NEW YORK – Federal regulators have approved new broadband privacy rules that make internet service providers like Comcast and Verizon ask customers’ permission before using or sharing much of their data.
The Federal Communications Commission’s measure was scaled back from an earlier proposal, but was still criticized by the advertising, telecommunications and cable industries.
Cable and phone companies want to grow revenue from ad businesses of their own – AT&T has said increasing advertising tailored to customers’ preferences is one of its goals with its $85.4 billion purchase of HBO, CNN and TBS owner Time Warner; Verizon has bought AOL and agreed to buy Yahoo in order to build up a digital-ad business.
But the new rules could make doing that more difficult. Companies and industry groups say it’s confusing and unfair that the regulations are stricter than the Federal Trade Commission standards that digital-advertising behemoths such as Google and Facebook operate under. The FCC does not regulate such web companies.
FCC officials passed the rules on a 3-2 vote, its latest contentious measure to pass on party lines.
