The FCC has the “clearest legal authority and expertise” to “fully oversee” ISPs, Chair Lina Khan said during an FTC meeting Thursday. Trade commissioners voted unanimously to release a staff report on ISP privacy practices (see 2110180046), with all four agreeing it revealed important findings about data collection.
Karl Herchenroeder
Karl Herchenroeder, Associate Editor, is a technology policy journalist for publications including Communications Daily. Born in Rockville, Maryland, he joined the Warren Communications News staff in 2018. He began his journalism career in 2012 at the Aspen Times in Aspen, Colorado, where he covered city government. After that, he covered the nuclear industry for ExchangeMonitor in Washington. You can follow Herchenroeder on Twitter: @karlherk
Congress should support a bill that would deliver “long overdue” independent research on social media’s impact on child development, said House Health Subcommittee Chair Anna Eshoo, D-Calif., at a hearing Wednesday. Commerce Committee Chairman Frank Pallone, D-N.J., also drew attention to the measure, HR-2161. The Children and Media Research Advancement Act would authorize a National Institutes of Health research program on the effects of tech and media on infants, children and adolescents. There would be $15 million for research 2022-24, and $50 million for 2025-26. The bill was reintroduced in March by Sens. Ed Markey, D-Mass.; Ben Sasse, R-Neb.; Roy Blunt, R-Mo.; Brian Schatz, D-Hawaii; Susan Collins, R-Maine; and Michael Bennet, D-Colo.; and Reps. Jamie Raskin, D-Md.; Anthony Gonzalez, R-Ohio; and Lori Trahan, D-Mass. Microsoft, Amazon, Google, Apple, Facebook, Charter Communications and the Internet Association support the legislation. Social media companies can’t be trusted to “do the right thing” for youth, said Eshoo. The bill would stop tech companies from evading scrutiny about their impact on child development, she said.
Senate Judiciary Committee Chairman Dick Durbin, D-Ill., is looking to advance the discussion on a measure that would prohibit online platforms from self-preferencing their own products (see 2110140068). He told us he’s in discussions with ranking member Chuck Grassley, R-Iowa, and Senate Antitrust Subcommittee Chair Amy Klobuchar, D-Minn., about a legislative hearing for the American Innovation and Choice Online Act. “I’m discussing it with both of them,” said Durbin. “We haven’t made a final decision.”
Lack of transparency on patent ownership is a threat to U.S. competitiveness and national security, said Senate Intellectual Property Subcommittee Chair Patrick Leahy, D-Vt., during a hearing Tuesday. Foreign companies can buy U.S. patents without the public knowing, said Leahy, who introduced legislation with ranking member Thom Tillis, R-N.C. The bill requires patent owners to record updated ownership information with the Patent and Trademark Office when a patent changes hands. Failure to record ownership information would mean entities aren’t allowed to recoup damages for IP ownership. China is an increasing threat on royalties involving 5G technology, laptops, connected cars and semiconductors, said Intel Senior Vice President Allon Stabinsky. He noted only one American company is on the list of top 10 patent holders. China has four, Europe has two and Japan one, he said: This has “profound implications” for American competitiveness, he said. The legislation proposes a reasonable and balanced remedy, said Engine IP Counsel Abby Rives: The patent owner can still seek reasonable royalties and lost profits but would give up the ability to push damages higher during the period the owner failed to disclose the required information.
The FTC study of ISP data collection practices could lead to enforcement or rulemaking proceedings, former agency officials said in interviews before Thursday’s meeting (see 2110140070).
Legislation unveiled Thursday would prohibit online platforms from self-preferencing their own products. Modeled after bipartisan legislation in the House, the American Innovation and Choice Online Act will be introduced by Senate Antitrust Subcommittee Chair Amy Klobuchar, D-Minn., and Senate Judiciary Committee ranking member Chuck Grassley, R-Iowa.
Congress needs to identify an AI regulatory framework so companies like Facebook can be held accountable for biases and side effects associated with algorithms, said House AI Task Force Chairman Bill Foster, D-Ill., during a hearing Wednesday.
Different antitrust interpretations of the FTC and Sherman Acts create a “dangerous” enforcement divide between the FTC and DOJ, ex-FTC Chairman Tim Muris told a NetChoice panel Wednesday. Companies can expect different sets of rules based on agency, he said. Noting all chairs take over with their own agendas, ex-FTC acting Chief Technologist Neil Chilson, now a researcher at Stand Together, said Chair Lina Khan’s approach seems to be to “move fast and break things.” Khan has taken procedural measures, limited bipartisan potential and given herself more power, said Muris, noting Democrats made it easier for the agency to pursue rulemaking. It’s a move away from consensus antitrust enforcement, said ex-acting Chairman Maureen Ohlhausen, now at Baker Botts. This embracing of more rulemaking and regulation is a departure from the consumer welfare standard, said Ohlhausen: Some people feel antitrust has become too difficult to enforce, so this is a sidestep, creating questions about dual enforcement. The three panelists led the agency under Republican presidents. The agency didn't comment.
Facebook and Instagram illegally deceive users and the government by hosting murder videos violating their terms of service, gun safety advocate Andy Parker alleged in an FTC complaint Tuesday. Testimony from whistleblower Frances Haugen last week confirmed Facebook can remove videos but doesn't because it's not in the company’s financial interest, Parker told reporters at the National Press Club. He filed a similar complaint in 2020 against Google and YouTube (see 2002200049). These stem from a video of Parker’s daughter Alison, a reporter who was assassinated on live TV in 2015 (see 2002030059).
Senate Republicans offered favorable impressions of DOJ Antitrust Division chief nominee Jonathan Kanter after his confirmation hearing last week. Sen. Thom Tillis, R-N.C., told us he’s leaning toward a yes vote.