groups said in their FTC petition.

Several technologies are currently available to marketers that permit targeted and "device-optimized insertion of any type of advertising -- such as images, videos and logos," on any type of mobile consumer application, it noted.

A spokesman for the (IAB), a trade body representing online advertisers from the media and technology space, today said that it will take a look at the FTC petition to "see if it has any merit." The IAB is one of four marketing and advertising industry associations which today announced a joint initiative to develop guidelines to tackle privacy concerns related to online behavioral advertising practices.

A joint task force will engage with the FTC and lawmakers to understand and deal with some of the policy and privacy issues regarding online behavioral advertising that were raised during , the IAB spokesman said. The group will work on ways to implement and enforce some of the self-regulation principles the FTC had proposed in shortly after that meeting, he said.