“But I don’t have anything to hide”

This is the common response of many ordinary people when the discussion of (especially) government surveillance programs comes up. And they’re right, up to a point. In a perfect world, innocent people have nothing to fear from government.

The bigger problem, in fact, comes from the data collected and the models built by multinational businesses. Everyone has something to hide from them: the bottom line prices we are willing to pay.

We have not yet quite reached the world of differential pricing. We’ve become accustomed to the idea that the person sitting next to us on a plane may have paid (much) less for the identical travel experience, but we haven’t quite become reconciled to the idea that an online retailer might be charging us more for the same product than they charge other people, let alone that the chocolate bar at the corner store might be more expensive for us. If anything, we’re inclined to think that an organisation that has lots of data about us and has built a detailed model of us might give us a better price.

But it doesn’t require too much prescience to see that this isn’t always going to be the case. The seller’s slogan has always been “all the market can bear”.

Any commercial organization, under the name of customer relationship management, is building a model of your predicted net future value. Their actions towards you are driven by how large this is. Any benefits and discounts you get now are based on the expectation that, over the long haul, they will reap the converse benefits and more. It’s inherently an adversarial relationship.

Now think about the impact of data collection and modelling, especially with the realization that everything collected is there for ever. There’s no possibility of an economic fresh start, no bankruptcy of models that will wipe the slate clean and let you start again.

Negotiation relies on the property that each party holds back their actual bottom line. In a world where your bottom line is probably better known to the entity you’re negotiating with than it is to you, can you ever win? Or even win-win? Now tell me that you have nothing to hide.

[And, in the ongoing discussion of post-Snowden government surveillance, there’s still this enormous blind spot about the fact that multinational businesses collect electronic communication, content and metadata; location; every action on portable devices and some laptops; complete browsing and search histories; and audio around any of these devices. And they’re processing it all extremely hard.]

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