Viacom Makes Its Case Against Yesterday's YouTube: Via EFF.org Updates.

Today, after three years of litigation, the Viacom v. YouTube combatants finally publicly released their briefs (Viacom's; YouTube's; Class Action Plaintiffs') in what most expect to be the main event in the case, namely, cross-motions for summary judgment (for the non-lawyers: a summary judgment motion asks the court to rule that the case is such a slam dunk in your favor that no trial is necessary).

One surprise from Viacom is a concession that it basically has no beef with YouTube as it has been run since May 2008: "[W]e do not ask the Court to address potential liability for post-May 2008 infringement in this motion and, if Viacom's summary judgment motion is granted, do not intend to do so at trial." What happened in May 2008? That would be when YouTube launched its Content ID system, enabling copyright owners to "claim" their content and decide whether it will be blocked or monetized on YouTube.

In other words, this case isn't really about YouTube (at least YouTube circa 2010). It's about Viacom's effort to get the court to re-write the DMCA safe harbors to require everyone else to implement (and pay for) copyright filtering. If Viacom succeeds, it would radically change the innovation environment for all Internet companies that depend on the DMCA safe harbors.

Why are the DMCA safe harbors so important? YouTube says it best: [ Read more ... ]

Senators draft plan to rework U.S. immigration policy - washingtonpost.com: Via washingtonpost.com .

Sens. Charles E. Schumer (D-N.Y.) and Lindsey O. Graham (R-S.C.) announced the building blocks Thursday for a new push in Congress to overhaul the nation's immigration laws, outlining a plan to require U.S. citizens and legal immigrants to obtain a new high-tech Social Security card tied to their fingerprints or other biometric identifiers and to create a system to bring in temporary workers as the U.S. economy demands.

The immigration "blueprint," outlined in an opinion column posted on The Washington Post's Web site, drew an immediate vow of support from President Obama, who urged Congress "to act at the earliest possible opportunity." [ Read more ... ]

Domain Names Can't Defend Themselves: Via Freedom to Tinker.

Today, the Kentucky Supreme Court handed down an opinion in the saga of Kentucky vs. 141 Domain Names (described a while back here on this blog). Here's the opinion.

This case is fascinating. A quick recap: Kentucky attempted a property seizure of 141 domain names allegedly involved in gambling on the theory that the domain names themselves constituted "gambling devices" under Kentucky law and were therefore illegal. The state held a forfeiture hearing where anyone with an interest in the "property" could show up to defend their interest in the property; otherwise, the State would order the registrars to transfer "ownership" of the domain names to Kentucky. No individual claiming that they own one of the domain names showed up. Litigation began when two industry associations (iMEGA and IGC) claimed to represent unnamed persons who owned these domain names (and another lawyer showed up during litigation claiming representation of one specific domain name). [ Read more ... ]

Hacker Disables More Than 100 Cars Remotely: Via Threat Level.

More than 100 drivers in Austin, Texas found their cars disabled or the horns honking out of control, after an intruder ran amok in a web-based vehicle-immobilization system normally used to get the attention of consumers delinquent in their auto payments.

Police with Austin’s High Tech Crime Unit on Wednesday arrested 20-year-old Omar Ramos-Lopez, a former Texas Auto Center employee who was laid off last month, and allegedly sought revenge by bricking the cars sold from the dealership’s four Austin-area lots.

“We initially dismissed it as mechanical failure,” says Texas Auto Center manager Martin Garcia. “We started having a rash of up to a hundred customers at one time complaining. Some customers complained of the horns going off in the middle of the night. The only option they had was to remove the battery.”

The dealership used a system called Webtech Plus as an alternative to repossessing vehicles that haven’t been paid for. Operated by Cleveland-based Pay Technologies, the system lets car dealers install a small black box under vehicle dashboards that responds to commands issued through a central website, and relayed over a wireless pager network. The dealer can disable a car’s ignition system, or trigger the horn to begin honking, as a reminder that a payment is due. The system will not stop a running vehicle. [ Read more ... ]

Judges Approves $9.5 Million Facebook ‘Beacon’ Accord: Via Threat Level.

A federal judge on Wednesday approved a $9.5 million settlement to a class action lawsuit challenging Facebook’s program that monitored and published what users of the social networking site were buying or renting from Blockbuster, Overstock and other locations.

The case concerned allegations Facebook’s now defunct “Beacon” program breached federal wiretap and video-rental privacy laws. Terms of the settlement, in which Facebook denied any wrongdoing, require the site to finance what the deal calls a “Digital Trust Fund” that would issue more than $6 million in grants to organizations to study online privacy.

