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Fearing Regulators, AT&T Stops Charging Extra for Privacy

Fearing a looming regulatory backlash, AT&T has confirmed it will stop the practice of charging broadband subscribers significantly more money if they want to opt out of the company's snoopvertising. For several years now AT&T has charged customers $40 to $60 more every month if they want to opt out of the company's Internet Preferences program, which tracks user behavior around the internet, then pitches ads based on that browsing activity.

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Not only did AT&T make protecting your privacy an additional surcharge, AT&T made the option hard to find and sign up for, knowing full well this would reduce the number of users that opted out. This behavior by AT&T had been criticized by consumer advocates for years.

But the company today told Ars Technica that it would be discontinuing the practice.

“To simplify our offering for our customers, we plan to end the optional Internet Preferences advertising program related to our fastest Internet speed tiers," the company said. "As a result, all customers on these tiers will receive the best rate we have available for their speed tier in their area. We’ll begin communicating this update to customers early next week."

In fact, AT&T says it will "sunset the Internet Preferences program beginning in October," but didn't offer more detail.

Granted the move is less about "simplifying" things for customers, and more about getting on the good side of the FCC, which has been pushing for new, tougher privacy rules -- in large part as a response to AT&T's behavior. With the company no longer charging a premium for privacy, it seems likely AT&T's lobbyists will try to argue that the FCC's privacy protections aren't necessary.

The problem with that logic is that for years, broadband ISPs have claimed they can self-regulate on privacy without real consumer protections. But large ISPs consistently prove they're terrible at self-regulation -- whether it's AT&T's decision to charge significantly more for privacy, or Verizon and AT&T's attempt to modify wireless user data packets to track customers around the internet (in place at Verizon for two years before security researchers even realized it existed).

So while it's clear AT&T and other incumbent ISPs would prefer no new privacy protections for consumers, their track record on being able to police themselves without outside intervention remains historically abysmal. And without decent privacy protections in place, the lack of competition (read: the ability for consumers to leave an ISP if it engages in unpopular privacy practices) means AT&T's next "good idea" could be decidedly worse than the program it just dismantled.

Most recommended from 43 comments



Mike
Mod
join:2000-09-17
Pittsburgh, PA

23 recommendations

Mike

Mod

I love PR

"sunset the Internet Preferences program"

A lot better phrasing than shooting it in the back of the head in a field and dumping it in the river to hide the evidence.
etaadmin
join:2002-01-17
united state

16 recommendations

etaadmin

Member

AT$T will keep snooping anyway

Whether at$t do it for advertising purposes or not they'll keep doing it in favor of government's spooks »en.wikipedia.org/wiki/Room_641A. So by eliminating the snoopvertizing opt-out option at$t will effectively rise prices and still get the same information as a byproduct from the government's feed.
8744675
join:2000-10-10
Decatur, GA

15 recommendations

8744675

Member

In any other context, it would be considered STALKING

When I buy a car, I expect that Ford will not be following me around to see where I drive, what stores I visit, who rides in the car with me or where I drive on vacation. That would be called stalking, which is illegal.

When I buy a cell phone internet or internet service, I should be able to expect the same privacy.
rabbitbarf
join:2016-07-11
10000

7 recommendations

rabbitbarf

Member

gigapower pricing?

So does this mean the people whom pay $70/month in say Austin, TX for 1Gb will have to pay more or less? Currently they have a deal where you can pay $70/month for a year assuming you stay for a year and keep internet preferences.

Anonc4db0
@sbcglobal.net

6 recommendations

Anonc4db0

Anon

But do you still have to opt-out?

Their phrasing seems very odd but deliberate: "all customers on these tiers will receive the best rate we have available for their speed tier in their area."

It makes it sound like you still have to proactively opt-out but it won't cost you anything now.

KrK
Heavy Artillery For The Little Guy
Premium Member
join:2000-01-17
Tulsa, OK
Netgear WNDR3700v2
Zoom 5341J

5 recommendations

KrK

Premium Member

That just means they will do it again later...

.... at&t saw that the backlash was going to result in regulation or a law banning the practice, so they've backpedaled, in the hopes the mentality of "Oh well, problem solved, let's move on" occurs and the issue is allowed to drop....

... which means they can come back and do it again later, when they feel they have the control on the FCC or in Congress to cement it in stone.

NO. Must not be allowed to happen. It needs to be banned by law now, so that they can't pull this again in the future..... BECAUSE THEY SURELY WILL.