In the ongoing debate concerning data broker regulation, trade-offs between competition and privacy are not always holistically appreciated. This article— originally published in Competition Policy International’s TechReg Chronicle— examines the importance of data protection for individual privacy and access to data for competition, discusses the role of data brokers in data privacy and sharing, and reviews existing, new, and proposed regulations of data brokers who now face additional and varying restrictions in state and federal privacy and consumer protection laws that will increase their compliance costs.
While consumers may benefit from added privacy protections if the new laws and regulatory actions enhance data accuracy, the quality of disclosures, transparency, and fair information processing practices, consumers may suffer from increased fraud, reduced competition, fewer charge-free information services, price increases, and stifled innovation if additional regulations result in reduced competition, data sharing, and information availability. Smart, balanced regulations can create an environment where data brokers have a positive impact on the competitive marketplace.
Read the full article here.
Copyright CPI TechREG Chronicle reproduced with permission: https://www.pymnts.com/cpi_posts/data-broker-regulation-competition-v-privacy-considerations-trade-offs/