Malls halt cellphone-tracking experiment after complaint from Senator Schumer

As you may have heard last week, two US malls (the Promenade Temecula in Southern California and Short Pump Town Center in Richmond, Virginia) decided to conduct a little experiment this holiday shopping season, in which they employed some cellphone-tracking technology in an effort to learn more about individuals' shopping patterns. That technology came from Path Intelligence, which has previously outfitted UK malls with the system, and assures folks that it only detects cellphone signals, and is unable to gather phone numbers or other personal data.

Those assurances apparently weren't enough for US Senator Chuck Schumer, however, who sent letters to both the FTC and the CEO of Path Intelligence, complaining that the tracking was "simply unreasonable," and that a "shopper should not have to choose between the ability to be in touch with friends and family in case of emergency and safeguarding her privacy." While it's unclear if it's in direct response to the Senator's letter, the company that owns both malls has reportedly shut down the tracking systems after only a day of use, although it isn't commenting publicly on the matter just yet.

Sen. Schumer: Local malls could track shoppers via cell phones Spyware raises questions of consumer privacy

Path Intelligence has developed technology that can track shoppers’ movements without their consent.

It's not Big Brother that might be watching you — it could be your local mall.

A British company has developed technology that uses shoppers’ personal cell phones to track their movements through a mall or store without their consent, warned New York senior Sen. Charles Schumer.

J.C. Penney and Home Depot are reportedly considering the technology, Schumer said.

Two malls would have started using the spyware Friday if his office had not called and raised the red flag, he said.

The so-called “footpath technology” is already being used in shopping centers in Europe and Asia, but Schumer has written its creator, Path Intelligence, saying the company needs to get shoppers' explicit consent before it is used. Right now, the only option a consumer has is to turn off his or her cell phone.

Schumer also asked the Federal Trade Commission to see if this new technology violates any existing laws protecting consumers' privacy.