ISPs warn user history plan could be costly

AUSTRALIAN internet providers appear willing to negotiate on a government move to implement a data retention regime.

NBN

AUSTRALIAN internet providers appear willing to negotiate on a government move to implement a data retention regime but warn it could cost "hundreds of millions of dollars".

Some ISPs were reluctant yesterday to discuss the rekindling of the move, citing a non-disclosure agreement made previously with the government.

But one senior industry figure said the proposal could cost ISPs hundreds of millions of dollars if it involved preserving the internet activity of all subscribers, as one option suggested. He said he would need to know the specific data arrays being preserved.

According to the Internet Industry Association, the cost could be "significant".

IIA chairman Bruce Linn said the industry would prefer preserving information about people of interest rather than all users.

He said the industry was "willing and eager" to work collaboratively with government on defining an appropriate regime and was keen to be part of any general revision of privacy law.

The Joint Select Committee on Cyber-Safety has called for the end of a Privacy Act exemption for businesses with an annual turnover of $3 million or less.

Another issue was an expansion of the Privacy Act to include mandatory breach disclosure.

ISPs would need to inform customers whose data had been subject to a breach.

Internet provider iiNet warned of the security risk associated with ISPs storing vast amounts of client data.