The social networking site will have a seat on the fund’s three-member board — a fact that was a big bone of contention (.pdf) in the privacy community, but one U.S. District Judge Richard Seeborg in San Jose, California, said Wednesday was immaterial.

“There has been no pervasive showing that the foundation will be a mere publicity tool for Facebook,” (.pdf) Seeborg wrote.

Seeborg gave preliminary approval to the deal last year, but finalized it Wednesday after reviewing objections. [ Read more ... ]

Hooking Up The Big Brother Machine... And Fighting It: Via EFF.org Updates.

Here's a movie pitch: One lone telecommunications technician, going about his ordinary daily work in San Francisco, begins to realize things aren't quite what they seem. There's a "secret room" downstairs, and ordinary employees aren't allowed to enter it. Coworkers — almost casually! — remark that a government spy agency is involved, that similar facilities are being built across the country, that some of them are stamped with the government's ominous eye-and-pyramid "Total Information Awareness" logo.

Soon, the plot thickens. Mundane technical procedures produce startling revelations. He stumbles on a document that suggests the room contains a supercomputer designed to data-mine phone calls and Internet traffic. And, indeed, he soon realizes that the room is sucking up copies of electronic communications from millions of random Americans.

All this in the early 2000s, when "the political atmosphere in the country after 9/11 had a witchhunt feel to it, and even modest criticism of the administration was getting painted as disloyalty or worse."

What happens to our hero when he finally decides to go public? [ Read more ... ]

Lawrence Lessig: Citizens Unite: Via Huffington Post.

There has been a growing fury about the Supreme Court's decision in the Citizens United case, but much of that fury hangs upon an odd reading of the Court's opinion. The Court, it is said, has given corporations all the rights of "persons." It has elevated these artificial beings into entities "endowed by their Creator" (us) "with certain unalienable rights," including the right to free speech.

No doubt the Court has a long history of recognizing the "person" in "Inc." But this current wave of criticism is hard to understand, because the Court's entire Citizens United opinion hung upon the fact that the First Amendment says nothing about who or what is to get the benefit of its protection. It simply bans certain kinds of regulation. As Justice Scalia put it in his concurrence: "The Amendment is written in terms of 'speech,' not speakers." Thus, the government is blocked by the First Amendment from constraining the free speech of any entity, whether that entity is a corporation or a dolphin. [ Read more ... ]

Smackdown: Consumer Privacy vs. Advertiser Revenue: Via CDT - Center for Democracy & Technology..

I attended Smackdown: Consumer Privacy vs. Advertiser Revenue and was expecting to hear good discussion about how advertising and targeting firms are battling with privacy groups to meet the needs of the consumer. I was a little disappointed in how little representation from the privacy end there was in the room. The panel opened with moderator Alan Chapell from BlueKai asking whom in the room represented the business side of consumer data and who was from the advocacy end. I was one of three people representing the advocacy end.

The talk began with defining what data they were talking about as panelists tiptoed around exactly what data is being taken by marketers and commented that nothing used is personally identifiable and is used to tailor a better online experience; however, the panel didn’t really discuss one of the most important questions of user data being used for marketing - how long this data is kept and stored?

Discussion from the panelists turned to how advertisers can adapt their industry practices and data practices in the changing legislative environment. The FTC’s public roundtables, in which CDT participated, were discussed as was legislation in Congress being proposed by Rep. Boucher. [ Read more ... ]

Investigators: Businesses buying your credit card number: Via NorthWest Cable News.

$10 here. $15 there. 

By putting little charges on your credit card  some companies are making tens of millions of dollars a year. These are businesses that you never gave your credit card number to.

Some consumer groups call it fraud, but it may be perfectly legal.

Christie Frison-Thornton, of Rainier, spotted a $19.95 charge just a few weeks ago.   A company called "Privacy Matters" billed her credit card.

"I thought what the heck is this? Cause I really did not have a clue," said Frison-Thornton. [ Read more ... ]

Telling Friends Where You Are (or Not): Via NYTimes.com .

Mobile services like Loopt and Google’s Latitude have promoted the notion of constantly beaming your location to a map that is visible to a network of friends — an idea that is not for everybody.

But now there is a different approach, one that is being popularized by Foursquare.

After firing up the Foursquare application on their phones, users see a list of nearby bars, restaurants and other places, select their location and “check in,” sending an alert to friends using the service.

