Clicks to settle Phormi?1/2s fate.

Byline: Jack Marshall

Clicks to settle Phorm's fate

' analysis

Following months of delays, and scrutiny from regulators, privacy advocates and consumers alike, UK telecoms giant BT started trialling internet advertising company Phorm's controversial behavioural targeting technology with invited and consenting customers last month.

If the trials go well, Phorm expects its platform to be rolled out across the entire BT network, potentially reaching hundreds of thousands of UK web users within months. Tests with other ISPs, including Carphone Warehouse and Virgin Media, are in the pipeline.

Since announcing in March its partnership with three of the country's major ISPs, Phorm has found itself awash with controversy. In simple terms, its technology provides internet users with tailored advertising based on their interests and online behaviour. It collects and analyses information on internet users' online activity, such as the sites they visit and the search terms they use, and uses it to select adverts for them.

For example, if a user visits a number of websites relating to hotels in Paris, then the Phorm software might conclude that they are interested in travelling to France and serve them up adverts offering related products.