Two lawmakers in the US have come to a bipartisan agreement that could establish a national law regulating how companies collect, share, and use Americans’ online data, providing all Americans with a basic right to digital privacy. This proposal is similar to the EU’s GDPR and aims to address the unregulated sharing and selling of personal data. The agreement would create a single federal standard governing digital privacy in the US, potentially overriding state-based privacy laws like those in California.
Personal data has become essential for the modern economy, with companies using it to train advanced AI models. The proposed American Privacy Rights Act, released as a discussion draft, covers data brokers, tech platforms, telecom providers, and other organizations that interact with internet users. It would prohibit the transfer of sensitive personal data without explicit approval, allow users to opt-out of targeted advertising, and give individuals the right to request copies of their data or have it deleted.
The legislation also addresses concerns about foreign adversaries accessing Americans’ personal data, requiring companies to disclose if data is sent to countries like China or Russia. The agreement between Republicans and Democrats breaks a years-long deadlock over the scope of a national privacy law, preempting state privacy laws and allowing individuals to sue companies for violations. The lawmakers believe this draft legislation is a significant opportunity to establish a national data privacy and security standard that gives individuals control over their personal information.
Despite the progress made with this bipartisan agreement, the legislation still faces challenges in clearing both committees, passing both chambers of Congress, and reaching President Biden’s desk. Policy experts have expressed doubts about the likelihood of Congress passing significant legislation leading up to the 2024 election. Additionally, one of the bill’s co-sponsors, Rep. McMorris Rodgers, has announced she will not run for reelection, potentially complicating the bill’s future without her influence in the House.
