The New York Times has another article about Phorm. It quotes a Phorm employee, Virasb Vahidi:
“As you browse, we’re able to categorize all of your Internet actions,” said Virasb Vahidi, the chief operating officer of Phorm. “We actually can see the entire Internet.”
Now if you add this to the capabilities of the Phorm system revealed by the patent application (see here), the vagueness about BT's proposed opt-out system (whether or not browsing history is still analysed if opted out) and the complete idiocy of an ISP apparently allowing a spyware company, albeit rebranded as Phorm, to install hardware loaded with software that the ISP cannot look at, we really have the making of an enormous data privacy catastrophe.
In the meantime, the e-petition against Phorm has nearly reached 8000 signatories, and a several analysts have voiced opinions that the system violates UK data protection legislation.
And does this story, also from the New York Times,indicate a rocky road ahead for Phorm in the USA? A politician is pushing legislation...
...now gathering support in Albany, that would make it a crime — punishable by a fine to be determined — for certain Web companies to use personal information about consumers for advertising without their consent.
Phorms's share price has tumbled since this furore hit the news websites. seems to have halved since its peak.