When large American online companies discuss international Internet privacy policy, the buzzword they toss around most often is ?interoperability,? judging from a high-profile panel discussion held on Capitol Hill March 5 titled ?Internet Policy Across the Pond.? That may be because some regulators from other countries continue to perceive the U.S. as too soft on protecting the personal data of individuals, and American companies?many of which have overseas customers?are eager to change that perception.
The panel was part a half-day program put together by the Internet Association, a trade group representing the interests of large U.S.-based online companies such as Google, Facebook, LinkedIn, and Airbnb. And judging from the attendance of powerful legislators such as Sen. Chuck Schumer (D-N.Y.), House Whip Steny Hoyer (D-Md.), and Sen. Ron Wyden (D.-Ore.)?all of whom gave brief remarks related to the Internet economy?Washington insiders are eager to learn whether such a shift is feasible without additional regulation.
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The most vocal of the three panelists was Justin Weiss, Yahoo?s senior director for international privacy. Weiss acknowledged that while Europe, in particular, doesn?t have the same legal structure regarding individual privacy, ?both areas have access to the same Internet services.? He made it clear that he regarded some European privacy restrictions as too stringent. ?Rigid rules around consent can create some very perverse circumstances,? he said. He said the solution for American online companies eager to continue doing business in Europe involved self-regulation and flexibility.
Another panelist, Lindsey Finch, head of global policy at Salesforce.com, said it was important for American industry to remind international regulators that disruptive privacy policies affect ?customers as well as companies.? Finch emphasized that unrestricted data transfer ?is really important to the cloud,? so overly broad restrictions run the risk of stifling commerce and innovation.
Gretchen Herault, vice president of compliance and fraud at Monster Worldwide and the third member of the panel, added that today?s Internet companies are more global and less geographically specific than ever. ?Monster, which was started in the early 1990s, is now headquartered in New York, but its largest office is in Massachusetts,? she said. But the company has ?changed the way people apply for jobs? worldwide. Therefore, the need to reach a common international understanding about privacy rules has a renewed urgency.
While the strictness of the European Union?s 1995 data protection legislation was an undercurrent of the whole panel discussion, its members pointed out that some other countries outside of Europe have perspectives on online privacy more closely aligned with that of the U.S.
?India certainly looks to the E.U. for a privacy checklist,? said Yahoo!?s Weiss. But he added, ?The Indians are being very pragmatic, like the U.S.? Finch from Salesforce.com pointed out that Canada, also considered to be very proactive regarding individual privacy online, believes its existing privacy law ?is adequate,? and has no plans to amend it.
There was much talk among the panel about the importance of keeping an open dialog with international regulators, but when the moderator, Alex Fitzpatrick of Mashable, asked the panelists whether they thought foreign players regarded U.S. privacy policy as ?less serious? than theirs, the reaction was unanimous. ?At Salesforce.com, that?s never been raised,? said Finch. ?I?ve never experienced that either,? said Monster?s Herault.
Weiss even argued that the U.S. has some strong European supporters for its commerce-centric approach. ?The U.K. has a special understanding of the U.S.,? when it comes to privacy policy, he said. About the rest of Europe, however, he was a little more circumspect: ?I think you find a lot of diversity of opinion.?
Alec Foege, a contributing editor at?Data Informed, is a writer and independent research professional based in Connecticut, and author of the book?The Tinkerers: The Amateurs, DIYers, and Inventors Who Make America Great. He can be reached at?alec@brooksideresearch.com. Follow him on Twitter at?@alecfoege.
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