Phorm and its Webwise system launched to a wave of controversy back in March, with critics believing the company was spying on ISPs. Although Phorm has consistently denied it spies on web users, software like AntiPhormLite has sprouted up to counteract the Webwise service.
Now the government has been given a deadline to decide whether Webwise is actually breaking any European data privacy laws.
The deadline was given to the UK by Viviane Reding, the European Telecoms and Media Commissioner, who in a letter asked for clarification about the web monitoring software.
This letter was sent to the government in July, but no other information about what was included in it has been made public.
BT trials continue
One of the companies who took part in trials of the Phorm software was BT. The company's initial trial was meant to be a secret one but information was leaked online. Despite the criticisms, BT is still set to continue trialling Webwise on an even bigger level.
Reding's letter of clarification marks the second time that Phorm has been under scrutiny. The first was back in May and was done by the Information Commissions Office (ICO).
After a thorough investigation of Phorm and the companies using it, however, no action was taken.