NXTcomm: Customer data a concern for all

One week after a deadline for compliance to new rules regarding the use of customer proprietary network information, or CPNI, Wiley Rein conducted a session on the do’s and don’t of protecting customer privacy. According to the FCC, CPNI includes information personal to telecommunications customers, such as to whom, where, and when a customer places a call, as well as to which telecommunications services a customer subscribes and the extent to which those services are used. According to panelists, protecting that information is an unending chore. The panel also discussed emerging issues concerning confusion over jurisdiction between the FCC and the Federal Trade Commission of privacy, some telecom services and CALEA. John Hunter, senior legal advisor and chief of staff to FCC Commissioner Robert McDowell, spends more of his time with CPNI issues around how carriers can protect confidentiality of proprietary customer data. His office recently issued orders for additional safeguards against pretexters and their practices. Pretexters obtain personal and confidential records using false pretenses. “We need to work together with carriers because, generally, our desires are the same,” Hunter said. “When [Commissioner] McDowell looks at these issues, he tries to strike a balance to make sure customers are absolutely protected while protecting from over-reaching and putting costly obligations on carriers.” Scott Deutchman, wireline legal advisor to FCC Commissioner Michael Copps, said privacy is one of our fundamental rights, and it is constantly under attack. “And the activities pretexters engage in are constantly changing,” he said. We strive to stay ahead the best we can.” One of the thorniest issues regulators are grappling with is he “opt-in” or “opt-out” option. The FCC has come down in favor of the opt-out method of allowing the sharing of private information stored in the network in most cases. A rule was adopted in April requiring an opt-in to let carriers share data with marketing partners or affiliates. Panelists couldn’t agree on whether or not Paris Hilton’s call list getting out in some way other than her losing her phone would be considered a CPNI violation. CALEA is also a continually evolving requirement. Dan Bart, chairman of intellectual property rights for the Telecommunication Industry Association, said that in order to ensure law enforcement gets access to the data they need, service providers need to be aware of what qualifies for CALEA. “You have to make sure the data is subject to CALEA or not, and each time a new service is rolled out, service providers should check to see if it is subject to lawful intercept,” Bart said. “For example, when push-to-talk was on a citizen’s band there was no need for CALEA, but now that it is on the cellular network, there is.”