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WASHINGTON, D.C. -- The high-tech industry isn't protecting people's privacy on the Internet, and during a hearing Wednesday several Congressional leaders declared that the government should step in.

It's high time that Congress changed existing laws, says Ernest Hollings, chair of the Commerce, Science and Transportation Committee.

"Where did self-regulation get us?" the South Carolina senator asks. "Nowhere. As Business Week states last year, 'Self Regulation is a sham.'"

Agreeing with Hollings, Senator Jay Rockefeller of West Virginia wielded a printout showing a record of his online activities. Rockefeller says he's upset and surprised by the Internet's tracking capabilities. "My name, my life, my disposition, and my character are sitting right here for all to see," he says, pointing to his list of cookies, the pieces of text that a Web server stores on a computer's hard drive to track Web surfing habits.

EPIC: People Want Action

Marc Rotenberg, executive director of the Electronic Privacy Information Center, says most Americans want Congress to pass laws that will protect their privacy online. In fact, those who support such laws outnumber those who believe that self-regulation is good enough by three to one.

Rotenberg says that according to a Gallup Poll, about 66 percent of e-mail users want the federal government--rather than the state--to protect citizens' privacy online. The same poll found that support for privacy legislation was more prevalent in frequent Internet users, he says.

"The message here is clear," Rotenberg says. "Experienced Internet users understand the limitations of technical solutions and industry self-regulation. They want legal control over their personal information."

Industry Asks Restraint

Groups such as the Information Technology Industry Council continue to urge legislative restraint. The group, which represents the some of the nation's leading high-tech corporations, suggests that Congress needs to use caution when writing privacy bills.

"We believe that when it comes to online privacy, technology and knowledge--not a government regulation that can't keep pace with technological change--is the best solution for consumers," says Rhett Dawson, the council's president.

Les Seagraves, chief privacy officer of EarthLink, also expresses concern over regulation. He says it could cost his company too much money, which could lead to a cut in services.

"In an online world where an increasing amount of Web traffic is concentrated in a relative handful of sites owned by large media and software companies, privacy protection should not further reduce diversity on the World Wide Web," he says.

Others stress treating the online and offline worlds the same, saying there are just as many privacy dangers in traditional settings as there are on the Internet.

"It makes little sense to treat information collected online differently from the same information collected through other media, such as offline credit card transactions, mail-in warranty registration cards, point-of-sale purchase tracking, and magazine subscriptions," says Paul Misener, vice president of global public policy for Amazon.com.

Despite sharp criticism from members of the high-tech industry, lawmakers remain steadfast in the idea that Congress needs to pass Internet privacy legislation.

"Nobody on this committee wants to see an Exxon Valdez of privacy," says Oregon Senator Ron Wyden.

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