April 26, 2024

Google Lets Wi-Fi Owners Opt Out of Registry

BERLIN — Google defused a confrontation with European privacy regulators by announcing on Tuesday that it would give the owners of Wi-Fi routers worldwide the option of removing their devices from a registry Google uses to locate cellphone users.

The change was made less than four months after European regulators warned that the unauthorized use of data sent by Wi-Fi routers violated European law. Google and other companies use the signals from Wi-Fi routers as navigational beacons, helping them pinpoint the locations of nearby cellphone users.

Google’s concession, while motivated by strict European privacy laws, will have an effect beyond the Continent because Google plans to offer the option worldwide, including in the United States.

In a blog post, Peter Fleischer, the Google global privacy counsel, said the Wi-Fi signals that the company used did not identify people.

“At the request of several European data protection authorities, we are building an opt-out service that will allow an access point owner to opt out from Google’s location services,” Mr. Fleischer wrote. “Once opted out, our services will not use that access point to determine users’ locations.” He said Google intended to introduce the opt-out system this fall.

The mobile business, especially in Europe, is becoming increasingly important to Google, which earns most of its money through advertising, as computing shifts to smartphones and tablet computers from desktop PCs.

Google makes the Android mobile operating system, No. 1 in the world in the second quarter with a 48 percent share of new cellphone shipments, according to Canalys, a research company in Reading, England. Last month, Google said it would buy the mobile phone business of Motorola for $12.5 billion.

Recently, Google took a more conciliatory approach in European countries like Germany and France, which had expressed strong objections to its data collection methods.

In Germany, Google last year gave consumers the option of excluding photos of their properties, apartments and businesses from its StreetView online map service before it went live last fall.

The controversy over Wi-Fi data collection flared again this year when officials in Germany and France began investigating Apple, the maker of the iPhone, after researchers uncovered files on the popular smartphone that routinely logged the location of users. Those locations were calculated in part using the location of Wi-Fi routers nearby.

In May, the privacy advisory panel to the European Commission said the unauthorized collection of the location data of individual cellphone users violated Europe’s privacy law, which forbids the commercial use of private data without the owner’s consent in advance.

Apple, which attributed the iPhone’s collection of geographic data to a software error, stopped the automatic collection of Wi-Fi data about iPhone users by fixing the software. The French privacy regulator, C.N.I.L., and privacy officials in Bavaria, the southern German state leading the investigation in Germany, dropped their investigations.

If many owners of Wi-Fi access points decided to opt out of Google’s database, it could make it harder for users of Android phones to get a fix on their locations, and thus limit Google’s ability to sell location-based advertising. But the phones can also determine their location using cell towers and satellites.

Article source: http://feeds.nytimes.com/click.phdo?i=e0863449691238eea96f56ad12ffb5dc

Google to Offer More Privacy for Owners of Wi-Fi Routers

BERLIN — Google on Tuesday defused a confrontation with European privacy regulators by announcing that it would give the owners of residential Wi-Fi routers around the world the option of removing their devices from a registry Google uses to locate cellphone users.

The change comes less than four months after European regulators warned that the unauthorized use of data sent by Wi-Fi routers, which can broadcast the location of cellphones and give the identity of their owners within their range, violated European law.

Google’s concession, while motivated by strict European privacy laws, will have an impact beyond the Continent’s borders because Google plans to offer the option around the world, including in the United States.

In a blog post, Peter Fleischer, the Google global privacy counsel, said the company only used Wi-Fi access points that did not identify people.

“At the request of several European data protection authorities, we are building an opt-out service that will allow an access point owner to opt out from Google’s location services,” Mr. Fleischer wrote. “Once opted out, our services will not use that access point to determine users’ locations.” He said Google intended to introduce the opt-out system this autumn.

The mobile business, especially in Europe, is becoming increasingly important to Google, which earns the bulk its money through advertising, as computing shifts from desktop PCs to smartphones and tablet computers.

Google makes the Android mobile operating system, No.1 in the world in the second quarter with a 48 percent share of all new cellphone shipments, according to Canalys, a research firm in Reading, England. Last month, Google said it would buy the mobile phone business of Motorola for $12.5 billion.

Of late, Google has taken a more conciliatory approach in European countries like Germany and France, which had previously expressed strong objections to its data-collection methods.

In Germany, Google last year gave consumers the option of excluding photos of their properties, apartments and businesses from Google’s StreetView online map service before it went live last autumn.

The controversy over Wi-Fi data collection flared again this year when officials in Germany and France began investigating Apple, the maker of the iPhone, after researchers uncovered files on the popular smartphone that routinely logged the location of users, which were calculated in part by the location of nearby Wi-Fi routers.

