This presentation by Terence Craig and Mary Ludloff of PatternBuilders was delivered at the pii2011 Venture Forum in Menlo Park, CA on November 15, 2011. For more information on the conference, visit http://pii2011.com.

1. The players, regulators, and stakeholders
Occupy Big Data

2.  Terence
Craig, CEO/CTO, PatternBu
ilders
 Mary
Ludloff, VP, Marketing, Pat
ternBuilders 2

3. Privacy from all sides and
how big data has caused a
cascade effect on its
erosion while spawning
new and profitable
business models.
3

4. Company Confidential 4

5. Platform
Business Social
PII
Privacy Gov’t
Company Confidential 5

6.  There are the “giants” like Google, Facebook, and
Twitter…
 There are organizations and agencies like the Florida
DMV…
 There are “Mom & Pop” operations that specialize…
From tens of billions to millions down to hundreds of
thousands of dollars—personal information is a
profitable market for all.
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7. The more “detailed” the profile, the more valuable it is.
Company Confidential 7

8. Markets for buying and selling data.
Uses are infiniteresearch, monitoring, predictive
modeling, advertising and privacy eco-systems, government
agencies.
Company Confidential 8

9. Platform
Business Social
PII
Privacy Gov’t
Company Confidential 9

10. Company Confidential 10

11. Company Confidential 11

12.  Biggest purchasers/users of 3rd party data.
 Fraud analytics, predictive modeling, crime
prevention, operational improvements.
Company Confidential 12

13.  Protecting pii, reputation, etc.
 Technology and tools that erode it.
Company Confidential 13

14.  Not just about
advertising.
 Many industries and
business models benefit.
Company Confidential 14

15.  Privacy expectations
 Regulatory adherence
 Transparency
 Crisis management
Company Confidential 15

16.  Consumers very fearful of behavioral
targeting.
 Government is signaling that concern with
new legislation.
 Must invest in this area (whether it’s a
product or service).
Company Confidential 16

17.  U.S.: more than 30 federal statutes, 100 state
regulations for data security and privacy.
 EU and other countries: far more restrictive.
 Pending legislation in all regions with more
rigorous controls.
Bottom line: Engage with a law firm that specializes in
privacy, security, technology and IP or make sure that your firm
has this specialty.
Company Confidential 17

18. Google gets it right:
 Share what data you collect, how you use
it, and whether you sell it to third parties.
 Be explicit about data retention.
 Be explicit about what you can protect and
what you cannot (anti-terrorism laws).
 Use opt-ins only for data collection and
sharing.
Company Confidential 18

19.  When things go wrong (and they will) know how you
are going to deal with them.
 Get a team and process in place and be ready to
respond.
Pre-digital age: crisis management was about staying ahead of
the story. Now, it’s about staying with the story, if you can.
Company Confidential 19

20.  Be transparent about what you
collect and how you use it.
 Think global – customs and laws
differ. EU compliance is a good
starting point.
 Breaches are inevitable – be
ready.
 Behave – consumers don’t have
to play as this is a trust business.
Company Confidential 20

21.  Contact us:
• Terence: terence@patternbuilders.com, @terencecraig
• Mary: mary@patternbuilders.com, @mludloff
Resources Domain
Blog blog.patternbuilders.com
Corporate Site www.patternbuilders.com
Privacy & Big Data Site www.PrivacyandBigData.com
Company Confidential 21