The Impact of the NSA on the Big Data Market—and Global Communications


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This briefing presents what may be the only analysis to date that encompasses the full range of the NSA's activities with regard to obtaining and analyzing data. It will analyze the issues and impacts resulting from the NSA's actions, both on the populace at large and specifically on Big Data.

You should not attend unless you:

- Use a cellphone, or
- Use the Web, or
- Use mobile apps and games such as Google Maps and Angry Birds, or
- Use a credit card.

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The Impact of the NSA on the Big Data Market—and Global Communications

  1. 1. Stratecast CONFIDENTIAL: The Impact of the NSA on the Big Data Market— and Global Communications Stratecast CONFIDENTIAL: The Impact of the NSA on the Big Data Market— and Global Communications
  2. 2. 6 Key Findings The NSA has access to: Detailed information about much of the electronic communication in the U.S. Most U.S. credit card transactions User/usage data from popular mobile phone applications, including Angry Birds NSA gains access through: Data collection agreements Electronic software and system back doors Its own ability to troll communications highways and collect data at will NSA claims to simply be interested in, and collecting, metadata… yet NSA is hard at work cracking the code of: Secure Sockets Layer (SSL), which keeps online communications and transactions (content) hidden from prying eyes Advanced Encryption Standard (AES), an encryption algorithm for securing sensitive but unclassified material by U.S. government agencies 2
  3. 3. 6 Key Findings 3 NSA is far from the only entity that appears to be trampling on personal privacy in pursuit of information it believes it needs to achieve its ends Private sector, too Obtaining personal user data through questionable means, deploying it in questionable ways Privacy is already threatened…but NSA is accelerating. Impacts: Loss of privacy degrades quality of life Since electronic communications are the lifeblood of commerce, may have a chilling effect on U.S. economy Current developments offer hope of a solution: Harvard: Differential Privacy – leveraging common privacy issues across sectors to develop software-driven Big Data solutions U.S. Senate crafting legislation to limit NSA’s data collection mandate UPDATE 28 July: Sen. Patrick Leahy (D-VT) introduces bill
  4. 4. When You Communicate Electronically in the U.S., Are You Handing Your Data to the NSA? Quite Possibly: YES 4 Mobile apps and games
  5. 5. 5 “The NSA: It’s Not Just for Metadata Anymore” This was crux of controversy around former NSA contractor Edward Snowden In 2013 Snowden leaked information to the media re: NSA pursuing not just metadata but CONTENT NSA wants access to – Legal documents – Confidential diplomatic and personal communications – Stock transactions – More…
  6. 6. Having Said That…You Wanna Talk PRIVACY? Ok… 6 Reminds me of “I’M QUITTING FACEBOOK” privacy craze Facebook collecting/analyzing every cat picture or food photo, “TGIF” or “I need coffee” post to: – Target FB users with ads – Personalize ad messages “Horrors”…“Oh, the humanity” But…is FB the only one? Hmmm…
  7. 7. Every Web site. EVERY. Web. Site Google | the bad: – Consolidated privacy – Google Maps address data to YouTube or Chrome advertisers? Google | the good: – Some competitors provide audience PII to advertisers; Google doesn’t – Google took steps to keep Gmail secure from prying eyes (NSA or whoever); users can no longer disable https:// connection 7 “Who (Else) Could It Possibly BE…Oh, I Don’t Know…EVERYONE?”
  8. 8. Retail Analytics
  9. 9. Retail Analytics Bears a Striking Resemblance to Online Analytics 9 Retail Analytics: SHOPPERS How many mobile devices pass by a store, and how many enter? How many total shoppers are in a store, both on average and at specific times? How many visit more than once, and how often do they visit? How much time do they spend per visit, and what do they do? Which purchases occur when a given mobile device passes through a store checkout? Online Analytics: SITE VISITORS How many visitors enter a site, from which referring pages? How much traffic is a Web site receiving? What are its busy and quiet hours? How many unique site visitors? What is their visit frequency? What is their visit duration and level of engagement? How many conversions is the site achieving, with which (and which types of) visitors?
  10. 10. Retail Analytics is Touching Off Privacy Concerns 10 By triangulating MAC addresses against point of sale (POS) data, retailers can find out exactly who shoppers are Even if users/shoppers do remain anonymous, as providers claim… – Retail analytics can help retailers develop extremely detailed shopper profiles – This can support highly intrusive marketing behavior Functions similarly to “cookies” on the Web: allows commercial interests to instantly access personally identifiable information (PII) about shoppers. Functions similarly to “cookies” on the Web: allows commercial interests to instantly access personally identifiable information (PII) about shoppers.
  11. 11. Having Said All THAT…NSA Actions Are Accelerating Loss of Privacy, May Have Chilling Effect on Commerce 11 Much of the new unstructured and semi-structured data that necessitated need to manage “Big Data”—online and mobile—now under “eye” of NSA As Americans become more aware of NSA’s presence in their lives—on their smartphones—it is bound to have a chilling effect on – The Big Data market – Industries that depend on Big Data (read: ALL sectors) NSA may not simply be preventing security threats to the U.S.; it could also – Stunt the growth of the Big Data market – Hurt the U.S. economy…and have a domino effect on global markets “PUBLIC-PRIVATE PARTNERSHIP” …to obtain personal data
  12. 12. SOLUTIONS ? 12
