Embarq Corp. has revealed more details about its exploration of a program that tracked Internet subscribers' Web-surfing habits for advertising purposes, telling Congress that it performed the test on 26,000 customers in a Kansas town. Building on an earlier response to Rep. John Dingell, chairman of the House Energy and Commerce Committee, Embarq CEO Thomas Gerke wrote in a letter late Wednesday that his Overland Park, Kan.-based company chose Gardner, Kan., for its test because it was Embarq's smallest market and near qualified technicians. Gerke's letter also revealed that the company included a notice about potential uses of customer Internet history for advertising on an obscure part of its Web site, and that 15 people asked not to participate.

Internet service providers like Embarq have attracted the scrutiny of Congress and privacy advocates for technology that develops targeted ads based on what Web sites a particular subscriber visits. Those providers and the companies that make the programs, notably Silicon Valley-based NebuAd Inc., have defended the technology, saying it protects customer privacy and enhances the online experience by weeding out ads that don't matter to people.

In his letter, Gerke repeated the company's claims that the test didn't generate or use any information that would personally identify a specific customer.

"The only data during the test consisted of codes representing categories of interest that were derived anonymously via software," he wrote. "Once the test was complete, all such data that had not otherwise expired was destroyed."

Rep. Edward Markey, chairman of the Subcommittee on Telecommunications and the Internet, wrote the original letter questioning Embarq over the test, asking how customers were told about the test and whether they could avoid participating.

Gerke said the company posted a two-paragraph notice about the potential use of anonymous surfing habits for advertising purposes on its Web site in a section describing its privacy policy. The policy is reached through a small link at the bottom of the company's Web page.

To keep from having their Internet history analyzed, subscribers had to click a link in the privacy policy. Gerke said he thought that was sufficient notice.

"Embarq followed the prevailing industry practices of the most similar business model, that of online advertising networks, which also collect anonymous information across multiple unrelated Web sites and use it to serve personalized display advertisements, using this same mechanism for providing notice and choice," he wrote.

Gerke also said that the company didn't plan to test the program again or expand its use throughout its markets in 18 states "until such time as privacy concerns have been addressed."

Markey said in an e-mail that he was glad Embarq had provided more information. However, he added, "I am still troubled by the company's failure to directly inform their consumers of the consumer data gathering test and the notion that an 'opt-out' option is a sufficient standard for such sweeping data gathering."

NebuAd has said several Internet service providers have explored its advertising technology. One large carrier, however, Charter Communications Inc. said in June it would drop plans to take part.

Written By DAVID TWIDDY

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