Joe Barton

In the wake of news that Google is introducing behavioral targeting of advertisements, a Democratic congressman from Virginia is renewing his suggestion that new consumer-protection legislation may be needed to rein in data collection.

Rep. Rick Boucher (D-Va.) said he is working with Rep. Cliff Stearns (R-Fla.) and Rep. Joe Barton (R-Texas), to craft a bill to require online companies to notify consumers of tracking activity. All three congressmen are members of the Internet subcommittee in the House Energy and Commerce Committee, which Boucher chairs.

A Recycled Proposal

The top Republican on the House Energy and Commerce Committee is joining a chorus of lawmakers urging the Justice Department to scrutinize the planned Internet advertising partnership between Google Inc. and Yahoo Inc.

Texas Republican Joe Barton also accuses Yahoo of resisting congressional inquiries into the deal. He said that many of the company's answers to his questions "seemed designed to obscure rather than clarify how the Google-Yahoo partnership would work."

Congress has asked Embarq Corp. about its work with a company that tracks online subscribers' Web traffic for advertising purposes, part of growing concern about Internet privacy.

Overland Park, Kan.-based Embarq is the nation's fourth-largest traditional telephone company with 1.34 million high-speed Internet subscribers in 14 states. It has been linked in the past with NebuAd Inc., a company that works with Internet service providers to tailor targeted ads based on what Web sites a particular subscriber visits.

Although a large Internet service provider has backed away from technology that tracks subscribers' Web use in order to deliver personalized advertising, two other broadband companies said Wednesday they are still considering whether to deploy it.

Phone companies Embarq Corp. and CenturyTel Inc. have both completed trials of the same tracking system, from online advertising company NebuAd Inc., and are now considering whether to proceed.

Charter Communications on Wednesday abandoned plans to deploy NebuAd's user-tracking system after objections from Congress and privacy advocates. Its stock dropped slightly after the announcement.

The NebuAd system places tracking cookies and sells users' Internet data to advertisers for targeting ads. Charter had been testing the system that privacy watchdogs Free Press and Public Knowledge called a "classic man-in-the-middle attack."

When Microsoft CEO Steve Ballmer dropped his bid to buy Yahoo, he took pains to point out that Yahoo's search-sharing arrangements with Google were likely to bring intense antitrust scrutiny for any company acquiring Yahoo. Given Microsoft's lengthy history with antitrust enforcement, Ballmer found that particularly unappealing.

Cable TV, phone and Internet service provider Charter Communications drew concern Friday from two congressmen and a privacy advocate over its plan to experiment with tracking its customers' Web use in collaboration with an online advertising firm.

Charter has told its high-speed Internet customers in four markets about the pilot, which will produce enough information for Web advertisers to target online advertising for individual customers based on their habits.

Cable TV, phone and Internet service provider Charter Communications drew concern Friday from two congressmen and a privacy advocate over its plan to experiment with tracking its customers' Web use in collaboration with an online advertising firm.

Charter has told its high-speed Internet customers in four markets about the pilot, which will produce enough information for Web advertisers to target online advertising for individual customers based on their habits.