We first asked BT about its relationship with Phorm in July 2007, when it was widely known as 121Media, a firm deeply involved in spyware. BT denied any testing and said customers whose DNS requests were being redirected must have a malware problem.
It wasn't until 14 February this year, when the deals between BT, Virgin Media and Carphone Warehouse to pimp customer web browsing were announced, that a cover-up was revealed. You can read the original story here.
BT's belated confession that it secretly used its customers' traffic to test the safety of ad targeting technology can only add to the distrust around Phorm, whose executive team includes a former BT Retail CTO. Several security firms have confirmed plans to classify Phorm's cookies - both for opting in and opting out of Webwise - as adware.
BT admits misleading customers over Phorm experiments
By Chris Williams
Published Monday 17th March 2008 09:52 GMT
BT has admitted that it secretly used customer data to test Phorm's advertising targeting technology last summer, and that it covered it up when customers and The Register raised questions over the suspicious redirects.
The national telecoms provider now faces legal action from customers who are angry their web traffic was compromised.
