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People Limit Web Use Due To Privacy Concerns, Commerce Department Says

The constant threat of breaches, surveillance, and online data collection stopped nearly half of American households from doing business and expressing opinions online past year, according to a new survey from the U.S. Department of Commerce.

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When the survey asked the respondents whether these security and privacy concerns kept them from doing online transactions, 45 percent of the households reported that they opted not to conduct financial transactions, online purchases, post on social networks or share their opinions or political views online, while 30 percent of households decided not to engage in any two of the activities mentioned.

The fear over identity theft and credit card fraud has caused most American households to be cautious about sharing personal information. The lack of trust in online safety comes at a time when report after report details mass government spying against citizens and cybersecurity breaches that leave ordinary users exposed and vulnerable. In homes with just one Internet device, be it a PC or smartphone or whatever, 9 percent had experienced a security breach, versus 31 percent for households with five or more devices. Forty-five per cent of the 41,000 households contacted said they had decided not to do online banking, or buy goods online, or post on social networks because they were anxious about what might happen. After many data breaches at popular web services and platforms, it is obvious for users to be concerned about their privacy and security of their secret information. Meanwhile, even after reports of government snooping, only 18 percent of the survey respondents were concerned about the government collecting data on their usage.

“It is clear that policymakers need to develop a better understanding of mistrust in the privacy and security of the Internet and the resulting chilling effects”, reads the report, referring to the freeze on economic activity and posting opinions on social networks that these fears can have.

Data collection, fraud, theft, tracking by government, credit card fraud, identity threat and lost control of personal data are some of the primary fears that discourage nearly 45 percent of the American households from conducting activities online.

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Financial transactions was the most likely activity to see a dip, with three in 10 saying they stopped conducting this type of business online. So what can be done to ease fears and get more Americans using online services? Such sentiments could lead to a reduction in economic activity and hurt the free exchange of ideas online, the agency warned.

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