Economic Questions:
How effective has COPPA been to date? Are there economic studies that measure the impact of the legislation?
Who will determine the “robust cyber security standards,” and might those serve as a barrier to entry?
How do internet companies authenticate whether users are under the age of 13?
Summary: Introduced by Sens. Hawley (R-MO) and Markey (D-MA). Bipartisan legislation outlines sweeping updates to COPPA in the frame of big tech companies. The legislation imposes several limits with the goal of protecting adolescent users:
Prohibits internet companies from collecting personal and location information from anyone under the age of 13 without parental consent, and requires user consent for ages 13 to 15.
Bans targeted advertising directed at children.
Limits the collection of personal information for teen users by introducing the Digital Marketing Bill of Rights for Teens.
Creates an “Eraser Button,” which allows parents and children to eliminate publicly available personal information when feasible.
Establishes a Youth Marketing and Privacy Division at the FTC.
Prohibits the sale of internet connected devices to children and minors unless they meet “robust cyber security standards.”
Requires manufacturers of devices to display a “privacy dashboard,” which describes how information is collected, transmitted, retained, used, and protected.
Supporters want to bring COPPA into the modern era by protecting kids from extensive data collection. Senator Hawley argued that “Big tech companies know too much about our kids… we know too little about what they are doing with our kids’ personal data.”
Opponents to this bill discuss possible ramifications, including less innovation directed towards children’s devices. Companies may make fewer devices aimed at children, or limit the capabilities of those devices to comply with the risks of violating this update.
References and Further Reading: