The Federal Communications Commission (FCC) has released a proposal that aims to tighten consumer Internet privacy through curbing the amount of data that service providers can collect.
The proposal, introduced on Thursday by FCC Chairman Tom Wheeler, will still allow broadband providers to collect data, but if finalized and approved, it also aims to require providers to disclose what data they collect and how they collect it, exercise and increase personal information protection, and report events of data breaches.
It also requires the providers to relay how, when and what third party agencies they share the information to, as well as why the third party would use the data.
The heaviest part of the proposal, however, is the chance for consumers to opt out of the data gathering scheme through a consent form that they can fill out with their decision to either grant or deny the provider the right to collect information from them. Simply put, providers now have to ask permission to gather data, while consumers will have the right to say no, or decide which data they are comfortable to share with providers and marketers.
Jeffrey Chester, executive director of the Center for Digital Democracy, called the proposal "a major step forward for the United States, which has lagged behind other countries when it comes to protecting consumer privacy rights."
On the other hand, The National Cable and Telecommunications Association is disappointed with the proposed rules and even expressed hopes that, as the process moves along, the FCC would be guided with facts and not by allegedly false claims.
The proposal will be up for approval by the board on March 31, after which it would be up for comments from individuals and the business sector in order for the agency to holistically establish the specifics of the proposed regulation.
Wheeler's proposal is currently focused on cable TV and voice telephony services, as these are areas that the FCC already regulates. It does not yet encompass social media entities like Facebook and Google. However, the commenting period will also be a time for the board to decide if these fields are also encompassing of "communications-related services."
The proposal comes at a time when the issue of user privacy is in a heightened spotlight, especially after the FCC probe on Verizon's supercookies and the ongoing legal battle between the FBI and Apple.