This model, which may be more attractive than tracking because it gives people more choice in revealing their locations, is gathering speed in the Internet industry. Yelp, the popular site that compiles reviews of restaurants and other businesses, recently added a check-in feature to its cellphone application. And Facebook is expected to take a similar approach when it introduces location features to its 400 million users in coming months. [ Read more ... ]

NetFlix Cancels Recommendation Contest After Privacy Lawsuit: Via Threat Level.

Netflix is canceling its second $1 million Netflix Prize to settle a legal challenge that it breached customer privacy as part of the first contest’s race for a better movie-recommendation engine.

Friday’s announcement came five months after Netflix had announced a successor to its algorithm-improvement contest. The company at the time said it intended to expand the amount of information it gave to researchers in hopes that its recommendation system — a key part of Netflix’s customer retention strategy — would get even better. That was then followed with a warning by prominent data privacy lawyers that the new dataset was easily de-anonymized.

Those fears were highlighted in December, when an in-the-closet lesbian mother sued Netflix for privacy invasion, alleging the movie-rental company made it possible for her to be outed when it disclosed insufficiently anonymous information about nearly half-a-million customers as part of its $1 million contest. [ Read more ... ]

Advertising - Instant Ads Set the Pace on the Web: Via NYTimes.com .

Now, companies like Google, Yahoo and Microsoft let advertisers buy ads in the milliseconds between the time someone enters a site’s Web address and the moment the page appears. The technology, called real-time bidding, allows advertisers to examine site visitors one by one and bid to serve them ads almost instantly.

For example, say a man just searched for golf clubs on eBay (which has been testing a system from a company called AppNexus for more than a year). EBay can essentially follow that person’s activities in real time, deciding when and where to show him near-personalized ads for golf clubs throughout the Web.

If eBay finds out that he bought a driver at another site, it can update the ad immediately to start showing him tees, golf balls or a package vacation to St. Andrew’s, Scotland, often called the home of golf. If a woman was shopping, eBay could change the ad’s color or presentation. [ Read more ... ]

The Beginning of the End of Data Retention: Via EFF.org Updates.

Last week, the German Constitutional Court issued a much-anticipated decision, striking down its data retention law as violating human rights. It was an important victory for Europe’s Freedom Not Fear movement, which was formed to oppose the EU Data Retention Directive. But it was also a reminder of the political work which remains to be done to defeat it.

When the European Union first passed the Data Retention Directive in 2006, despite a hard-fought campaign by European activists, it seemed like the beginning of the end for Internet privacy. The directive sought to require telecommunications service providers operating in Europe to retain a detailed history of each of their customers' activity for up to 2 years for possible use by law enforcement; including phone calls made and emails sent and received.

The response from European citizens was swift and outraged. Under the banner of Freedom Not Fear, mass protests were held in cities all across Europe and beyond. [ Read more ... ]

Classmates.com’s Facebook Mimicking Prompts Privacy Suit: Via Threat Level.

The long-lost pal locating site, Classmates.com, has been hit with a class action privacy lawsuit alleging the company violated the law when it decided to make user profiles public in order to compete with Facebook.

The suit alleges that Classmates.com duped its paying customers in late January when it sent them an e-mail saying that members would have to opt-out of new Facebook and iPhone apps to keep their data private. That’s a massive change to the site’s privacy policy and violates federal and Washington State privacy and fairness laws, according to the suit (.pdf) filed in a Washington State federal district court March 5.

Classmates.com has long kept user information non-public, and only paying members can read e-mails sent to them by others, see ‘old friends’ on a map, and see who has been looking at their profile. While the site has some 3 million paying users, it’s been eclipsed by sites like Facebook and MySpace, which have more members, more public profiles and don’t charge.

In order to keep up, Classmates.com decided to make “public Classmates content available to people using a variety of sites and devices, including Facebook and the iPhone,” according to a January 30 e-mail sent to users. [ Read more ... ]

Zeus botnet dealt a blow as ISP Troyak knocked out: Via Computerworld Cybercrime/Hacking News.

Internet service providers linked to the notorious Zeus botnet have been taken down, knocking out a third of the command-and-control servers that run the network of hacked machines.

Two ISPs, named Troyak and Group 3, were home to 90 of the 249 known Zeus command-and-control servers. Zeus Tracker, a Web site that tracks the botnet, noticed the steep drop in servers on Wednesday morning.

