what is the strength of the assumptions of the commerce report and the ftc report? it was an opportunity to do detailed canvassing to assemble what we know about practices of a comprehensive way of the a future academic that this canvassing would have been a good way to put the report together. that opportunity was not take in here. it replies -- relies heavily not only observation of our own experience going back through 1970 the fair credit reporting act but also workshops upper informative. a key question that arises is with respect to building building, exactly what do these do we expect to take a step by step? how much will this cost? is worth bearing but the report does not say at a great deal about what we think the specific steps may be in the costs associated and as best we know them now on the part of consumers, what do they want? with respect to what data? there is a body of information about this but in neither report to ic that body of reformation brought to bear 1/8 precise way and what is the feasibility of different techniques for the do not track pro

the bureau can reach some of the players that the ftc and the states cannot. in particular, large, federally chartered banks. with respect to the other arenas in which scammers work, the ftc maintains its entire enforcement jurisdiction. in addition, dodd-frank gives enhanced rulemaking authority with regard to automobile dealerships. you are seeing abuses in the auto financing industry that are like many we saw in the mortgage industry. things like undisclosed add ons and fees. the ftc recently announced that we will be taking a good hard look at those sorts of practices in order to protect the car- buying consumer. some in the business community are worried that in the many areas in which the bureau, the ftc, and the states will have overlapping jurisdiction the agencies will unfairly overwhelm industry players. while i understand these concerns, i believe everyone, consumers and producers, have a strong interest in ensuring a fair market play. business is playing by the rules do not -- the actions that the consumer protection agencies are not doing are shut

second, legislation should provide the ftc with the authority to enforce any baseline protections. the ftc explicit authority strengthens its role in consumer privacy protection and enforcement resulting in better protection for consumers. third, legislation should create a framework that provides incentives for the development of enforceable codes of conduct and continued innovation around privacy prexeses. these codes can allow industry and government to adapt rapidly to a fast evolving online market place, and one incentive we urge congress to consider is to give the ftc the authority to offer a safe harbor for companies that implement codes of conduct consistent with the baseline protections. this statutory framework designed to be flexible, keep the requirements well-tailored, and provide a basis for greater mobile in privacy laws. working together with congress, the ftc, executive office the president, and other stake holders, i am confident in our ability to provide consumers with meaningful privacy protections in the internet economy backed by enforcement that adapts to cha

the ftc retains its entire jurisdiction as to the state a.g's. in addition, there is enhanced rulemaking authority regarding automobile dealerships. several of you here today have told me that you have seen abuses in the auto-financing industry. not as many as we saw in the mortgage industry. premiums and undisclosed add-ons in fees. the ftc announced that we will be taking a good hard look at those sorts of practices in order to protect car buying consumers. some are worried that there are many areas in which the bureau and these agencies have overlapping jurisdiction. while i understand these concerns, i would like everyone, consumers and producers have strong interests to ensure a fair marketplace with ample choices, fair prices, and accurate information. business is playing by the world do not want skimmers to pick the pockets of consumers. the action of consumer protection agencies are not aimed at shutting down businesses. we are clearing the frauds out of the marketplace so that honest businesses plane by the rules can continue to serve th

third, consistent with the ftc's existing enforcement role, the green paper recommends strengtheningauthority to enforce these baseline privacy principles. we received roughly 100 comments on the green paper, and we are working hard to prepare a final document later this spring as a statement of administration policy in this area. as we have reviewed the comments and continue our discussions, i can report today that the administration now recommends that congress enact legislation to provide a firm legal foundation supporting specific aspects of this new policy. we specifically recommended that any legislation to provide a stronger statutory framework to protect consumer privacy should contain the three key elements. first, it should create baseline consumer data privacy protections, a [inaudible] as senator kerry refer to it, a consumer bill of rights. we support a comprehensive set up bases of this law. it would provide a clear privacy protections for personal data in commercial contacts in which existing privacy laws do not apply or provide adequate protection. second, legislation

