The Creepy Reach of Data Brokers: How Your Life is Being Sold for Targeted Ads
The digital age has ushered in unprecedented connectivity and access to information, but it has also spawned a shadowy industry that profits from our personal data: data brokers. These companies collect, analyze, and sell information about individuals, often without their knowledge or consent, to advertisers and other businesses seeking to target specific demographics with tailored messaging. The extent of this data collection and its potential impact on individual privacy and autonomy are raising serious concerns.
Recently, the owner of a data brokerage business released a video showcasing the capabilities of his industry, painting a disturbing picture of the depth and breadth of data collection on billions of people. The video serves as a stark reminder of the invasive nature of data brokering and the urgent need for greater regulation and transparency in this largely unregulated sector.
The video in question was presented by Arthur Sadoun, CEO of Publicis Groupe, a French advertising conglomerate. Publicis recently acquired Lotame, another data and advertising firm, and intends to integrate it with its existing data brokerage business, Epsilon. Sadoun claimed that this integration would enable Publicis to deliver "personalized messaging at scale" to a staggering 91 percent of adult internet users worldwide.
To illustrate the extent of Publicis’s data collection capabilities, Sadoun introduced "Lola," a hypothetical young woman representing the average web user whose data Publicis possesses. Sadoun explained that Publicis knows Lola’s identity, what she watches, what she reads, and who she lives with. Furthermore, through "connected identity," they know who she follows on social media, what she buys online and offline, where she buys, when she buys, and, crucially, why she buys.
The level of detail goes even further. Publicis knows that Lola has two children who consume large amounts of premium fruit juice. They can track the rising price of that juice at her local retailer and observe that Lola’s income hasn’t kept pace with inflation. Using their CoreAI software, they can predict that Lola is likely to switch to a cheaper, private-label brand. Based on this prediction, the algorithm can automatically start displaying ads for those cheaper juice brands to Lola.
This example highlights the sophisticated predictive capabilities of data brokers and their ability to influence consumer behavior through targeted advertising. But the most unsettling aspect is that Lola is not an isolated case. According to Sadoun, Publicis can perform this type of in-depth analysis on 91 percent of adult internet users globally, representing nearly four billion people. This vast reach underscores the pervasive nature of data collection and its potential to shape our choices and behaviors in subtle yet profound ways.
Lena Cohen, a technologist with the Electronic Frontier Foundation (EFF), has expressed concerns about the lack of regulation and transparency in the data broker industry. She emphasizes that data brokers like Publicis gather "as much information as they can" about web users, operating in a largely unregulated and opaque environment. This lack of transparency means that individuals have little to no control over the data collected about them, who it is sold to, or how it is used.
Cohen points to the "power/knowledge asymmetry" between data brokers and individuals. Data brokers possess detailed information on billions of people, while individuals have limited knowledge about what data is collected, who has access to it, and what they are doing with it. This imbalance of power allows data brokers to operate with minimal accountability, potentially leading to privacy violations and other harms.
The absence of meaningful regulation is a major concern. While some state-level privacy laws, such as the California Consumer Privacy Law (CCPA), have been enacted, they often lack the resources and focus needed for effective enforcement. Government agencies often struggle to keep pace with the scale and complexity of data collection practices, leaving data brokers largely unchecked.
Cohen argues that online behavioral advertising, which relies on tracking individual browsing activity, should be illegal. She believes that advertisers should not have access to this type of personal data and that contextual advertising, which is based on the content of a webpage, should be sufficient. Banning behavioral advertising would remove the financial incentive for online actors to constantly surveil web users and share their data with brokers. This shift could significantly reduce the amount of personal data collected and shared, thereby protecting individual privacy and autonomy.
The case of Publicis and its CoreAI software serves as a wake-up call about the power and reach of data brokers. The ability to collect and analyze vast amounts of personal data, predict individual behavior, and deliver targeted advertising raises serious questions about privacy, autonomy, and the potential for manipulation. Stronger regulations, increased transparency, and a fundamental rethinking of the ethics of data collection and use are urgently needed to protect individuals from the pervasive gaze of data brokers.
It is imperative that individuals become more aware of the data collection practices of companies like Publicis and take steps to protect their privacy online. This includes using privacy-enhancing tools like VPNs and ad blockers, limiting the amount of personal information shared online, and advocating for stronger data privacy laws. Only through a combination of individual action and systemic reform can we hope to rein in the power of data brokers and protect our digital identities.