The Troyak network was itself an upstream provider to six networks, known to host a large number of cybercrime servers, including Web sites used in drive-by attacks and phishing sites, according to Kevin Stevens, a researcher with SecureWorks. "There's lots of Zeus and Fragus exploit kit [sites]," he said. Whoever was behind the takedown "just decided to knock out a large area of cybercirme, and this was probably one of the easiest ways to do it." [ Read more ... ]

Better U.S. Net Rules for Iran, Cuba and Syria: Via EFF.org Updates.

The Treasury's Office of Foreign Assets Control (OFAC) announced on Monday key amendments to the regulation of United States sanctions against Cuba, Iran and Sudan.

The new provisions give a blanket license for the export of "certain services and software incident to the exchange of personal communications over the Internet, such as instant messaging, chat and email, social networking, sharing of photos and movies, web browsing, and blogging, provided that such services are publicly available at no cost to the user."

This clarification is just what EFF called for last June, and will go a long way to allay concerns that online service providers based in the U.S. cannot offer their services in those countries. Previously, despite the well-known freedom-enhancing capabilities of services like Twitter and Facebook in repressive regimes like Iran, it was unclear whether those companies could even offer their services there without falling foul of the United State's broad prohibition on the export of goods and services to these regimes. [ Read more ... ]

European Parliament Rips Global IP Accord: Via Threat Level.

The European Parliament delivered a political blow to Hollywood and the Obama administration, voting Wednesday 663 to 13 in opposition to a proposed and secret intellectual property agreement being negotiated by the European Union, United States and a handful of others.

Wednesday’s developments concerning the Anti-Counterfeiting and Trade Agreement are substantial because the European Union’s 27 countries vastly outnumber the remaining countries negotiating the deal. They are Australia, Canada, Japan, South Korea, Mexico, Morocco, New Zealand, Singapore, Switzerland and the United States. Ambassador Ron Kirk, the top U.S. trade official, is spearheading the deal that began being crafted under the George W. Bush administration.

Kirk’s office declined comment.

To be sure, there is a dispute and heavy confusion concerning whether internet service providers under ACTA would be forced to punish customers deemed copyright scofflaws by reducing or eliminating service, according to a string of leaked documents. So Parliament members also agreed Wednesday to oppose the measure if it contains so-called “three strikes” or “graduated response” policies — regardless of whether that’s now in the text.

And because of the text’s secrecy, Parliament on Wednesday also demanded (.pdf) that the private agreement still under negotiation be publicly released. [ Read more ... ]

Mobile that allows bosses to snoop on staff developed: Via BBC News.

Researchers have produced a mobile phone that could be a boon for prying bosses wanting to keep tabs on the movements of their staff.

Japanese phone giant KDDI Corporation has developed technology that tracks even the tiniest movement of the user and beams the information back to HQ.

It works by analysing the movement of accelerometers, found in many handsets.

Activities such as walking, climbing stairs or even cleaning can be identified, the researchers say.

The company plans to sell the service to clients such as managers, foremen and employment agencies.

"Technically, I think this is an incredibly important innovation," says Philip Sugai, director of the mobile consumer lab at the International University of Japan. [ Read more ... ]

New "Smart Meters" for Energy Use Put Privacy at Risk: Via EFF.org Updates.

The ebb and flow of gas and electricity into your home contains surprisingly detailed information about your daily life. Energy usage data, measured moment by moment, allows the reconstruction of a household's activities: when people wake up, when they come home, when they go on vacation, and maybe even when they take a hot bath.

California's PG&E is currently in the process of installing "smart meters" that will collect this moment by moment data—750 to 3000 data points per month per household—for every energy customer in the state. These meters are aimed at helping consumers monitor and control their energy usage, but right now, the program lacks critical privacy protections.

That's why EFF and other privacy groups filed comments with the California Public Utilities Commission Tuesday, asking for the adoption of strong rules to protect the privacy and security of customers' energy-usage information. Without strong protections, this information can and will be repurposed by interested parties. It's not hard to imagine a divorce lawyer subpoenaing this information, an insurance company interpreting the data in a way that allows it to penalize customers, or criminals intercepting the information to plan a burglary. Marketing companies will also desperately want to access this data to get new intimate new insights into your family's day-to-day routine–not to mention the government, which wants to mine the data for law enforcement and other purposes. [ Read more ... ]

Supreme Court Takes ‘Informational Privacy’ Case: Via Threat Level.

The U.S. Supreme Court is agreeing to decide how much personal information the federal bureaucracy may acquire on its workers.

