FTC investigating DoubleClick's data-collection practices

By Patricia Jacobus, CNET News.com, CNET.com
Thursday, February 17, 2000 04:30 AM
Trading for DoubleClick came to a halt today as the online advertising agency acknowledged it was the subject of a Federal Trade Commission inquiry concerning the practice of collecting consumer information.

In a recent Securities and Exchange Commission filing, DoubleClick executives said they are defendants in several pending class-action lawsuits alleging, among other things, that the company unlawfully compiled dossiers of Internet consumers.

Company executives could not be reached for comment, and officials at the FTC declined to discuss the situation.

Privacy groups have long held that DoubleClick's policy of tracking an individual's shopping and Web surfing habits for the purpose of better targeting advertisements is a serious violation of people's privacy. Last week, The Electronic Privacy Information Center (EPIC) filed a complaint with the FTC charging that DoubleClick engaged in "unfair and deceptive trade practices."

(More details to follow.)


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