It's a point of view I suppose
(from the BBC http://news.bbc.co.uk/1/hi/technology/7331493.stm)
In response to Dr Clayton's report, a spokesperson for Phorm said: "Our technology complies with all the appropriate UK laws - and we've consulted a range of experts on this.
"The Regulation of Investigatory Powers Act (RIPA) was drafted in the earliest days of the internet. It is not designed to criminalise legitimate business activities - online targeted advertising is an accepted part of the internet landscape today."
This seems to me to be the first admission by BTPhorm that there may be a problem. "Our systems are fine - the law is in error" - interesting defence.
The Problem BTPhorm have is that their current system proposals require an interception even to determine your opt in/out status and even if you are opted out the interception will continue. RIPA doesn't specify duration of interception or care what you do with the results. The interception itself is illegal.
The only way out of the RIPA issue is to make the system truly opt-in. Altering a users proxy (for example) to point to Phorm equipment whilst the rest of the traffic is directed as normal. This still leaves the issue of host site consent of course, communication being a two way process.
Quite un-believable though that HMG have still started no investigation into the
possibility of 18000 (at minimum) prior breaches of RIPA.