The justices, without comment, decided Monday to review a lower-court decision surrounding the concept of so-called “informational privacy.” The 9th U.S. Circuit Court of Appeals in San Francisco struck down intrusive background checks last year on nearly three dozen National Aeronautics and Space Administration contractors as being too invasive — calling them an unconstitutional, “broad inquisition.”

The checks sought information from any source surrounding their sex lives, finances and even drug use. The contractors being investigated were not privy to classified information. [ Read more ... ]

Major ISPs Help Fund BitTorrent User Tracking Research: Via Slashdot YRO.

An anonymous reader writes "I was scanning conference proceedings to come up with ideas for a reading group I run at my workplace, and I noticed an interesting paper from the new IEEE WIFS forensics conference. Researchers from the University of Colorado have published a technique for tracking BitTorrent users (PDF) by joining and actively probing torrent swarms using low-cost cloud computing services. They claim their methods allowed them to monitor the entire Pirate Bay torrent set for as little as $13/mo using EC2. But that's not even the interesting part. Their work appears to have been 'funded in part through gifts from PolyCipher' — a broadband ISP consortium. That's right; three major national ISPs funded this round of BitTorrent tracking research, not the MPAA/RIAA. Could this be evidence of ISP support for ACTA and a global three-strikes law?"

Read Original Article:(Via Slashdot.)

Worker ID Card at Center of Immigration Plan: Via Wall Street Journal.

Lawmakers working to craft a new comprehensive immigration bill have settled on a way to prevent employers from hiring illegal immigrants: a national biometric identification card all American workers would eventually be required to obtain.

Under the potentially controversial plan still taking shape in the Senate, all legal U.S. workers, including citizens and immigrants, would be issued an ID card with embedded information, such as fingerprints, to tie the card to the worker.

The ID card plan is one of several steps advocates of an immigration overhaul are taking to address concerns that have defeated similar bills in the past.

The uphill effort to pass a bill is being led by Sens. Chuck Schumer (D., N.Y.) and Lindsey Graham (R., S.C.), who plan to meet with President Barack Obama as soon as this week to update him on their work. An administration official said the White House had no position on the biometric card. [ Read more ... ]

Feds Move to Break Voting-Machine Monopoly: Via Threat Level.

Citing anti-competitive concerns, the Justice Department sued Election Systems & Software in order to force the company to divest itself of the voting machine assets it obtained from Premier Election Solutions last year.

The department’s Antitrust Division, along with nine state attorneys general, filed the civil antitrust lawsuit (.pdf) in U.S. District Court in Washington, D.C., charging that the acquisition threatened competition. The department proposed a settlement that, if accepted, would dissolve the merger and force ES&S to sell its Premier business to a buyer approved by the Justice Department.

“The proposed settlement (.pdf) will restore competition, provide a greater range of choices and create incentives to provide secure, accurate and reliable voting equipment systems now and in the future,” said Molly S. Boast, deputy assistant attorney general for the Antitrust Division in a statement. [ Read more ... ]

All Your Apps Are Belong to Apple: The iPhone Developer Program License Agreement: Via EFF.org Updates.

The entire family of devices built on the iPhone OS (iPhone, iPod Touch, iPad) have been designed to run only software that is approved by Apple—a major shift from the norms of the personal computer market. Software developers who want Apple's approval must first agree to the iPhone Developer Program License Agreement.

So today we're posting the "iPhone Developer Program License Agreement"—the contract that every developer who writes software for the iTunes App Store must "sign." Though more than 100,000 app developers have clicked "I agree," public copies of the agreement are scarce, perhaps thanks to the prohibition on making any "public statements regarding this Agreement, its terms and conditions, or the relationship of the parties without Apple's express prior written approval." But when we saw the NASA App for iPhone, we used the Freedom of Information Act (FOIA) to ask NASA for a copy, so that the general public could see what rules conrolled the technology they could use with their phones. NASA responded with the Rev. 3-17-09 version of the agreement (it has reportedly been revised somewhat since—please send us the current version if you are able). [ Read more ... ]

The Cell Phone Network: Law Enforcement's Surveillance Dream: Via Blog of Rights: Official Blog of the American Civil Liberties Union.

Yesterday, WNYC's On the Media (OTM) profiled our cell phone tracking case. In this case, the ACLU, Center for Democracy and Technology and the Electronic Frontier Foundation (EFF) asked the court to require that the government at least show probable cause before it can ask a wireless provider to fork over information about your whereabouts using GPS or cell tower tracking via your cell phone. We won in the district court (PDF); the government appealed that decision to the 3rd Circuit. [ Read more ... ]