Google is Trying to Water Down First U.S. Data-Privacy Law

Google is Trying to Water Down First U.S. Data-Privacy Law
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Google and its industry allies are making a late bid to water down the first major data-privacy law in the U.S., seeking to carve out exemptions for digital advertising, according to Bloomberg.

A lobbyist for Google recently distributed new language to members of California’s state legislature that would amend the California Consumer Privacy Act. As currently drafted, the law limits how Google and other companies collect and make money from user data online, threatening a business model that generates billions of dollars in ad revenue. It’s due to kick in next year and there are only a few more days to amend the law.

The lobbying push seeks legislative approval to continue collecting user data for targeted advertising, and in some cases, the right to do so even if users opt out, according to the documents and the people familiar with the negotiations. It’s unclear if the language circulating in the state capitol’s corridors was drafted by Google, and other lobbyists are likely asking for similar changes.

A spokesman for Google said the company has long supported privacy legislation that protects consumers’ data and encourages innovation. “The CCPA will impose new obligations on thousands of small and large businesses, and it is critical that its requirements are clearly defined,“ he added in a statement. “We are encouraged that California legislators have been considering clarifications to the law in recent months.“

One proposal shared by the lobbyist would let Google and others use data collected from websites for their own analysis, and then share it with other companies that may find it useful. This includes firms that are not involved with the website in question. Currently, the CCPA prohibits the sale or distribution of user data if the user has opted out, with limited exceptions.

Another change would loosen the definition of “business purpose“ when it comes to selling or distributing user data. The law currently defines this narrowly and has a list of specific activities, such auditing and security, that will be allowed. Google’s lobbyist shared new language that significantly broadens the rule by replacing the phrase “Business purposes are“ with “Business purposes include,“ before the list of approved activities. The proposal may also create a loophole for companies when users request access to their data or ask for their information to be deleted.

The Google representative, who distributed the revised language in recent weeks, has yet to find a lawmaker to sponsor the amendments, according to people familiar with negotiations. The proposal must be in a bill by Sept. 10 to be eligible for lawmakers to vote on it before they adjourn for the year on Sept. 13.