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The Channel Wire
June 25, 2008

Cable company Charter Communications is suspending a pilot advertising program that would enable advertisers to make targeted ads for consumers based on people's Web searches.

U.S. government representatives attacked the program over privacy issues.

"Given the serious privacy concerns raised by the sophisticated ad-serving technology Charter Communications planned to test market, I am pleased to hear that the company has decided to delay implementation of this program," Rep. Ed Markey, D-Mass., said in a statement Wednesday. Markey chairs the U.S. House of Representatives' subcommittee on telecommunications and the Internet.

Markey also suggested other companies planning similar advertising programs should hold up until the privacy concerns raised can be addressed. Cable television companies, which also generally provide cable Internet access, are able to compile large amounts of data on customers' Web searches, Reuters reported.

Before attempting to implement the program, Charter conducted consumer focus groups to determine how consumers would respond to the program, Charter said in a statement to Reuters Wednesday.

"However, some of our customers have presented questions about this service as well as suggested improvements," Charter said. "We will continue to take a thoughtful, deliberate approach with the goal to ultimately structure an advertising service that enhances the Internet experience for our customers and addresses questions and concern they've raised."

Posted by Caitlin Moriarity at 6:28 PM
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