Advertisers are increasingly monitoring people's online behavior and using the information collected to show people individually targeted advertisements. This phenomenon is called online behavioral ...advertising (OBA). Although advertisers can benefit from OBA, the practice also raises concerns about privacy. Therefore, OBA has received much attention from advertisers, consumers, policymakers, and scholars. Despite this attention, there is neither a strong definition of OBA nor a clear accumulation of empirical findings. This article defines OBA and provides an overview of the empirical findings by developing a framework that identifies and integrates all factors that can explain consumer responses toward OBA. The framework suggests that the outcomes of OBA are dependent on advertiser-controlled factors (e.g., the level of personalization) and consumer-controlled factors (e.g., knowledge and perceptions about OBA and individual characteristics). The article also overviews the theoretical positioning of OBA by placing the theories that are used to explain consumers' responses to OBA in our framework. Finally, we develop a research agenda and discuss implications for policymakers and advertisers.
Algorithmic decision-making and other types of artificial intelligence (AI) can be used to predict who will commit crime, who will be a good employee, who will default on a loan, etc. However, ...algorithmic decision-making can also threaten human rights, such as the right to non-discrimination. The paper evaluates current legal protection in Europe against discriminatory algorithmic decisions. The paper shows that non-discrimination law, in particular through the concept of indirect discrimination, prohibits many types of algorithmic discrimination. Data protection law could also help to defend people against discrimination. Proper enforcement of non-discrimination law and data protection law could help to protect people. However, the paper shows that both legal instruments have severe weaknesses when applied to artificial intelligence. The paper suggests how enforcement of current rules can be improved. The paper also explores whether additional rules are needed. The paper argues for sector-specific - rather than general - rules, and outlines an approach to regulate algorithmic decision-making.
Personally managing and protecting online privacy has become an essential part of everyday life. This research draws on the protection motivation theory (PMT) to investigate privacy protective ...behavior online. A two-wave panel study (N = 928) shows that (1) people rarely to occasionally protect their online privacy and (2) people most often delete cookies and browser history or decline cookies to protect their online privacy. In addition, (3) the perceived threat is high: People perceive the collection, usage, and sharing of personal information as a severe problem to which they are susceptible. The coping appraisal is mixed: Although people do have confidence in some protective measures, they have little confidence in their own efficacy to protect their online privacy. Moreover, privacy protective behavior is affected by perceived severity and response efficacy. These findings emphasize the relevance of the PMT in the context of privacy threats, and have important implications for regulators.
Should we worry about filter bubbles? Zuiderveen Borgesius, Frederik J; Trilling, Damian; Möller, Judith ...
Internet policy review,
03/2016, Letnik:
5, Številka:
1
Journal Article
Recenzirano
Odprti dostop
Some fear that personalised communication can lead to information cocoons or filter bubbles. For instance, a personalised news website could give more prominence to conservative or liberal media ...items, based on the (assumed) political interests of the user. As a result, users may encounter only a limited range of political ideas. We synthesise empirical research on the extent and effects of self-selected personalisation, where people actively choose which content they receive, and pre-selected personalisation, where algorithms personalise content for users without any deliberate user choice. We conclude that at present there is little empirical evidence that warrants any worries about filter bubbles.
Abstract
This article discusses the troubled relationship between contemporary advertising technology (adtech) systems, in particular systems of real-time bidding (RTB, also known as programmatic ...advertising) underpinning much behavioral targeting on the web and through mobile applications. This article analyzes the extent to which practices of RTB are compatible with the requirements regarding a legal basis for processing, transparency, and security in European data protection law.