the ftc retains its entire jurisdiction as to the state a.g's. in addition, there is enhanced rulemaking authority regarding automobile dealerships. several of you here today have told me that you have seen abuses in the auto-financing industry. not as many as we saw in the mortgage industry. premiums and undisclosed add-ons in fees. the ftc announced that we will be taking a good hard look at those sorts of practices in order to protect car buying consumers. some are worried that there are many areas in which the bureau and these agencies have overlapping jurisdiction. while i understand these concerns, i would like everyone, consumers and producers have strong interests to ensure a fair marketplace with ample choices, fair prices, and accurate information. business is playing by the world do not want skimmers to pick the pockets of consumers. the action of consumer protection agencies are not aimed at shutting down businesses. we are clearing the frauds out of the marketplace so that honest businesses plane by the rules can continue to serve th

second, legislation should provide the ftc with the authority to enforce any baseline protections.the ftc explicit authority strengthens its role in consumer privacy protection and enforcement resulting in better protection for consumers. third, legislation should create a framework that provides incentives for the development of enforceable codes of conduct and continued innovation around privacy prexeses. these codes can allow industry and government to adapt rapidly to a fast evolving online market place, and one incentive we urge congress to consider is to give the ftc the authority to offer a safe harbor for companies that implement codes of conduct consistent with the baseline protections. this statutory framework designed to be flexible, keep the requirements well-tailored, and provide a basis for greater mobile in privacy laws. working together with congress, the ftc, executive office the president, and other stake holders, i am confident in our ability to provide consumers with meaningful privacy protections in the internet economy backed by enforcement that adapts to chan

the ftc charged google with deceiving users. the company agreed to obtain consent before sharing information with third parties as a result of this. google pick aid winner in the contest for an experimental new high speed network and says kansas city, kansas will be the first stoi ghet new network. google says users on the new network would be able to access the internet more than 100 times faster than the current broad band connection in most american homes airk thousand cities, including several in the bay area made bids to become the test site for this network. >> bring it on. >> yes. >> and sandhya patel is looking at gorgeous weather today. >> keep it coming and it's fantastic. >> one more day of it. okay? there are changes coming up. today we had a half a dozen new records to talk about. here is a beautiful view from our high-definition camera. we want to just widen out the shot to show you golden gate bridge and this is beautiful outside. sunshine into tahoe area. here is our camera. you can see great weather out there for

what we have to wait and see is whether the ftc and the justice department clears the way for all this nearly $40 billion deal. t-mobile is owned currently by deutsch telecom. we have seen strange deals in the past, odd mergers, for instance, comcast and nbc were allowed to merge by the government. that was a weird one. we are owned now by that new company. it will take about a year for the t-mobile user. i suppose it will eventually mean you will get the apple iphone. but the merger is at least a year away, meaning if you really want the iphone, your t-mobile contract will probably expire before this merger is approved and you can move to at&t or verizon. if you just signed a two-year contract with t-mobile, obviously you didn't want an iphone to start with. the other big question will be what happens to this girl, the t-mobile girl, if they will keep running the ads critical of at&t and its disappointing cell phone service. you know, the pink dress one? it is kind of strange when you think about it, t-mobile says it is loyal to its customers making fun of at&t and then all of a sudde

the ftc accused google of using deceptive tactics and violating promises to customers when it launcheduzz social network last year. according to the terms of the settlement, google will also be required to give users a clear and prominent notice and obtain express consent prior to sharing their information with any third party. the internet search giant revealed that kansas city will serve as the test site for its new ultra high speed internet service. gag will says the new fiber for communities service will be 100 times faster than most broadband. the announcement came inside a high school gym. google says kansas city offered the most efficient building opportunities. >>> in news of the world tonight in syria, the president expected to announce major reforms in a speech to his people today. instead he took a hard-line and blamed the deadly anti- government protests on a foreign conspiracy. one analyst said it shows he is out of touch with his people. hours later, people took to the streets and more demonstrations are expected. >>> in mexico, the mayor of the town of garcia survived a

