FOR IMMEDIATE RELEASE December 5, 2000
SEN. SHELBY EXPRESSES PRIVACY CONCERNS WITH NEW COMPUTER EXCHANGE
STANDARD Senator Asks Federal Trade Commission to Review
Privacy Implications of Customer Profile Exchange
Standard
WASHINGTON, DC --- U.S. Senator Richard C. Shelby (R-Ala.) today
expressed concerns with the consumer privacy implications resulting from
the development of a system designed to improve the ability of companies
to share consumer information.
In a letter to the Federal Trade Commission chairman, Senator Shelby
asked the Commission to review the development of the Customer Profile
Exchange Standard. The Customer Profile Exchange Standard was brought to
Senator Shelby's attention by an article in the Business Section of the
Washington Post, which detailed the efforts of several dozen e-commerce
specialists working to coordinate the many different computer systems
currently used to store consumer information such as a consumer's purchase
history and personal data.
"I am greatly concerned with escalating efforts to exploit personal
information in pursuit of a dollar," said Shelby. "While efforts to
streamline e-commerce may seem innocent, we have all seen the zeal with
which businesses pursue our most private personal information-and their
complete willingness to sell our information for their own profit. It is
absolutely wrong and the Federal Trade Commission should weigh these
concerns as they examine the development of the Customer Profile Exchange
standard."
A copy of Senator Shelby's letter is attached.
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December 5, 2000
Mr. Robert
Pitofsky, Chairman Federal Trade Commission 600 Pennsylvania Avenue,
NW Washington D.C. 20580
Dear Chairman Pitofsky:
I am writing to express my concerns regarding the consumer privacy
implications related to the development of the Customer Profile Exchange
standard. The efforts to develop this new standard were brought to my
attention by an article which ran in the Business Section of the
Washington Post on December 5, 2000. I have attached a copy of this
article for your review.
It is my understanding from the article that the exchange standard was
developed for the purpose of simplifying the process of storing and
transferring information. It would provide a uniform system through which
businesses would gather and transmit individual consumer data including:
addresses, taxpayer identification numbers, telephone numbers, e-mail
addresses, income level, marital status, among other items.
While this effort is intended to enhance commercial activity, I am
troubled that insufficient attention has been given to the negative
ramifications that the use of this exchange will have on the privacy of
American consumers. When this standard is put in practice, the personal
information of hundreds of millions of Americans will be readily and
widely available. Therefore, in light of the significance of this new form
of exchange, I respectfully request that the Federal Trade Commission
review the development of this standard and closely consider its impact on
the privacy of the American people prior to its being put in operation.
Thank you for your time and consideration of my request.
Sincerely, Richard C. Shelby
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