We first introduce the technologies at play through explaining and analyzing the systems deployed online today. Following that, we turn to the law. Rather than analyze RTB against every provision of the General Data Protection Regulation (GDPR), we consider RTB in the context of the GDPR’s requirement of a legal basis for processing and the GDPR’s transparency and security requirements. We show, first, that the GDPR requires prior consent of the internet user for RTB, as other legal bases are not appropriate. Second, we show that it is difficult—and perhaps impossible—for website publishers and RTB companies to meet the GDPR’s transparency requirements. Third, RTB incentivizes insecure data processing. We conclude that, in concept and in practice, RTB is structurally difficult to reconcile with European data protection law. Therefore, intervention by regulators is necessary.
Online political microtargeting involves monitoring people’s online behaviour, and using the collected data, sometimes enriched with other data, to show people-targeted political advertisements. ...Online political microtargeting is widely used in the US; Europe may not be far behind. This paper maps microtargeting’s promises and threats to democracy. For example, microtargeting promises to optimise the match between the electorate’s concerns and political campaigns, and to boost campaign engagement and political participation. But online microtargeting could also threaten democracy. For instance, a political party could, misleadingly, present itself as a different one-issue party to different individuals. And data collection for microtargeting raises privacy concerns. We sketch possibilities for policymakers if they seek to regulate online political microtargeting. We discuss which measures would be possible, while complying with the right to freedom of expression under the European Convention on Human Rights.
This paper introduces the strategic approach to regulating personal data and the normative foundations of the European Union's General Data Protection Regulation ('GDPR'). We explain the genesis of ...the GDPR, which is best understood as an extension and refinement of existing requirements imposed by the 1995 Data Protection Directive; describe the GDPR's approach and provisions; and make predictions about the GDPR's implications. We also highlight where the GDPR takes a different approach than U.S. privacy law. The GDPR is the most consequential regulatory development in information policy in a generation. The GDPR brings personal data into a detailed regulatory regime, that will influence personal data usage worldwide. Understood properly, the GDPR encourages firms to develop information governance frameworks, to in-house data use, and to keep humans in the loop in decision making. Companies with direct relationships with consumers have strategic advantages under the GDPR, compared to third party advertising firms on the internet. To reach these objectives, the GDPR uses big sticks, structural elements that make proving violations easier, but only a few carrots. The GDPR will complicate and restrain some information-intensive business models. But the GDPR will also enable approaches previously impossible under less-protective approaches.
Online shops could offer each website customer a different price. Such personalized pricing can lead to advanced forms of price discrimination based on individual characteristics of consumers, which ...may be provided, obtained, or assumed. An online shop can recognize customers, for instance through cookies, and categorize them as price-sensitive or price-insensitive. Subsequently, it can charge (presumed) price-insensitive people higher prices. This paper explores personalized pricing from a legal and an economic perspective. From an economic perspective, there are valid arguments in favour of price discrimination, but its effect on total consumer welfare is ambiguous. Irrespectively, many people regard personalized pricing as unfair or manipulative. The paper analyses how this dislike of personalized pricing may be linked to economic analysis and to other norms or values. Next, the paper examines whether European data protection law applies to personalized pricing. Data protection law applies if personal data are processed, and this paper argues that that is generally the case when prices are personalized. Data protection law requires companies to be transparent about the purpose of personal data processing, which implies that they must inform customers if they personalize prices. Subsequently, consumers have to give consent. If enforced, data protection law could thereby play a significant role in mitigating any adverse effects of personalized pricing. It could help to unearth how prevalent personalized pricing is and how people respond to transparency about it.
In this paper, we examine how online political micro-targeting is regulated in Europe. While there are no specific rules on such micro-targeting, there are general rules that apply. We focus on three ...fields of law: data protection law, freedom of expression, and sector-specific rules for political advertising; for the latter we examine four countries. We argue that the rules in the General Data Protection Regulation (GDPR) are necessary, but not sufficient. We show that political advertising, including online political micro-targeting, is protected by the right to freedom of expression. That right is not absolute, however. From a European human rights perspective, it is possible for lawmakers to limit the possibilities for political advertising. Indeed, some countries ban TV advertising for political parties during elections.
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