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Paying with Data: How Free Services Aren't Free

Paying with Data: How Free Services Aren't Free





Until privacy advocates start freaking out about Facebook privacy settings or default broadcast settings on Google Buzz, the general population doesn’t quite understand just how much data they are offering up in exchange for use of free services on the internet. Each field filled out, each click gets translated into data-driven product improvements or are used to serve up increasingly targeted advertisements. Chris Anderson has explored the paradigm of “free” economics, but the concept hasn’t been taken far enough to suggest that we think of each data point as an economic transaction occurring between the user and the service provider, even in these “free” services. This panel will explore the idea that perhaps all user inputs could be thought of as micro-transactions of data in order to help users better comprehend the burden of the data exposure implicit in those exchanges.



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    Paying with Data: How Free Services Aren't Free Paying with Data: How Free Services Aren't Free Presentation Transcript

    • PAYING WITH DATA:How Free Services on the Internet Are Not Free
    • Introductions
    • Web Ecology studies therelationship of the nature of data and the behavior of actors on the internet.
    • Core Questions‣ What is the current state of the data relationship between users and internet companies?‣ What models or frameworks might influence the way users think about that relationship?‣ How might those frameworks affect the way users share their data and interact with companies?
    • Context
    • Scale of the Data Relationship500 million 175 million 42+ productsactive users registered users Chrome, Gmail90 pieces of 95 million 11.1 billioncontent tweets per day searches increated each January 2011 inmonth by the USaverage user
    • Race to the Bottom:Free Services Economics‣ Storage‣ Bandwidth‣ Processing Power
    • Focus has been...‣ Data privacy‣ Data ownership‣ Data portability
    • ...Emerging Conversation‣ World Economic Forum: “Personal Data: The Emergence of a New Asset Class”‣ Frog Design: Terms and Conditions blog‣ Jaron Lanier: “We should pay for search.”‣ Personal data panels @ SXSW
    • ‣ “But as we use the Internet for “free,” we have to remember that if we’re not paying for something, we’re not the customer. We are in fact the product being sold — or, more specifically, our data is.” - Metafilter commenter
    • TextPersonal Data: The Emergence of a New Asset Class
    • #payingwithdataSara Marie Julia Sam ArvindWatson Angwin Yagan Narayanan@smwat @JuliaAngwin @random_walker@WebEcology @WhatTheyKnow @okcupid @DoNotTracksaramariewatson.com juliaangwin.com randomwalker.infowebecologyproject.org wsj.com/whattheyknow okcupid.com 33bits.org