Waxman to FTC: Investigate P2P

Los Angeles Rep. Henry Waxman is urging the Federal Trade Commission to launch an investigation into the risks of peer-to-peer file sharing networks.

Acknowledging that sites like Limewire and Kazaa "have the potential to deliver innovative and lawful applications that will enhance business and academic endeavors, reduce transaction costs and increase available bandwidth,'' Waxman also labled the sites as potentiall dangerous. In some cases personal financial information and other sensitive documents can be inadvertently shared along with music and movie files.

Along with 18 other lawmakers he warned that disclosures on such sites could lead to identity theft and asked asked the agency to ensure that consumers are aware of the risks associated with file sharing.