FCC's Ajit Pai Says Broadband Market Too Competitive For Strict Privacy Rules (arstechnica.com)

In an op-ed published on the Washington Post, FCC Chairman Ajit Pai and his counterpart at the FTC have argued that strict privacy rules for ISPs aren't necessary in part because the broadband market is more competitive than the search engine market. From a report on ArsTechnica: Internet users who have only one choice of high-speed home broadband providers would probably scoff at this claim. But an op-ed written by Pai and Acting FTC Chair Maureen Ohlhausen ignored the lack of competition in home Internet service, focusing only on the competitive wireless broadband market. Because of this competition, it isn't fair to impose different rules on ISPs than on websites, they wrote. "Others argue that ISPs should be treated differently because consumers face a unique lack of choice and competition in the broadband marketplace," Pai and Ohlhausen wrote in their op-ed. "But that claim doesn't hold up to scrutiny either. For example, according to one industry analysis, Google dominates desktop search with an estimated 81 percent market share (and 96 percent of the mobile search market), whereas Verizon, the largest mobile broadband provider, holds only an estimated 35 percent of its market." [...] Instead of addressing the lack of competition in home Internet service, Pai and Ohlhausen simply didn't mention it in their op-ed. But they argued that ISPs shouldn't face stricter privacy rules than search engines and other websites because of the level of competition in broadband and the amount of data companies like Google collect about Internet users. "As a result, it shouldn't come as a surprise that Congress decided to disapprove the FCC's unbalanced rules," they wrote. "Indeed, the FTC's criticism of the FCC's rules last year noted specifically that they 'would not generally apply to other services that collect and use significant amounts of consumer data.'"

Comments

Of course, he did

[UnknowingFool]

Welcome to the Trump Administration where whatever craziness you say is overshadowed by the crazier things the President says. He says that the broadband market is more competitive than the search engine market and (because of this) ISPs should be allowed to sell privacy data of their customers.

First of all let's address the main problem with his argument which is the false comparison. There are only a few players in the search engine market which is true; however, that is due to competition based on consumer choices. Many consumer choose to use Google over Bing. Many consumers cannot choose one ISP over another as there is often only one choice. Indeed if a consumer chooses to switch to Bing, it is as simple as not using Google. Many consumers cannot switch ISPs. Second whether or not Google has more of a marketshare than Bing does not mean Comcast can sell your browsing history.

The main problem with comparing whether Google has a right to sell your data and Comcast does not all comes down to implied agreements. When you use Google for free, it is with the implied consent that your search history is being collected and monetized in exchange for the search service. When you pay Comcast for an Internet connection, there is no implied consent that you paying for a service means that Comcast makes money on your Internet data.

Personally the sale of data is blatant attempt by ISPs to make more money by trying to legislate an exception to the rules. Their argument is that "Google does it, so should we."

Re:Has he been shrooming with Trump or what?

[UnknowingFool]

Google controls Android and requires it apps and is 65% of US phones and 88% worldwide.

It's too bad that no one else offers a competing smartphone OS. I mean where is Apple and Microsoft when we need other phone options?

So if a Verizon customer using Android phones, Google gets to do anything they want with your usage statistics, but Verizon cannot?

What usage statistics do you speak of?

Seems weird that Google would be able to do anything and Verizon do nothing with same data.

I think this is a false equivalence. It's not the same data. Verizon knows every single packet of information on your phone and where it went. Google only know by tracking cookies what sites you visit; what emails you get through gmail. Not necessarily the same thing.