[Politech] RFID tags reportedly found in German loyalty shopping card [priv]

From: Declan McCullagh (declan@private)
Date: Sun Feb 08 2004 - 22:05:29 PST

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    [If the Metro Future Store's contract consumers likely sign (when obtaining 
    a loyalty card) does not permit RFID tags embedded in the card, then 
    consumers might have recourse for breach of contract. If it does not, then 
    consumers over time perhaps will (a) demand such privacy protections in the 
    contract or (b) decide they don't care. Option (b) is a real possibility. 
    After all, an RFID tag in a loyalty card seems similar, based on the below 
    description, to the U.S. speedpass or ezpass transponders, neither of which 
    has resulted in a privacy outcry. --Declan]
    
    ---
    
    Subject: German RFID Scandal: Hidden devices, unkillable tags found in
    	Metro Future Store
    From: Katherine Albrecht <press@private>
    Date: Wed, 04 Feb 2004 23:36:59 -0500
    
    FOR IMMEDIATE RELEASE
    
    February 5, 2004
    
    German RFID Scandal: Hidden devices, unkillable tags found in Metro
    Future Store
    Germans say, "Nein! We wont be your versuchskaninchen"
    
    "We won't be your versuchskaninchen." That's the message German privacy
    advocates are sending to executives at the Metro Future Store in
    Rheinberg, Germany after discovering RFID devices hidden in the store's
    loyalty cards. They also found that RFID tags on products sold at the
    store cannot be completely deactivated after purchase, despite Metro's
    claims.
    
    "Versuchskaninchen" is the German word for guinea pig, which is how
    German consumers feel Metro and its partners have treated them since
    opening the Future Store last year to test experimental RFID
    applications on live shoppers.
    
    The revelations came just one day after Katherine Albrecht, founder and
    director of CASPIAN (Consumers Against Supermarket Privacy Invasion and
    Numbering) toured the Future Store with a delegation of privacy experts
    from German advocacy group FoeBud, who sponsored her visit.
    
    "We were shocked to find RFID tags in Metro's 'Payback' loyalty card,"
    said Albrecht, after FoeBuD tested the cards with an RFID reader and
    discovered the tag. "The card application form, brochures, and signage
    at the store made no mention of the embedded technology and Metro
    executives spent several hours showing us the store without telling us
    about it."
    
    "In retrospect, it's no wonder store employees appeared nervous when we
    asked to take a few of the cards with us," she added.
    
    Vendors of RFID-enabled loyalty cards promote them as a way for
    supermarkets to identify shoppers remotely as they enter the store,
    using details of their identity and purchase history to pitch products
    to them and to track their movements and activities within the store.
    Prior to the Metro discovery, no major retailer had publicly admitted to
    using such cards.
    
    In addition to the cards, Albrecht discovered that Metro cannot
    deactivate the unique identification number contained in RFID tags in
    products it sells.  The use of unique, item-level ID numbers is one of
    the key privacy concerns surrounding the use of RFID tags on consumer
    goods.
    
    "Customers are misled into believing that the tags can be killed at a
    special deactivation kiosk, but the kiosk only rewrites a portion of the
    tag, while leaving the unique ID number intact," she said.
    
    Outraged German citizens are calling on Metro to put an immediate end to
    the trials.
    
    "We are deeply disappointed at the Metro executives. They talked of an
    open dialog while hiding important facts from us," said Rena Tangens of
    FoeBuD. "We are calling for an immediate moratorium on further RFID
    testing as it is clear that Metro is not handling the technology
    responsibly."
    
    Evidence of the RFID tag in Metro's "Payback" loyalty card, along with
    evidence of the incomplete deactivation of product tags, can be found on
    FoeBuD's website at http://www.foebud.org/rfid/.
    
    For more information, see http://www.spychips.com
    and http://www.nocards.org.
    Katherine Albrecht, CASPIAN Founder and Director: (877) 287-5854
    Liz McIntyre, CASPIAN Communications: (877) 287-5854 or liz@private
    
                                       ###
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