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There is suddenly a plausible bipartisan, bicameral push to finally give the United States a comprehensive data privacy law that goes far beyond the protections for health and children’s data that already apply nationwide. So prepare for the lobbying fury.
The bill, expected to be formally introduced later this month, is called the American Privacy Rights Act (APRA). This was announced yesterday (yes, Sunday) by Representative Cathy McMorris Rodgers (R-Wash.) and Sen. Maria Cantwell (D-Wash.), who chair the House and Senate Commerce Committees, respectively. It was done. And the content looks very familiar from my vantage point here in Europe, the home of the General Data Protection Regulation (GDPR).
APRA will allow Americans to opt out of targeted advertising and minimize the amount of personal data held by companies. Companies will be able to grant access to their data, modify or delete it, and request downloadable versions of their data that can be ported to competing service providers. Companies will no longer be able to hand over sensitive personal data without the subject’s explicit consent, and use “dark patterns” on pages where users choose their privacy settings to potentially derail them from exercising new rights. It is also prohibited to do so.
Consumers will have the right to opt out of companies that make decisions based on algorithms in important areas such as employment, housing, and education. Businesses must follow stronger data security standards to protect people’s data, and upper management is ultimately responsible, but small businesses (those with less than $40 million in revenue) that don’t collect much data will continue to It is important to note that these are excluded from the scope of this bill. Regulations. The law allows for enforcement by the Federal Trade Commission (FTC) and individual lawsuits by victims.
Of course, many of these rights are already granted to Americans, but only in certain states. The lack of a comprehensive federal data privacy law makes the patchwork of state laws increasingly confusing. One example: California, Colorado, Connecticut, Utah, and Virginia all allow users to opt out of targeted advertising, but require opt-out language and include an opt-out link on the service’s home page. Only California requires it. And these are just the states that have already enacted such laws: Delaware, Indiana, Iowa, Montana, New Hampshire, New Jersey, Oregon, Tennessee, and Texas over the next two years. All states are expected to introduce their own legislation. A comprehensive privacy law will be implemented.
APRA would almost completely level the playing field by preempting all state privacy laws except in certain legal areas such as civil rights, consumer protection, and contracts. This is a big problem for tech companies because it means predictability (GDPR brought similar benefits in the EU when it took effect about six years ago).
However, this is also a major problem for APRA’s prospects in Congress. The last major push of this kind was the American Data Privacy and Protection Act of 2022 (ADPPA). This was also a collaboration with Rogers, but Cantwell did not do it It would have preempted state law and provided less protection to Americans in general than, for example, to Californians. Supporters of the new proposal promise it will be “more powerful” than any state law.
“This landmark legislation gives Americans the right to control where their information goes and who sells it,” Rogers said in a statement yesterday. “I am grateful to my colleague, Senator Cantwell, for his bipartisan collaboration on this important bill, and I look forward to passing it through the Energy and Commerce Standing Order this month,” Rogers said. Noting that Americans “overwhelmingly want these rights,” Cantwell described the agreement as “the protections Americans deserve in the information age.”
In fact, Pew Research polls consistently show that a majority of American adults, both Democratic and Republican, want more regulation of consumer data (although Democrats are more likely to want more regulation). slightly more likely to request reinforcement).
Big tech companies have also been openly enthusiastic about passing appropriate federal privacy laws, with Meta’s Mark Zuckerberg, Microsoft’s Satya Nadella, and Apple’s Tim Cook all recently There’s also Microsoft’s head of privacy, Julie Brill, who has been calling for something like the US GDPR for years. Late last night, the industry’s first reaction to the APRA proposals was set out. “The United States has long deserved to join the rest of the world in enacting comprehensive privacy laws,” said Brill, former FTC commissioner. Posted in Xapplauded Cantwell and Rodgers.
But the lobbying begins again. Everyone wants a predictable and harmonized regulatory landscape, but full EU-grade privacy that limits what U.S. consumers can do with the personal data that companies hold, especially personal data. I don’t think everyone wants to get rights. The explosion of AI has made these resources more valuable than ever. Please see the news below for more information.
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