How the government plans to protect your privacy from ISPs (FAQ) - CNET

Wheeler argues that consumers may have options with search engines or social networks, but often have little choice when it comes to the company providing access to those services.

To help consumers figure out what these new rules mean to them, we've put together this FAQ.

What will the FCC privacy rules do?

The new rules prohibit broadband providers from sharing your information, such as your name, location or online activity, with third parties without your consent. It's meant to provide the same kind of protection offered to telephone customers.

The rules would also require broadband and wireless providers to disclose in plain language how consumer data is collected, how it's shared with third parties and how it's used by outside firms. The plan also calls for broadband companies to strengthen security practices for customer data.

What does that mean for me?

Your broadband or wireless service provider will have to explicitly ask for your permission before any of your personal data can be shared with an advertiser. But those companies will still be able to use that information to send targeted advertising to you about their own services. If you're a Verizon FiOS TV customer, Verizon can still use your data to send you relevant advertisements about its wireless service.

What if I want those relevant ads or a cheaper ad-sponsored service?

Remember these requirements are about giving consumers choice. You can opt in to programs that offer that information to third parties. The difference is that the Inteet provider can't assume you are OK with this data being shared, and they have to give you a choice to say no.

For instance, you can pay AT&T $70 a month for an ad-sponsored version of its Gigapower Inteet service. For $100, you can remove the ads.

Will I still see creepy ads on Facebook about the shoes I just searched for on Zappos?

Probably. That's what upset a lot of critics. The rules only cover broadband and wireless service providers. But online companies, such as Facebook or Google, or device makers, such as Apple, are excluded from the rules. That means these companies are still able to collect data about your location and Inteet surfing habits and sell it to advertisers or other third parties.

Why aren't these other companies included in the new rules?

The FCC regulates phone, cable and wireless companies. It doesn't have the legal authority to regulate Inteet companies or device makers.

Are they subject to any privacy rules?

The Federal Trade Commission is the primary agency in charge of protecting online consumer privacy. It focuses on potentially unfair and deceptive activities like failing to inform consumers of how their privacy might be affected or changing their terms of service without notice.

Like the FCC's plan, the FTC requires companies to be open about what they're doing with your data. But its authority is more reactive than proactive. It steps in after a company has already deceived customers or mishandled customer data, typically issuing a fine for harming customers. The FCC is now outlining a more concrete set of rules.

Why now?