the ftc accused google of using deceptive tactics and violating promises to customers when it launched its buzz social network last year. according to the terms of the settlement, google will also be required to give users a clear and prominent notice and obtain express consent prior to sharing their information with any third party. the internet search giant revealed that kansas city will serve as the test site for its new ultra high speed internet service. gag will says the new fiber for communities service will be 100 times faster than most broadband. the announcement came inside a high school gym. google says kansas city offered the most efficient building opportunities. >>> in news of the world tonight in syria, the president expected to announce major reforms in a speech to his people today. instead he took a hard-line and blamed the deadly anti- government protests on a foreign conspiracy. one analyst said it shows he is out of touch with his people. hours later, people took to the streets and more demonstrations are expected. >>> in mexico, the mayor of the town of garcia survi

google got into trouble with the ftc when it revealed users personal contacts through the google buzz program, but the settlement is going to cover all of google's businesses. this is very unusual for a silicon valley company. google essentially now has a federal babysitter. a private agency that takes care of it. but 20 years of supervision for google. >> thank you, scott. >>> 6:27 right now. teachers are doing what they can to help a local school district's budget problems. >>> and it will be hot and dry today, but some people are still feeling the effects of last week's rain. >>> good morning, i'm christie smith live in oakland. an overnight house fire still active at this hour. i'll tell you why arson investigators are here along with pg&e. thmingery is co ungp. ♪ let's see you fly now! [ laughs ] look, more frequent flyer red tape. not on my watch. let that family fly! [ tires screech ] i just wanted to use miles to take my family on vacation, but -- let me guess -- restrictions through the roof. that's right. not anymore. rapid rewards has your back. [ male announcer ] join rapi

about those things and taking it back to the policy question making sure that as we do things with the ftcand make policy decisions now, we don't lock things down and constrain the technologies because as we develop new capabilities, we won't be able to deploy them and use them to take advantage of future efficiencies that we can't necessarily do now. that's one thing with access, and the other thing is a comes back to is usability. there's been a couple references to the nemple people with apps which is around 36% and the number of people who use them is 24%. [laughter] you know, these are apps which everybody sort of holds up as the pinnacle of use, and even then we haven't gotten it. it's back to the class of people who are cautious, and i think we want to be thinking at the same time as developing the technology capabilities what it means to use the technology, and that goes back to the working on your behalf. we're thinking about the tasks we want to do, not how we want to tell the computer to do the tasks, but just making a decision about what we want and having the technology make i

i want to emphasize companies will be held accountable for complying with the principles just as the ftc recommended. all of us and advertising have a strong incentive to maintain accountability for the consumer trust. the principals or enforceable through programs administered by the marketing association and counsel of the better business bureau. these organizations have longstanding effective respective compliance programs leveraging to cover the principles. any company that claims to comply but fails to do so could face ftc enforcement for deceptive practices the program -- progress is an exciting the work continues. one of the major benefits of the industry's self regulation is ability to respond quickly to changes to technology and business practices. but simple, recently some policymakers raised concerns that the the clich for advertising purposes could be used as the basis for employment to help insurance. i want to emphasize these are hypothetical concerns that do not reflect actual business practice but nevertheless industry is stepping forward to address these concerns and exp

the sec and ftc. i will be happy to arrange that. >> the growth illustrates that federal regulators had failed to keep up with market innovation and development. regulation could not keep up with innovation and dynamic action taking place in the markets. can you ensure that dodd-frank and the regulations will keep pace with the innovations in the financial markets? >> it is a good question. what it does is give us the tools to do that. we have to implement them. previously, we did not have a system where we could look at risk across our entire system. we regulated banks and had regulation of other entities. we have an entire shuttle banking system developed and we had all this risk being taken on by firms that were not subject to regulation. aig is a classic example. there was no federal regulation of daiichi and it engaged in derivatives that were destructive. we have wound that down and there is the reason they will repay the government every dollar we gave them. >> we heard testimony earlier and one

