Carrier IQ controversy prompts new disclosure bill

Following the Carrier IQ controversy over its data tracking software on mobile devices, new legislation is being proposed that would require both wireless carriers and mobile device manufacturers to disclose of any monitoring software. Rep. Ed Markey drafted the new mobile privacy bill, which would place the Federal Trade Commission in charge of making sure mobile companies comply.

The Mobile Device Privacy Act proposed by Markey would require companies to obtain customer consent in order to install monitoring software. Companies must also disclose if a device has the software installed, what information it collects and transmits, to whom it's being transmitted, and how the data is used.

However, the legislation is still in draft and not yet a formal bill. But should it make it into federal law, the FTC will have one year before requiring the disclosure from carriers and phone manufacturers, many of which have already dropped Carrier IQ amid the controversy.

[via Bloomberg]