Interpretation of 'Ripa' May Retard Behavioral Ad Delivery in UK

I spy with my little lie...

The UK's Foundation for Information Policy Research (Fipr) has published an open letter to the Information Commissioner, dubbing Phorm, an online ad system, illegal.

Phorm crawls pages a user has visited, then pairs keywords from the content to a user's profile. The user is targeted with ads chosen from a constellation of his or her interests, as determined by the profile.

Phorm can only glean keywords from websites that implement its technology. Its clients include Virgin, Talk Talk and BT.

Fipr said Phorm violates the Regulation of Investigatory Powers Act 2000 (Ripa), developed to protect users from illegal information interception. The final interpretation of Ripa will determine whether Phorm — and other behavioral ad technology — are legal in the UK.

In Fipr's letter to the Information Commissioner, it argued Phorm must actively seek the consent of web users and website operators before gathering any information.

A BT spokesman told the BBC News that "Provided the customer has consented, we consider that there will generally be an implied consent from website owners." Secure, password-protected content will not be profiled, stored or scanned, he added.

CEO Kent Ertugrul of Phorm took a similar position. "With regards to a website that is published openly and fairly, we are not breaching any laws in using information that is published on it," he stated.

Ertugrul also said Phorm has an "on-off switch" for users and "does not store any personal data at all."

On its website, Phorm positions itself as a privacy advocate, not a violator.