Data clean room
The data clean room (DCR) is a secure, intermediary, cloud service used among companies to mutually agree on sharing sensitive first-party data, which is data that is collected directly from customers and consumers.[1] The creation of DCRs was needed after the deprecation of third-party cookie data with Apple's AppTrackingTransparent (ATT) framework.[2] In 2023, IAB Tech Lab released the Open Private Join and Activation (OPJA) specification to help with clean room interoperability among clean room providers.[3]
On July 5, 2023, IAB Tech Lab, a non-profit consortium that develops open technical standards for the ad-supported digital economy, released a set of common principles and operating recommendations on using DCRs.[4]
Example
In 2023, Pinterest announced that it will be using a data clean room solution from LiveRamp with Albertsons.[2]
Privacy conerns
According to the Federal Trade Commission (FTC), DCRs do not necessarily mean these solutions are private and thus could lead to privacy washing.[1] Privacy washing occurs when a company claims to prioritize data protections for its customers' data, but actually fails to implement best practices for securing the data.[5] In other words, DCRs may facilitate the exchange of data between untrusted parties.
Corporations who operate clean rooms argue against these privacy concerns.[1] Matt Karasick, VP of product at LiveRamp, claims that when DCRs are implemented properly, privacy policies are adhered to. He also emphasizes that when using DCR automated data protections, no consumer data is shared using clean rooms. Vlad Stesin, co-founder and chief strategy officer at a DCR company Optable, also comments that DCRs "need to be part of a broader approach to data collaboration" in order to both adhere to privacy needs and create business value.
More criticisms of DCRs include more accurately describing them as "secure" rather than "private" due to data clean rooms being owned by data companies that have their own identity graph data to connect to.[6]
Companies
A list of some companies that operate and offer data clean room solutions include:[1]
- InfoSum[7]
- Habu (acquired by LiveRamp in 2023)[8]
- Optable[9]
- Amazon AWS[10]
- Samooha (acquired by Snowflake in 2023)[11]
See also
References
- ↑ 1.0 1.1 1.2 1.3 Schiff, Allison (2024-11-18). "The FTC Thinks Data Clean Rooms May Have A Few Dusty Corners". AdExchanger. Retrieved 2024-12-09.
- ↑ 2.0 2.1 Boyle, Alyssa (2023-01-19). "How Albertsons Is Piloting Pinterest's New Clean Room". AdExchanger. Retrieved 2025-01-02.
- ↑ "Data Clean Rooms: Separating Fact from Fiction". Federal Trade Commission. 2024-11-13. Retrieved 2024-12-07.
- ↑ Hercher, James (2023-07-05). "IAB Tech Lab Blesses Its First Set Of Data Clean Room Specs". AdExchanger. Retrieved 2024-12-10.
- ↑ Joyce (2021-05-03). "Privacy-Washing: What Is It And How To Stop It From Happening To Your Company". California Lawyers Association. Retrieved 2024-12-10.
- ↑ AdExchanger (2024-10-25). "Don't Hate, Collaborate; Getting Closure On Disclosures". AdExchanger. Retrieved 2025-01-02.
- ↑ Bruell, Alexandra (2021-08-17). "InfoSum Raises $65 Million as Companies Prioritize Data-Privacy". The Wall Street Journal. Retrieved 2024-12-10.
- ↑ Hercher, James (2024-01-18). "LiveRamp Acquires Habu, As Walled Gardens Put The Squeeze On Indie Data Collaboration Tech". AdExchanger. Retrieved 2024-12-10.
- ↑ Vargas, Anthony (2023-04-18). "With Data Fragmentation On The Rise, Clean Room Optable Secures $20M Series A". AdExchanger. Retrieved 2024-12-10.
- ↑ Bridgwater, Adrian. "AWS CEO Selipsky: We Are Making Cloud Easier To Use". Forbes. Retrieved 2024-12-10.
- ↑ "Snowflake Acquires Samooha". www.snowflake.com. Retrieved 2025-01-02.
Further reading
- Data Clean Rooms - Guidance and Recommended Practices Version 1.0 - IAB Tech Lab (Released July 5, 2023)
- Open Private Join and Activation (OPJA) specification (Released February 14, 2024)
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