Secretive Entities: The Unseen Peril to Personal Data Security
Arjun Bhatnagar serves as Co-founder and CEO of AnonWeb, a business dedicated to restoring human values in the digital world by focusing on consumer privacy.
I'm continually reminded of the ease with which our personal information can become public as I work in this field. A recent instance involved a new team member from Canada. Initially, there was no online trace of her personal data, but within a fortnight of setting up payroll and accommodations, it became visible. This scenario highlights the increasing menace of data brokers.
These companies fuel their growth by gathering and buying data without regards for transparency or consent in their usage, sharing, and selling of personal information. As a collective business sector, we bear a significant responsibility in combating the issue head-on by acknowledging and addressing it, thereby safeguarding our employees and customers.
Privacy Concerns
Digital footprints of individuals are constantly monitored across platforms and devices, enabling data brokers to conglomerate and develop comprehensive digital identities. This pervasive surveillance gradually undermines privacy and exposes personal information to significant risk during large-scale data breaches.
The escalating number of data breaches is evident, with around 1,600 reported in the first half of 2024, representing a 14% rise from the same period in 2023, and over 1 billion sensitive data points leaked. The sources of these breaches have been healthcare, entertainment, payment, and telecom companies, which should ensure better security protocols and prioritize user data protection.
Counteracting Data Brokers
Both individuals and entities can take measures to combat data brokers:
1. Absolutely Necessary Information
Swing the balance towards sharing less by requesting minimal data, only what's needed to provide products or services, such as email and shipping addresses. Establishing a trend of asking for less information engenders trust among customers and fosters an intuitive comprehension of why particular data is being requested, with clear explanations any time confusion arises.
Businesses can ethically analyze aggregated, anonymized data patterns or offer opt-in surveys where users willingly share insights in exchange for improved services. Cloaked, for instance, supports client privacy by offering tools like alias emails, hidden phone numbers, and virtual identities, enabling users to only share data they're comfortable with.
2. Ensure Data Security
Develop robust security protocols to protect data internally and safeguard stakeholders from external threats or data brokers by adhering to established policies. At Cloaked, user data is encrypted client-side, which means only the user has the password access, and the platform boasts a zero-knowledge architecture, ensuring end-to-end encryption of all messages, passwords, and identities.
Businesses can adapt these measures by implementing:
• Strong Password Policies: Encourage customers to establish strong, unique passwords and offer password strength checks.
• Regular Software Updates: Keep all systems and tools updated to protect against vulnerabilities.
• Backups and Recovery Plans: Regularly back up data and implement recovery plans to minimize the impact of potential breaches or data loss.
3. Select Partners Wisely
Examine vendors' stance on data and opt for partners who respect and defend consumer data, rather than tending towards monetary gains by selling it to the highest bidder. To ensure partners adhere to data protection principles, thoroughly review their privacy policies and terms for clarity on data collection, storage, and sharing. Directly inquire about their security measures and data sharing practices with third parties. Opt against partners with unclear policies or unwillingness to guard customer data.
Promoting a Privacy-Centric Future
The rise of smart devices, IoT systems, and AI-driven technologies is generating data at an unprecedented rate. In turn, data brokers are employing increasingly aggressive tactics to exploit this information. Data brokers, aided by AI models, can swiftly collect and organize information from various sources.
Businesses can exploit this wealth of consumer data for targeted marketing strategies, appealing even to some individuals. However, this approach risks manipulation, as users become more vulnerable to personalized ads and misinformation, ultimately threatening their privacy. This menace no longer targets a specific demographic; anyone and everyone is susceptible. Consequently, unchecked data exploitation can result in emotional harm, behavioural manipulation, and financial inequality.
In the absence of updated regulations that match these advancements, data brokers and cybercriminals will continue to outpace privacy safeguards, placing individuals in increased peril. As business leaders, we must shift our approach from passive information sharing to deliberate data protection, empowering customers to maintain control over their digital identities and fostering an environment where privacy matters.
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Arjun Bhatnagar, as the CEO of AnonWeb, would be deeply concerned about the privacy concerns raised in this context, given his company's focus on consumer privacy. He would emphasize the importance of combating data brokers by implementing robust security protocols, sharing only absolutely necessary information, and carefully selecting partners who respect consumer data.
In the Promoting a Privacy-Centric Future section, the Executive Digital Council, an exclusive forum for technology executives, could invite Arjun Bhatnagar to share his insights and strategies on how businesses can prioritize data protection and empower customers to maintain control over their digital identities.