  13. 13. Differential Privacy May Hold Answers to Keeping the Peace while Preserving Privacy 13 Context Tension between: National, regional, local security NSA and other law enforcement agencies trying to maintain government sovereignty, public safety and security • Rights of citizens to privacy of actions and communications • Protection of citizens against warrantless surveillance and search Consumer privacy Retail/e-tail and other commercial interests seeking to provide better, more personalized services • Right of consumers to shop online and in bricks-and-mortar stores unfettered by privacy concerns • Expectation that if data is collected it will be used only by retailer/e-tailer—and only directly in connection with offering better products and services; not mined for other purposes or sold to other businesses Research in health, social science, economics Desire of researchers and institutions to gather data from research subjects and government or corporate data sets to obtain highest quality research results Rights of research subjects and private organizations to privacy from intrusion into their lives and work by researchers
  14. 14. Software-based Privacy Solution Emerging at Harvard Center for Research on Computation & Society at Harvard University – Exploring differential privacy (+ other computational, statistical, legal, policy approaches to privacy) – Building software-based solution What the Center is learning could have a positive impact on privacy in other domains, including NSA Social science research – Excellent test bed for making Big Data analysis and privacy coexist – Takes on two key challenges to using Big Data in ANY sector: 14 || Difficulty researchers find in trying to share data without compromising privacy || Ease of identifying individuals (PII) in supposedly anonymized data sets
  15. 15. USA Freedom Act Would Limit NSA’s “Data Powers” 29 July | Senator Patrick Leahy (D-Vermont) introduced USA Freedom Act that would ban U.S. government's bulk collection of phone records and Web data: BULKING DOWN | Would prohibit government from bulk searches to collect all information from a given service provider, region, city, or area code—all of which are currently authorized by the USA Patriot Act SNOWDEN | His revelations prompted President Obama to ask Congress to rein in NSA’s bulk collection and storage of U.S. phone records FISC/FISA | Would reform the fountain from which the NSA’s powers have flowed: Foreign Intelligence Surveillance Court REPORTING | Would require NSA to report number of individuals whose data it has collected—and give private sector companies four ways to tell the public how many NSA information requests they’ve received WHEELS OF JUSTICE TURN…SLOWLY – U.S. House of Representatives passed its version in May – U.S. Senate will take up action on the legislation… after its five-week Summer Recess 15
  16. 16. Stratecast The Last Word The right to personal privacy is seriously overrated—or at least that would be a logical conclusion if the NSA is the barometer. Logically..or perhaps chilingly…the desire to obtain more information from a population than that population is comfortable with, and in ways that may ultimately prove harmful to those who are the subjects of the data-gathering, is rampant in the private sector, too. Stratecast asserts that all is not lost. – USA Freedom Act – Initiatives in private sector and academia Support things like a healthier population—while ensuring that things like the U.S. Constitution are still breathing, too. The various factions had better join forces on a solution, FAST. – Placing all relevant communications in the U.S. on a dashboard for at-a-glance monitoring creates rapid takeover…”and the U.S. was worried about wirinng up the country with telecom gear from Huawei?” – NSA could be hurting the economy of the nation it is sworn to protect 16
  18. 18. Quantifying the Global BDA Market 18
  19. 19. Big Data and Analytics Market at a Glance 19
  20. 20. Stratecast analyzes the Big Data and analytics market, publishes reports, and provides consulting services
  21. 21. 21 Functional Expertise Helps companies achieve their goals and dreams through competitive intelligence, business development, sales, and product marketing & management Has conceived, named, and launched 20 products and companies including Stratecast 50+ personal branded Web venues; thousands of Google, Bing, and Yahoo! search results Industry Expertise Big Data, analytics, and business intelligence (BI) incorporating these component areas: - Big Data core: platforms, solutions, and services - Online analytics and marketing including site, social, mobile, and video - Customer experience analytics (CEA), with key area of focus in telecom: video QoE - Mobile commerce and retail analytics Operations/business support systems (OSS/BSS) | Cloud | Enterprise IT management Career Highlights • Research Director at global research & consulting firm Gartner (NYSE: IT): built and led at that time world’s #1 OSS/BSS/SI research & consulting service • Director Strategic Marketing at ADC Telecommunications (now TE Connectivity): - Helped put $10M OSS vendor CommTech on map; led to $185.5M acquisition by ADC - Launched FastFlow ASP™: first ASP-hosted telecom software and forerunner of Cloud Education & Certifications • Master of Business Administration: University of Maryland University College (UMUC) • Bachelor of Arts, Communications, double minor Marketing/Journalism: Auburn University Cloud University Certified Professional: Rackspace Member Demystified’s Analysis Exchange • Radio Telecommunications: Federal Communications Commission (FCC) • Advertising Agency Management: Young & Rubicam | Accredited BingAds Professional Jeff Cotrupe Industry Director Big Data & Analytics (BDA) Stratecast | Frost & Sullivan Practice: Global Location: North America: Oceanside, CA, USA
  22. 22. JEFF COTRUPE Industry Director Big Data & Analytics (BDA) Stratecast | Frost & Sullivan +1 760 643 0921 JEFF COTRUPE Industry Director Big Data & Analytics (BDA) Stratecast | Frost & Sullivan +1 760 643 0921 LET’S CONTINUE OUR DIALOGUELET’S CONTINUE OUR DIALOGUE