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President Biden today signed a wide-ranging executive order with the aim of promoting competition. EPIC has long argued that market consolidation in online platform threatens privacy. The Executive Order aims to address the ways in which dominant tech firms are undermining competition and reducing innovation in three ways: 1) greater scrutiny of mergers, especially by dominant internet platforms, with particular attention to the acquisition of nascent competitors, serial mergers, the accumulation of data, competition by “free” products, and the effect on user privacy; 2) encouraging the FTC to establish rules on "unfair data collection and surveillance practices that may damage competition, consumer autonomy, and consumer privacy"; and 3) encouraging the FTC to establish rules barring unfair methods of competition on internet marketplaces. More than a decade ago, EPIC urged the FTC to block Google’s proposed acquisition of DoubleClick. EPIC said that the acquisition would enable Google to collect the personal information of billions of users and track their browsing activities across the web. EPIC correctly warned that this acquisition would accelerate Google’s dominance of the online advertising industry and diminish competition. The FTC ultimately allowed the merger to go forward. EPIC has since repeatedly warned FTC that other mergers posed similar risks to consumer privacy and competition, including Facebook's acquisition of WhatsApp.
The House of Representatives passed the Consumer Protection and Recovery Act (H.R. 2668) Tuesday on a 221-205 vote. The bill explicitly authorizes the Federal Trade Commission to seek monetary relief for injured consumers in federal court and to require bad actors to return money obtained through illegal actions. The amendment to the FTC Act restores a key piece of the FTC's Section 13(b) power, which the FTC previously used to obtain restitution and disgorgement for wronged consumers until the Supreme Court recently limited this authority in AMG Capital Management v. FTC. On Monday, the House Rules committee voted to advance the bill to a floor vote, with bill sponsors stressing that “the urgency is not hypothetical.” The White House has also expressed support for the bill. EPIC has long called for greater protection of consumer privacy through FTC enforcement and the imposition of financial penalties against companies who engage in unfair data practices. Recently, EPIC published a report that highlighted a number of key authorities that the FTC should use to address emerging privacy threats.
This page contains all entries posted to epic.org in July 2021. They are listed from oldest to newest.
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