| NEW YORK
NEW YORK May 17 Bloomberg LP appointed former
IBM Chairman and CEO Samuel Palmisano as an independent adviser
on security and data issues, as the company seeks to address
customers' concerns about possible breaches in the
confidentiality of their usage data.
The news and financial data company said on Friday that
Palmisano will report to its board of directors and he will
immediately undertake a review of current policies for client
data and end-user information.
Bloomberg said last week that its reporters had limited
access to some data considered proprietary, including when a
customer logs in or looks for information on assets such as
equities or bonds. Bloomberg News Editor-in-Chief Matthew
Winkler apologized after a major client, Goldman Sachs Group
, lodged complaints.
Since then, other Bloomberg clients, including JPMorgan
Chase & Co and government agencies across the globe,
have said they were looking into the issue.
The appointment of Palmisano comes after Bloomberg named a
chief data compliance officer last week.
"We want to go even further and get the benefit of
independent leading experts so that we set the new standard for
privacy and data security," Daniel Doctoroff, Bloomberg's CEO
and president, said in a statement.
Palmisano was IBM's chief executive from 2002 until
January 2012 and held the post of the company's chairman from
2003 until last September. He serves on the boards of
ExxonMobil, American Express and Bloomberg Philanthropies.
Bloomberg said its board has also hired the law firm Hogan
Lovells and the financial services consulting firm Promontory
Financial Group to help Palmisano implement any recommendations.
The company also asked Clark Hoyt, editor-at-large at
Bloomberg News, to conduct a review of the newsroom's
relationship with the sales organization. Hoyt, who served as
the New York Times's public editor from 2007 until 2010,
will report to Doctoroff.
Privately held Bloomberg, which competes with Thomson
Reuters Corp , gets the bulk of its revenue from
terminal sales to financial institutions. The company has more
than 315,000 terminal subscribers globally, with each Bloomberg
terminal costing roughly $20,000 a year. Last year, it posted
revenue of $7.9 billion.