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Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein [email protected] 512-222-8589 Ted Claypoole Womble Carlyle [email protected] 704-331-4910

Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein [email protected] 512-222-8589

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Page 1: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Cyberspace Law Committee Meeting, August 3, 2012

Big DataLois MermelsteinThe Law Office of Lois D. [email protected]

Ted ClaypooleWomble [email protected]

Page 2: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

What Is Big Data?

✤ Data that exceeds the processing capacity of conventional database systems.

✤ Too much data

✤ It moves too fast

✤ It’s too diverse

Page 3: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

How’d we get here?

✤ Storage, processing speed, and bandwidth are becoming exponentially faster

✤ Networking is expanding exponentially

✤ And you can buy all the pieces - data, infrastructure, processing

source: http://radar.oreilly.com/2011/08/building-data-startups.html

Page 4: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Crunching Big Data - Volume

✤ Turn 12 terabytes of tweets/day into improved product sentiment analysis

✤ Convert 350 billion annual meter readings to better predict power consumption

✤ Crunching Facebook recommendations based on your friends’ interests

Page 5: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Crunching Big Data - Velocity

✤ Time-sensitive analysis and decision-making - to catch important events as they happen

✤ When there’s too much input data (so toss some) or immediate decisions must be made

✤ Examples:

✤ Scrutinize 5 million trade events/day to identify potential fraud

✤ Analyze 500 million daily call detail records in real-time to predict customer churn faster

Page 6: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Crunching Big Data - Variety

✤ Not just names/addresses in a customer database

✤ Want to analyze text, sensor data, audio, video, location data, click streams, log files, and anything else that’s available

✤ Principle: when you can, keep everything - there might be something useful in what you throw away

Page 7: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Unexpected Consequences

✤ Anonymous AOL searcher isn’t (NYT, 8/9/2006)

✤ Anonymous Netflix users aren’t, when compared with IMDb database (Wired, 12/13/2007)

✤ For many, browsing history is unique and repeatable (8/1/2012)

✤ Target knows when you’re pregnant (NYT, 2/19/2012)

Page 8: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Lessons to (Re)learn

✤ Correlation isn't causation

✤ But correlation may be all you need

✤ You can't hide in the crowd

Page 9: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Personally Identifiable Information

PII as a mathematical function

How many points of data do you need?

Pineda v Williams Sonoma Stores, Inc. (Cal, Feb 10 2011)

Page 10: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

HIPAA De-Identified Data

Re-Identifying De-Identified Data

Page 11: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Escaping Regulatory Requirements

Privacy

Fair Credit Reporting

Redlining

Employment Discrimination

Page 12: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Single Transaction Owned By:

Retailer

Wholesale vendor

Manufacturer

Shipping Company

Customer’s Bank

Customer’s ISP

Retailer’s Bank

Merchant Card Processor

Phone company/Hardware/Software

Page 13: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Government Using Big Data

Law Enforcement

Page 14: Cyberspace Law Committee Meeting, August 3, 2012 Big Data Lois Mermelstein The Law Office of Lois D. Mermelstein lois@loismermelstein.com 512-222-8589

Copyright Issues

Who owns the data?

Who owns the derivative works?

Combined data?