What Will Competition Policy in 2019 Look Like?

Posted by DisCo

What Will Competition Policy in 2019 Look Like?

By Matthew Lane

2019 is here, and it is looking like competition issues will be a big part of policy considerations for the year. It’s a good time to take a step back and look at where we are likely headed. Here are my 2019 predictions:

Tech Issues Addressed Through Privacy/Data Protection Legislation

Tech remains a hot topic in discussions of U.S. competition policy. However, the focus in 2019 will probably put privacy demands as first priority. A recent Progressive Policy Institute (PPI) poll showed that tech remains popular, and a majority do not share the belief that dramatic action, like breakups, are needed. But the poll did show that a majority were concerned about tech companies’ handling of privacy and data protection. These issues, while separate, are linked because strong data protection is an important part of protecting against the misuse of consumers’ data.

This issue is ripe for legislative action. There have been numerous data breaches putting consumers at risk, including Equifax, Marriott, Wyndham, Adult Friend Finder, Target, and Sony Playstation Network. Additionally, we also have several models of privacy protection to learn from, including GDPR and California’s Consumer Privacy Act. Action on privacy and data protection has bi-partisan voter support. Additionally, many tech companies and businesses support some form of federal privacy regulation.

However, it is important to note that there are competition policy elements that must be considered in the drafting of privacy and data protection legislation. First, any legislation with a substantial compliance cost has a risk of having a greater impact on small businesses and startups. This is something we should look to learn from GDPR, as early reports suggest that compliance has led to extraordinary costs and therefore disadvantaged smaller companies.

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