The trade-off between privacy and utility. The world is entering an era
of pervasive connectedness, in which billions of people will be socializing,
sharing information, shopping, launching businesses, and banking on
the Internet. Businesses and governments will use the Web to monitor
equipment, make payments, and store data. Every move an individual
makes on the Internet will potentially be tracked. This connectedness could
generate massive surplus and enable new ways for businesses to offer more
personalized, targeted services; it can also enable breaches of privacy and
abuse of private information. Consumers, businesses, and policy makers
must evaluate the trade-offs between the benefits of connectedness and
these risks. The difficulty in striking the right balance is reflected in the debate
around the European Union’s data protection regulations, which could restrict
certain types of Internet tracking. Business groups oppose the measure as too
restrictive and damaging to Internet commerce.