New guidelines for tracking consumers online

Federal regulators have issued new guidelines for Internet companies that tailor advertising to track user behavior online. In the report, the Federal Trade Commission said Internet companies should inform users about the kinds of information they collect and allow them a way to opt out of the tracking.

They also said companies should securely store data, retain it for only as long as necessary and seek express consent to collect particularly sensitive information like children's behavior, financial details and health problems.

The agency left it up to the industry to determine what qualifies as sensitive data. Public interest groups quickly criticized the recommendations, complaining they allow Internet advertisers to regulate themselves and allow companies to continue intrusive data-collection practices.

Jon Lebowitz, an FTC commissioner, said in a statement that the industry needs to engage in "meaningful, vigorous self-regulation or it will certainly invite legislation by Congress and a more regulatory approach by our commission."

For more on the FTC guidelines:
- see this SFGate.com article

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