SPYWARE

The Federal Trade Commission ("FTC") loosely defines "spyware" as software that "aids in gathering information about a person or organization without their knowledge and which may send such information to another entity without the consumer's consent, or asserts control over a computer without the consumer's knowledge." Examples of spyware include software that collects information about the use of the computer on which the software is installed, some of which may collect personally identifiable information ("PII"). When the computer is connected to the Internet, the software periodically relays the information back to the software manufacturer, a marketing company, or another third party. Another form of spyware--commonly called "adware" --traces a user's Web activity and causes advertisements to suddenly appear on the user's monitor--called "pop-up"--ads in response. Software programs that include spyware functionality may be pre-installed on a new computer, can be sold or provided for free on a disk (or other media), or downloaded from the Internet, often without the knowledge of the Internet user.

The greatest security and privacy challenges posed by spyware relate to technologies that are specifically intended to capture a user's personal information or take control of the computer for the purveyor's purposes without the knowledge or consent of the user. These include keystroke logging programs that capture a user's passwords, Social Security, or account numbers. This information can then be captured and redirected for criminal purposes including fraud, larceny, identity theft, or other cybercrimes. Perhaps even worse is the use of spyware that allows computer hackers to hijack a user's computer and turn it to their own purposes rendering the computer a "zombie" capable of being directed remotely to send spam, viruses, help hack other computers, or allow others access to engage in copyright piracy.

According to the FTC, a survey of broadband users released by the National CyberSecurity Alliance found that over 90 percent of consumers had some form of spyware on their computers, and most consumers were not aware of it. Spyware presents privacy, security, and functionality concerns for both Internet users and legitimate commercial activity on the Internet. It has created opportunities for types of illegal behavior that are often difficult to detect and even more difficult to prosecute under existing law. In addition, the proliferation of spyware threatens to undermine consumer confidence in the integrity and security of the Internet and stifle the enormous commercial and communications potential of the information superhighway.

(excerpted from the U.S. Congressional Reporting Service & Modified by AntiHubris.com)