The 'Privacy Enhancing Technology' Hoax
Kent Ertugrul is quoted as saying; ""It [Phorm] is a privacy enhancing tool" (source).
This is the easiest claim to debunk.
Would your privacy be enhanced if the Postman read all your letters, and made a note of the topics your correspondence contains? Hardly.
Would your privacy be enhanced if the telephone operator listened in to all your calls, taking notes? That probably wouldn't be very welcome either.
So how is sharing your entire internet web surfing with Phorm an "enhancement" to your privacy?
Phorm is not a 'Privacy Enhancing Technology'.
You have no visibility of the resulting data they will hold about you. And you are being asked to trust a company with alleged links to malicious software, who have tested their software in secret in 2006 and 2007 on hundreds of thousands of unsuspecting BT customers.
Why would you?