Qwest Scraps Plans For Internal Customer Data Sharing

Posted on by Chief Marketer Staff

Qwest Communications has canceled plans that would have had its numerous divisions share the private account information of their customers with each other for marketing purposes.

Besides the name, address and telephone number of its customers, the information included type of service, the technical configuration of those services, how and when they are used and billing data.

The data-swapping program was to have begun around March 29. The Helena, MT-based company told its 12 million customers about the plan through inserts in their monthly billing statements in December and earlier this month.

Tuesday, in the face of rising customer opposition, the company said it would put the plan on hold until after the Federal Communications Commission completes a review of its 1999 information sharing rules later this year. The review, part of the agency’s ongoing program of rule updating, began late last year.

“When many of our customers tell us that they’re concerned or don’t understand what we’re doing, it’s time to stop the process and make a change,” said CEO Joseph P. Nacchio in a statement.

So far there has been no indication from the FCC when or if it will propose a change in the rule to limit what information telecommunications companies can share internally and externally for marketing purposes.

While the Direct Marketing Association opposes any change to the current rule through which consumers can opt out of having their personal information shared, the attorneys general of 39 states and a number of consumer and privacy groups want to see the opt-out rule replaced with a mandatory opt-in provision.

Qwest claims to be the first company in the industry to voluntarily stop sharing customer information within its divisions. It does not provide that data to other companies, but it admitted that many of its customers objected to the internal data-sharing plan.

Qwest Scraps Plans For Internal Customer Data Sharing

Posted on by Chief Marketer Staff

Qwest Communications has canceled plans that would have had its numerous divisions share the private account information of their customers with each other for marketing purposes.

Besides the name, address and telephone number of its customers, the information included type of service, the technical configuration of those services, how and when they are used and billing data.

The data-swapping program was to have begun around March 29. The Helena, MT-based company told its 12 million customers about the plan through inserts in their monthly billing statements in December and earlier this month.

Tuesday, in the face of rising customer opposition, the company said it would put the plan on hold until after the Federal Communications Commission completes a review of its 1999 information sharing rules later this year. The review, part of the agency’s ongoing program of rule updating, began late last year.

“When many of our customers tell us that they’re concerned or don’t understand what we’re doing, it’s time to stop the process and make a change,” said CEO Joseph P. Nacchio in a statement.

So far there has been no indication from the FCC when or if it will propose a change in the rule to limit what information telecommunications companies can share internally and externally for marketing purposes.

While the Direct Marketing Association opposes any change to the current rule through which consumers can opt out of having their personal information shared, the attorneys general of 39 states and a number of consumer and privacy groups want to see the opt-out rule replaced with a mandatory opt-in provision.

Qwest claims to be the first company in the industry to voluntarily stop sharing customer information within its divisions. It does not provide that data to other companies, but it admitted that many of its customers objected to the internal data-sharing plan.

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