FTC Delivers Stern Warning to Internet Advertisers

Pulkit Chandna

Online behavioral advertisers have received a dressing down from the Federal Trade Commission. In fact, Federal Trade Commissioner Jon Leibowitz - not convinced they are doing enough - has asked advertisers to remain prepared for the “day of reckoning” that may be fast approaching. He has also threatened that FTC might wield its subpoena authority to extract necessary information from these companies.

Last week, the FTC staff issued a report titled Self-Regulatory Principles for Online Behavioral Advertising . The FTC staff has revised its online behavioral principles. It wants users to have the choice of preventing advertisers from collecting their information. The report has also asked advertisers to store private information till it is necessary.

Though the FTC staff, in the report, hasn’t blatantly threatened advertisers, it has still delivered a strict warning behind a diaphanous veil of measured words.

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