Web tracking company NebuAd has been trying to make a business out of helping companies better target potential customers. But in doing so it’s become something of a target itself.

The company launched its product – which it claims protects consumer privacy while aiding advertisers – last November. Since then, the company says it has been working with small to national ISPs, for which it hasn’t provided names.

However, the company has reportedly lost a lot of business since regulators have begun looking move closely into the implications of this technologies. And now news comes that the company’s CEO, Robert Dykes, has left the company.

Is this just a blip on the deep packet inspection/targeted advertising front, or a signal that these kinds of businesses are not viable? Let me know your thoughts.

Related Articles:

NebuAd Struggles Continue as CEO Jumps Ship

Guest Blogger Kevin Walsh Asks: Will Google Weigh In?

Privacy vs. Profit: The Battle Over DPI-driven Advertising

DPI-Driven Internet Ads: Privacy vs. Profit?

TelcoTV: Industry Aims for Targeted Advertising

User Comments !

Paula,

As you might guess from my earlier post, I think these business models can be viable but require extreme caution. It may be necessary, for instance, that ISPs explicitly ask subscribers to opt in before offering up ads based on web surfing habits. A significant subset of consumers would probably be ok with it if they understood what was happening and were asked for permission. Even more would if they got something in return.

Interestingly, this sort of opt-in approach, or even a “permanent” opt-out, requires that someone keep track of that policy on behalf of the subscriber. Web sites can’t do that because they don’t know who you are. ISPs can because they do know you; you send them a check every month.

Kevin

Posted by: Kevin Walsh | September 05 2008 12:36:14