i think the work the ftc's -- fdic is doing on living wills and plans for financial institutions to wind down their business of probably will also make a very big difference and then of course the capital requirements. >> just a final question on this subject. are you confident -- we talked about the problem essentially with resources and the dangers that would ensue if your budgets were cut or your budget was cut, but are you confident that the legislative action that was taken with dodd-frank is sufficient or are there things we need to do to make sure we don't have the situation recurred as it did two years ago? >> i think it makes large drives toward filling the gaps toward the regulatory regime. i will say that one of my concerns about the budget is that we don't have the capacity to operationalize the rules that we are putting into place so getting swap market urges event registered in the swap data analyzed in the market surveillance taking care of our things we will have to put off but i think it is incumbent upon all of us has regulators to see these markets close up to continue

consideration is always given to the ftc because it ought to be a place where rule making authority andcivil enforcement authority, congressional participation where lobbying regulation could work, but it's been a dysfunctional agency and so the task force proposed the civil division of the department of justice to have that authority. those were the recommendations for those of you interested in following it. comments and suggestions and criticisms are being invited by the aba now. if you want to send them to me, that's fine. i can refer them to the task force and counsel of administrative law section, and it won't be until august until there's action on the house of delegates to approve or not these recommendations. thank you. >> thank you, tom. there are a couple chairs over on the far side of the room if you wish to try to wander over there, if not, make yourselves as comfortable as you can. we heard reference to a couple different reports. the sunlight foundation didn't mention this, but i'm sure they will. they are working reform legislation, the ada task force report, and put for

greenstein, in looking at the question of whether the ftc should have ruled -- fcc should have rules to protect the internet, my staff reached out to economists. they shared the common belief in competitive markets. all of them suggested unnecessary regulation can undermine the efficient markets. there is also a consensus around the idea that competition in the market for broadband internet access services is limited. most said the lack of competition may be fcc's open internet rules all appropriate. do you agree jim? >> yes, i do. accessing the internet goes back to the founding of the internet. there has always been a question of who can use it and who has access to the transport level. it goes back to when the internet was privatized. they allow for multiple users. in the terms of economics, there has always been a question of who can use it. it has always operated as a network where every user and supplier does not have to ask permission to use it. >> and that leads to growth and innovation. >> in entrepreneurs at harvard. [laughter] >> i have heard of one. i saw the movie. >> i a

the program. second is looking at ftc process and reform. chairman genachowski has put in some reforms and i'm not picking on this commission. i think over time, there are issues that come to the floor. there are processes that people have had some criticism about, how rulemaking has moved forward at the commission, and surprising commissioners at the changes late at night kind of what congress was doing for a while and the former gop transition we tried to change that in a row. the fact that no two commissioners can talk to each other about a policy issue is an issue they have raised with us and there are members of both sides saying maybe that is something we have to look at so they can actually talk to each other. and then of course there are issues related to the universal service fund and as you know the federal communications system is working on some proposals they are there on universal service reform. intercarrier compensation and those technical situations and we have members on the subcommittee that have an interest in that. spectr

the sec and ftc. i will be happy to arrange that. >> the growth illustrates that federal regulators had failed to keep up with market innovation and development. regulation could not keep up with innovation and dynamic action taking place in the markets. can you ensure that dodd-frank and the regulations will keep pace with the innovations in the financial markets? >> it is a good question. what it does is give us the tools to do that. we have to implement them. previously, we did not have a system where we could look at risk across our entire system. we regulated banks and had regulation of other entities. we have an entire shuttle banking system developed and we had all this risk being taken on by firms that were not subject to regulation. aig is a classic example. there was no federal regulation of daiichi and it engaged in derivatives that were destructive. we have wound that down and there is the reason they will repay the government every dollar we gave them. >> we heard testimony earlier and one