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NC/1NR Impacts — Privacy Link



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2NC/1NR Impacts — Privacy Link

Privacy movements hurt economy

The privacy movement could tank the economy — hurts advertising, small business, and innovation


Wheeler 12 — Eric Wheeler, CEO and co-founder of 33 across, a company specializing in building tools for online publishers, 2012 ("How 'Do Not Track' is poised to kill online growth," CNET, 9-20-2012, Available Online at http://www.cnet.com/news/how-do-not-track-is-poised-to-kill-online-growth/, Accessed 7-20-2015)

Most painful, consumers themselves would end up suffering, gaining "privacy" (whatever that means in the context of anonymous data collection) at the cost of online subscription fees, less interesting and innovative online experiences, and less relevant advertising. On top of that, get ready for maximally confusing, overboard, opt-in mechanisms on every Website you visit. We are headed for what feels like an anti-Internet, not a privacy movement.

New "Do Not Track" policy could come out as soon as next year, so before it's too late, we need to step back and consider what's really at stake.

Compromising a $300 billion industry

Online advertising has been one of the few unqualified success stories in our economy in recent years. By building a better infrastructure -- enabling brands to underwrite content and show relevant advertising -- the online ad industry has achieved an enviable growth rate. The Interactive Advertising Bureau (IAB) recently reported record ad revenues of $8.4 billion for the first quarter of 2012, a 15 percent increase year-over-year. According to a recent Harvard study commissioned by the IAB, the online advertising ecosystem now accounts for $300 billion of economic activity and 3.1 million jobs within the U.S.

But take away ad targeting, and the anonymous data collection that makes it possible, and the bottom drops out virtually overnight. Goodbye, relevant and effective ads, healthy rates, and healthy growth; welcome back, paywalls, jumping monkey ads, static tech growth, opt-in consent mechanisms and deep profiles tied to your personal information to replace anonymous, cookie-based behavioral advertising.

Handicapping small business

The perils of "Do Not Track" extend well beyond the ad industry. Small publishers and startup ventures alike stand to lose the most under more stringent online restrictions. Most of these companies depend heavily on advertising to generate revenue. Not just any advertising--but interest-based advertising provided by responsible third parties committed to strict industry regulation. Unable to leverage a targeted ad model, they'll likely drive consumers away when left only with paltry generic ads that scream for attention rather than attracting it through relevance -- and they'd have to run a lot more of them, cluttering the screen and infuriating consumers.

Better yet, they would have to employ subscription models where consumers pay a la carte to visit websites, for email, social networking, music, casual games, and other services. A double hit on the economy: take away small businesses' means to make money and make consumers spend more. Good luck with that one.

Stifling innovation

Anonymous user data is far more than just a lens for ad delivery; for many startups, it's the life's blood of innovation. Once upon a time, a startup called Amazon revolutionized online retail, in part by leveraging behavioral shopping data that it gathered about its customers: by all accounts, this data has become a core piece of its shopping recommendation engine.

Similarly, Netflix uses anonymous, real-time user data to inform recommendations for its customers. The data Trulia processes helps real estate agents improve their listings, and enables consumers to buy or sell homes at the optimal time. Groupon uses mobile location data, as well as anonymous information on users' habits and interests, to help local businesses deliver daily deals to the right consumer at the right time and place.



The common denominator among all of these companies is that they use anonymous data to gain insight into their customers' favorite activities, interests, and connections, enabling them to create highly valuable online experiences that otherwise would have been impossible to deliver. Is the FTC or W3C really aiming to prevent the next Amazon or Netflix from emerging?

Privacy movements threaten autonomous cars

Any advantages of autonomous cars require data collection and coordination that is threatened by privacy movements


Kohler and Colbert-Taylor 14 — William J. Kohler, Chief Legal Officer and Corporate Secretary at Dura Automotive Systems, LLC, and Alex Colbert-Taylor, J.D. Student at University of Michigan Law School, 2014 (“Current Law And Potential Legal Issues Pertaining To Automated, Autonomous And Connected Vehicles,” Santa Clara High Technology Law Journal (31 Santa Clara Computer & High Tech. L.J. 99), Available Online to Subscribing Institutions via Lexis-Nexis)

V. Privacy and Data Use

Far more profusely than today's vehicles, mature and market-ready autonomous vehicles will generate and broadcast personal data, the use and storage of which will implicate important privacy rights in complicated ways that will likely have to be faced well before Level 3 and Level 4 vehicles become a commercial reality. n131 Although exclusively sensor-based autonomous vehicles are certainly a possibility, n132 many of the most compelling reasons for adopting self-driving cars are dependent on the vehicles sharing and coordinating data with each other, both locally and through centralized infrastructure. It is self-evident that the efficient management of traffic at intersections, the intelligent distribution of traffic to minimize congestion, and the ability of autonomous vehicles to safely travel in close-packed platoons, for instance, are all largely or completely reliant on communication both between the individual vehicles and other cars in the vicinity, and between the autonomous vehicles and an external network. Even if this [*121] data is scrubbed of unique individual identifying markers, for instance VIN-numbers, or IP-or MAC-addresses, data-mining techniques will almost certainly be able to reconstruct personal identifying information about particular vehicles and by extension their regular occupants. n133 The way this data is used will be the subject of regulation and legal controversy. Concerns about user privacy have already drawn substantial attention from the media. n134

[Note to fellow students: Level 3 — Limited Self-Driving Automation, Level 4 — Full Self-Driving Automation]


Autonomous cars are threatened by privacy movements


Kohler and Colbert-Taylor 14 — William J. Kohler, Chief Legal Officer and Corporate Secretary at Dura Automotive Systems, LLC, and Alex Colbert-Taylor, J.D. Student at University of Michigan Law School, 2014 (“Current Law And Potential Legal Issues Pertaining To Automated, Autonomous And Connected Vehicles,” Santa Clara High Technology Law Journal (31 Santa Clara Computer & High Tech. L.J. 99), Available Online to Subscribing Institutions via Lexis-Nexis)

The 2012 push for consumer privacy protections seems to have made little progress, but there is some recent movement in Washington with respect to automakers' usage of personal data. In a December 2, 2013 open letter to auto industry executives, Senator Edward Markey of Massachusetts raised concerns about the disclosure of individual user data and aggregated data from vehicles currently on the market, seeking information from automakers as to whom this data is shared with or sold to, how long the data is kept, whether vehicle users have any option to delete this data or else to have it not retained at all, and similar questions. n191 Senator Markey requested that automakers respond to his inquiry no later than January 3, 2014. n192 The Senator has not disclosed whether any responses were submitted, and if so, whether these responses will be made public.



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