Americans are highly concerned about the security of their personal data online. As per Survey conducted by PSB, It has been found that, Americans choose Security over power & capability.

1. Online Exposure, Offline Uncertainty:
Privacy and Security in a Virtual World
October 21, 2009
Prepared by Penn, Schoen & Berland Associates
in partnership with The Chertoff Group

2. 2
Key Findings
1
2
Americans are highly concerned about the security of their personal data
online
• Most have little confidence in any institution to keep their information
adequately protected
Anxiety over online security splits dramatically along age lines
• Young Americans actually more concerned with online security;
more likely to trust the federal government to protect their
information
3
Americans are willing to accept more limited capabilities in return for
greater security
• At least in theory, most value security and privacy over power and
efficiency
Penn, Schoen & Berland Associates conducted phone interviews with 1,003 members of the general population in the U.S.,
August 6-13, 2009. Margin of error is +/-3.09%, or larger for subgroups.
4
Americans are unfamiliar with and concerned about many new
technologies
• Few realize how many technologies with privacy implications they
are already using to in their everyday lives

3. 3
Americans are Very Concerned about Online Security
Generally speaking, how concerned are
you about the security of your personal
information that is sent over the
internet?
All Male Female <35 35-49 50-64 65+
TOTAL CONCERNED 81 79 83 85 84 80 69
Very concerned 54 48 60 56 57 53 45
Somewhat concerned 27 31 23 29 27 27 24
TOTAL NOT CONCERNED 16 17 15 14 14 15 23
Not Very Concerned 8 7 9 9 7 7 9
Not at all concerned 8 10 6 5 7 8 14
Don’t Know 3 5 2 1 2 4 8
› Level of concern about online security actually decreases with age
› 85% of population 35-&-under are concerned about online security vs. only 69% of ages 65+
› More exposure = more concern? Higher anxiety among younger people may be due to higher
familiarity with the Internet in general, and therefore a greater understanding of its risks.
› Vast majority of Americans concerned about the security of their personal information
› More than 4 in 5 Americans (81% of respondents) are concerned; over 50% are “very
concerned”

4. 4
What are Americans afraid of online?
Why are you concerned about the security of your personal information that is sent over the Internet?
0
10
20
30
40
50
60
Fear of Identity
Theft
I think hackers
will always find
a way to steal
data
I have heard
about data
being hacked or
inappropriately
accessed in the
news
I do not think it
is possible to
keep data
100% secure
I know
someone who
has had their
data hacked or
inappropriately
accessed
I do not trust
corporations to
keep
information
secure
I do not trust
the government
to keep
information
secure
All
<35
35-49
50-64
65+
› Greatest fears center around active threats: identity theft and hacking
› Lowest fears are of accidental theft or government and corporate malfeasance

5. 5
Trust in institutions generally low, mirrors off-line confidence
› Most tangible offline institutions appear to be most trusted online
› Americans trust regional banks’ and healthcare providers’ most, least trust in online-only
establishments such as email providers and online brokerages
0
10
20
30
40
50
60
70
80
90
How much confidence do you have in the following organizations to keep your information secure?
Showing Great Deal + Somewhat confident
› The more specific the institution, the more Americans trust them
› Internal Revenue Service or Social Security Administration garnered higher confidence than
either the federal government or the private sector in general

6. 6
Older Americans trust private sector, under-35s government
› Trust levels split cleanly along age lines
› For every sector, young Americans have greater faith in the federal government to protect them
and their data while older Americans prefer private sector solutions
Who would you trust more to ensure proper privacy
standards for location-based advertising?
Private Sector
51
46
48
32
29
41
45
61
Federal Government
<35
35-49
50-64
65+
Who would you trust more to ensure proper privacy
standards for biometric identification?
Private Sector
44
40
41
34
36
44
50
59
Federal Government
<35
35-49
50-64
65+
Who would you trust more to ensure proper privacy
standards for smart grids?
Utility Companies
62
49
62
47
20
35
30
48
Federal Government
<35
35-49
50-64
65+
Who would you trust more to ensure proper privacy
standards for electronic medical records?
Private Sector
Healthcare Providers
69
62
60
48
31
27
32
47
Federal Government
<35
35-49
50-64
65+

7. 7
Understanding of New Technologies
To what degree are you familiar with the following
concepts?
Familiar
13
29
67
29
10
84
68
32
70
87
Unfamiliar
Cloud
Computing
Location-based
Advertising
Electronic
Medical
Records
Biometrics
Smart Grid
How concerned would you be about the security of your
personal information if it was stored via the following?
Concerned
55
70
75
78
85
43
28
24
20
9
Not concerned
Cloud
Computing
Location-based
Advertising
Electronic
Medical
Records
Biometrics
Smart Grid
› Americans are by and large unfamiliar with many of the following new technologies,
yet very concerned about the privacy and security implications they carry with them.
› Americans have serious security concerns about each new technology tested, but particularly
cloud computing
Bottom Line: Low Familiarity, High Concern

8. 8
The Knowledge Gap in Practice
› Many Americans don’t understand how exposed they already are to technologies with
privacy implications
› Few appear to realize they are already exposed to cloud computing through their web-based email,
and location-based ads through sites like Facebook and MySpace
› As a result most Americans are failing to take even the most fundamental steps to safeguard their
information, like regularly changing passwords, leaving them extremely vulnerable to attack
65%
Of Americans already use cloud
services such as web-based email
70% Of respondents claim zero familiarity
with location-based advertising
87%
Of Americans believe they’ve never
used cloud computing services
41%
Have received online ads that
reference their approximate
geographic location
BUT
BUT

9. 9
Americans choose security over power, capability
When it comes to new computing technologies,
which would you rather have?
› Americans believe they will trade more limited capabilities for greater security
› Has major implications for the future of tech companies, especially those whose focus has
traditionally been on cutting-edge innovation, not communications.
› Security (or the appearance of it) could soon trump innovation for the American consumer
Lower risk,
Fewer capabilities
67
72
78
73
74
10
11
18
22
16
23
17
3
5
10
Greater risk,
Greater capabilities
Don’t
Know
All
<35
35-49
50-64
65+
Peace of mind
over online
shopping, banking
69
60
59
48
58
15
31
36
51
35
17
9
5
1
7
Convenience of
online purchases,
even with slight risk
All
<35
35-49
50-64
65+
Between the peace of mind of knowing your information is secure,
and the convenience of online shopping and banking, I choose….
Don’t
Know

10. 10
More on Online Security in America
Penn, Schoen & Berland Associates, is a global
research-based consultancy specializing in
messaging and communications strategy.
For more about PSB Contact:
Beth Lester
blester@ps-b.com
(202)962-3042
The Chertoff Group is a global security and risk
management advisory firm that assists
corporate and government clients in addressing
threats related to terrorism, fraud, cyber
security, border protection, and supply chain
security.
For more about The Chertoff Group Contact:
Russ Knocke
russ.knocke@chertoffgroup.com
(202)262-4976
For more information about this survey and issues of online security, please contact: