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WASHINGTON, D.C. — Privacy advocates are gearing up to push for broad electronic privacy legislation this fall, hoping to convince lawmakers that businesses’ self-regulation techniques are inadequate. The groups also say Internet companies’ efforts don’t go far enough.
"Self regulation does not work. We’ve seen it in capital markets. We’ve
seen it online," said Consumer Watchdog’s John Simpson.
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The Center for Digital Democracy, Consumer Watchdog and several other advocates are hosting a conference call Sept. 1 to make recommendations about how Congress may better regulate behavioral targeting. Google, Yahoo and Microsoft all use behavioral targeting to better serve ads to Web surfers. The groups want to be heard by Congress, which is working on legislature to better protect consumer privacy online.
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The Federal Trade Commission says it will keep investigating the board memberships of Apple and Google despite Google CEO Eric Schmidt’s withdrawal from Apple’s board. Another boardroom interlock remains for the two companies: Genentech Chairman Arthur Levinson is on the board in both Mountain View and Cupertino. An E-Commerce Times request for response from Genentech regarding
Consumer Watchdog’s call for Levinson to step down from either Google’s
or Apple’s board was not received by press time. One point mentioned by Consumer Watchdog’s Simpson was Genetech’s
investment in 23andMe, the genetic-testing-for-consumers company
founded by Anne Wojcicki, wife of Google cofounder Sergey Brin.
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Calls for Genentech Inc.chairman Arthur Levinson to quit either the board of Apple Inc. or the board of Google Inc. are increasing, following on the heels of Monday’s news that Google CEO Eric Schmidt has stepped down from Apple’s board. Consumer Watchdog is a nonprofit, nonpartisan group that is also
pushing the U.S. Department of Justice and the Federal Trade Commission
to insist on guarantees of user privacy before agreeing to the 10-year
deal between Microsoft Corp. and Yahoo! Inc.
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Google CEO Eric Schmidt’s resignation today from Apple’s board underscored that it when comes to business, competition is thicker than friendship. Meanwhile, a consumer group, Consumer Watchdog, on Monday called on
Genentech Board Chairman Arthur Levinson, who sits on the boards of
Google and Apple, to quit one of them to avoid antitrust violations. In addition to conflicts that could arise from sitting on the boards of
competing companies, Genentech is an investor with Google in the
genetic testing company 23andMe run by Anne Wojcicki, wife of Google
co-founder Sergey Brin.
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Consumer Watchdog Wants Genentech Exec To Quit Google Or Apple Board
Consumer Watchdog, formerly known as the Foundation for Taxpayer and
Consumer Rights, called on former Genentech CEO Arthur Levinson to pick one board or the other. ?It
took Eric Schmidt far too long to realize that the two roles are
incompatible. That’s not surprising considering the clubby atmosphere
of Silicon Valley,? said John M. Simpson, a Consumer Watchdog consumer
advocate, in a written statement. ?Nonetheless, we’re glad Schmidt
finally did the right thing. We call on Levinson to act responsibly and
choose one company or the other.?
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WASHINGTON, D.C. — The U.S. Federal Trade Commission said it will
continue to investigate the relationship between the boards of Apple
Inc. and Google Inc., after Google’s chief, Eric Schmidt, quit Apple’s board on Monday. A consumer rights group criticized Schmidt for taking too long to leave
Apple’s board, and called on former Genentech CEO Arthur Levinson to choose either Apple or Google. "Nonetheless, we’re glad Schmidt finally did the right thing," Consumer
Watchdog said in a statement. "We call on Levinson to act responsibly
and choose one company or the other."
Press Release
Santa Monica, CA — Genentech Board Chairman Arthur D. Levinson should
quit as a director of either Internet giant Google or Apple to avoid
antitrust violations, Consumer Watchdog said today, following the
resignation of Eric Schmidt from the Apple board. The call from the nonprofit, nonpartisan consumer group came after the
announcement that Google Chairman and Chief Executive Eric Schmidt, who
held the same dual role, was stepping down from Apple’s board. The
Federal Trade Commission has been investigating for several months
whether Apple and Google had violated antitrust laws by sharing two
directors.
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John Simpson, an advocate with non-profit group Consumer Watchdog, also
said the Microhoo deal must be closely scrutinized by the Federal Trade
Commission, the Justice Department and the European Commission to
ensure that there are no antitrust violations and that user privacy is
guaranteed. "If the result of this deal is that there are two stronger Internet
search enterprises who exploit users’ data at the expense of their
privacy rights, consumers are worse off, not better," said Simpson.
"Users must have control of their data—whether it is collected and how
it is used. Guarantees of that control must be in place before this
deal is approved. Justice and the FTC can—and must—insist on this."
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Microsoft and Yahoo clearly are bracing for regulatory scrutiny. The news release emphasized that the two companies will "continue to compete vigorously" in other areas, including e-mail, instant messaging and display advertising. It also stressed that the agreement restricts the sharing of search and other data.
Consumer Watchdog in Washington, D.C., called on the Justice Department and Federal Trade Commission to probe the deal for potential antitrust violations and privacy concerns.
