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BT faces investigation over secret Phorm trials

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Dec 01, 2008

The Crown Prosecution Service (CPS) is investigating claims that BT broke privacy laws for running secret trials of the Phorm ad system, which serves ads based on users’ online surfing habits.

BT ran two secret trials of Phorm without seeking its customers' permission. The trials were revealed by an internal BT documant leaked in June, which showed BT conducted a two-week test involving 18,000 subscribers in September and October 2006 but did not inform those users.

 

Earlier this year, City of London Police investigated allegations that the trials were in breach of the Regulation of Investigatory Powers Act (RIPA) but found no evidence of illegal activity.

 

However, The CPS confirmed it had begun a new investigation after privacy campaigner Alex Hanff filed a private prosecution against BT.

 

If it finds BT breached RIPA, which makes intercepting internet traffic without a warrant or consent a criminal offence, the case will go to the Director of Public Prosecutions. The CPS is required to investigate all matters brought to its attention.

 

The European Commissioner for Information, Society and Media, Viviane Reding, is also investigating whether the secret trials breached the European Convention on Human Rights.

 

BT started a new trial of the system in September this year, rebranding the system ‘Webwise’ for its users. The company is attempting to get 10,000 users to enroll in it.

 

BT plans to roll out Webwise to its entire broadband customer base, but no schedule has been set. Two other ISPs, Virgin Media and Carphone Warehouse, are also planning to trial Webwise.

 

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