In May, the privacy advisory panel to the European Commission said the unauthorized collection of the location data of individual cellphone users violated Europe’s privacy law, which forbids the commercial use of private data without an owner’s prior consent.

Apple, which attributed the iPhone’s collection of geographic data to a software error, stopped the automatic collection of Wi-Fi data on iPhone users through a software fix. The French privacy regulator, C.N.I.L., and privacy officials in Bavaria, the southern German state leading the investigation in Germany, dropped their investigations.

While allowing Wi-Fi users to opt out of Google’s tracking system may limit its ability to sell location-based advertising, it will not prevent Google from using cell towers and satellites, two other common methods of finding a cellphone, to sell location-specific mobile ads.

Article source: http://feeds.nytimes.com/click.phdo?i=e0863449691238eea96f56ad12ffb5dc

DealBook: Google to Buy Zagat

Zagat's Website reviews the deal with Google.Zagat’s Website reviews the deal with Google.

12:32 p.m. | Updated Google has agreed to buy Zagat, the guide to restaurants around the country, in an effort by the search giant to expand its local offerings.

Terms of the transaction, including price, were not disclosed. Tim and Nina Zagat, the husband-and-wife team behind the company, said they planned to remain involved in the business as co-chairs.

“We couldn’t be happier to see our baby placed into such good hands and are looking forward to being Googlers in the years ahead,” the Zagats wrote in a letter posted on their company’s Web site.

In a blog post, Marissa Mayer, Google’s top executive for local and location services, wrote that Zagat would become the cornerstone for the search giant’s local offerings.

“Their iconic pocket-sized guides with paragraphs summarizing and ’snippeting’ sentiment were ‘mobile’ before ‘mobile’ involved electronics,” she wrote.

Google has been itching to gain a foothold in the local business market for several years, and on the company’s earnings call in July, Larry Page, its chief executive, said local was one of his top priorities as an emerging business. The prize is a piece of the $140 billion that small businesses spend on local advertising.

Known for its 30-point scale and its quote-laden reviews, Zagat has grown from a two-page typed list to a global empire with millions of loyal readers and reviewers happy to rave about their favorite restaurants and bars.

But the company has faced several challenges in recent years, notably a slew of Internet-based competitors that provide an alternate outlet for restaurant reviews. Zagat (pronounced zuh-GAHT) has responded by partnering with a number of online players, including Facebook, Foursquare and, yes, Google.

“There’s lots and lots of empirical data that reviews are very influential and powerful, more than anything but recommendations from friends,” said Greg Sterling, a senior analyst studying local businesses online at Opus Research. “And as Google is able to maintain its centrality in that online-offline relationship, including in mobile, then the advertisers show up because Google is the destination.”

A little over three years ago, Zagat put itself up for sale and hired Goldman Sachs as an adviser. It wrapped up that effort six months later after running into difficulties in the sales process.

In late 2009, Google tried to buy Yelp, Zagat’s main online competitor, for $500 million, but the deal fell apart. Last year, Google introduced Places, a Yelp-like service for listing local businesses and collecting consumer reviews. It has encouraged users to write reviews, but so far it has not gotten the same volume as competitors like Yelp. It also include reviews from Yelp and other sites, like TripAdvisor, in Places, but removed some of them after the sites complained.

With Zagat, Google gets a ready-built stockpile of reviews.

“Now they’ve found a huge cache of reviews, and now they’re really going to close the gap between them and their competitors,” Mr. Sterling said. “It’s a little bit of a consolation prize. They went after Yelp, which would have been a bigger prize for them for many reasons, including salespeople and a sexier brand. But this is a pretty strong acquisition.”

Google has also introduced daily deals for local businesses in various cities and Google Wallet, for making payments with cellphones and earning loyalty points at local businesses. When people search for items to buy on Google, it shows local businesses that carry the items, and it offers advertisers a new ad product called Boost for ads that show up when people search for local businesses.

Ms. Mayer had more to say about the deal on Twitter in verse form, writing:

Acquisition announcement haiku: Delightful deal done; Zagat and Google now one; foodies have more fun! http://t.co/T2gZ4yC #gogooglelocalThu Sep 08 15:28:19 via web

And more cheekily, Zagat scored the deal a perfect 30 on its Web site.

Zagat was advised by the Peter J. Solomon Company and Allen Company.

Article source: http://dealbook.nytimes.com/2011/09/08/google-to-buy-zagat/?partner=rss&emc=rss