FTC Holds Hearing On Spyware

by Glen Shapiro, LawAndTax-News.com, New York

19 April 2004

The US Federal Trade Commission (FTC) today launched a workshop in order to scrutinise the growing use of spyware by companies in the US and elsewhere.

The software, which can be used to bombard internet users with unwanted advertisements, or to allow third parties to access web surfing patterns and personal information, has come to occupy the position in the forefront of the public consciousness once held by spam, with outraged consumers complaining to regulatory bodies in increasing numbers over the software, and the uses to which it is being put.

Speaking to CNET News last week, Roger Thompson, vice president of product development at anti-spyware firm, Pestpatrol, explained that:

"So much stuff is being foisted on people that it's really slowing their computers down. That's stepping out of bounds of what's fair and reasonable."

Monday's meeting will bring together consumer groups, representatives of technology firms, and lawmakers in order to discuss the next step in the campaign against spyware and adware.

However, some in the technology industry are concerned that the state and federal authorities may throw the baby out with the bathwater in their attempt to rid internet users of the new annoyances.

"We are very concerned about legislative mandates that define what is spyware by the nature of its technology rather than focusing on the behaviour and bad practices that we're trying to stop," Robert Holleyman, president of the Business Software Alliance told CNET, adding that:

"A lot of functionality that some people with the best intentions try to address also applies to the way some antivirus software is routinely updated, for example."

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