It's going to be really hard to come up with a default that "everyone" (i.e., majority of users, mainstream privacy advocates, and advertisers/businesses) feel they can live with.
Privacy expert and professor Peter Swire has become co-chair of the W3C's contentious effort to create the Do Not Track browser standard, which would let people tell Web sites and advertisers not to track their online behavior. Mozilla has praised him as being a person who can break stalemates; advertisers and privacy advocates do not see eye to eye in this area, as you'd expect.
Fair point. If the winds start blowing towards legislators getting involved (with unpredictable results) I could see an industry "we can live with XYZ even though it's not what we would like" consensus developing that would be enough for all but the hardcore privacy advocates.
And don't forget that the FTC kicked this whole process off. On the other hand, that could have been because they didn't have the spine to try to push through the online equivalent of Do Not Call.
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