{"id":179110,"date":"2022-04-13T20:45:11","date_gmt":"2022-04-13T15:15:11","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=179110"},"modified":"2022-04-13T20:45:11","modified_gmt":"2022-04-13T15:15:11","slug":"big-techs-privacy-promise-to-consumers-could-be-good-news-and-also-bad-news","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/big-techs-privacy-promise-to-consumers-could-be-good-news-and-also-bad-news\/","title":{"rendered":"Big Tech\u2019s privacy promise to consumers could be good news \u2014 and also bad news\u00a0"},"content":{"rendered":"<p aria-level=\"1\"><\/p>\n<p><b><span data-contrast=\"none\">News:<\/span><\/b><span data-contrast=\"none\"> Recently, Facebook accused Apple of abusing its market power. It has been criticized for introducing a new <\/span><b><span data-contrast=\"none\">AppTrackingTransparency<\/span><\/b><span data-contrast=\"none\"> feature on its app store, which aims to enhance the user\u2019s privacy. <\/span><\/p>\n<p><span data-contrast=\"none\">However, in the name of enhancing privacy, it has been alleged to cause <\/span><b><span data-contrast=\"none\">disadvantages to competitors<\/span><\/b><span data-contrast=\"none\">.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<h5><b><span data-contrast=\"none\">What is the new feature?<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/h5>\n<p><b><span data-contrast=\"none\">Apple\u2019s <\/span><\/b><span data-contrast=\"none\">new feature requires apps to request permission from users. The users grant permission for tracking them across other apps and websites or sharing their information with and from third parties.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<h5><b><span data-contrast=\"none\">Why the new feature has been introduced?<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/h5>\n<p><span data-contrast=\"none\">The new privacy measures are poised to <\/span><b><span data-contrast=\"none\">enhance user privacy<\/span><\/b><span data-contrast=\"none\">. These features will check <\/span><b><span data-contrast=\"none\">\u201cpermissionless\u201d<\/span><\/b><span data-contrast=\"none\"> tracking over the internet. It has given consumers more control over how their data is used.\u00a0<\/span><b><span data-contrast=\"none\">\u00a0<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Privacy has become a dimension of <\/span><b><span data-contrast=\"none\">Quality of Service (QoS)<\/span><\/b><span data-contrast=\"none\">. It has also become a method of<\/span><b><span data-contrast=\"none\"> non-price competition<\/span><\/b><span data-contrast=\"none\">. <\/span><\/p>\n<p><span data-contrast=\"none\"><strong>&#8211;<\/strong> For example, <strong>Apple and DuckDuckGo<\/strong> are employing enhanced user privacy as a competitive metric. In 2018, OECD accepted that privacy is a relevant dimension of quality. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">In case privacy becomes a <\/span><b><span data-contrast=\"none\">competitive constraint<\/span><\/b><span data-contrast=\"none\">, then companies will be incentivized to innovate and create <\/span><b><span data-contrast=\"none\">privacy-preserving<\/span><\/b><span data-contrast=\"none\"> and <\/span><b><span data-contrast=\"none\">enhancing technologies.<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">Worldwide regulators recognise <\/span><b><span data-contrast=\"none\">privacy <\/span><\/b><span data-contrast=\"none\">as a serious <\/span><b><span data-contrast=\"none\">metric of quality<\/span><\/b><span data-contrast=\"none\">. <\/span><\/p>\n<p><span data-contrast=\"none\"><strong>&#8211;<\/strong> For instance, the Competition Commission of India (CCI) in <\/span><b><span data-contrast=\"none\">WhatsApp\u2019s \u201ctake-it\u201d or \u201cleave-it\u201d privacy policy case<\/span><\/b><span data-contrast=\"none\"> observed that the WhatsApp policy amounted to degradation of privacy and therefore quality.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<h5><b><span data-contrast=\"none\">What are the potential issues of using privacy as a measure of competition?<\/span><\/b><\/h5>\n<p><span data-contrast=\"none\">A <\/span><b><span data-contrast=\"none\">market-based approach<\/span><\/b><span data-contrast=\"none\"> is being used to regulate privacy in digital platforms. It has been found that a website which does not face strong competition are significantly more likely to ask for more personal information than other services. <\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">It can hurt<\/span><b><span data-contrast=\"none\"> small businesses<\/span><\/b><span data-contrast=\"none\">. They benefit from <\/span><b><span data-contrast=\"none\">targeted advertising services<\/span><\/b><span data-contrast=\"none\">. However, features like this debar them from accessing data. <\/span><\/p>\n<p><span data-contrast=\"none\"><strong>&#8211;<\/strong> For example, Facebook has shown itself as a provider of<\/span><b><span data-contrast=\"none\"> privacy-centred alternatives<\/span><\/b><span data-contrast=\"none\">. It has been misusing its market power. It has misused privacy in order to reduce competitor in the market, and The Google<\/span><b><span data-contrast=\"none\">\u2019s Privacy Sandbox project<\/span><\/b><span data-contrast=\"none\"> has been criticized by the<\/span><b><span data-contrast=\"none\"> UK\u2019s competition authority (CMA)<\/span><\/b><span data-contrast=\"none\"> for concentrating on online advertising.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">The proposed changes aim to<\/span><b><span data-contrast=\"none\"> reduce competition<\/span><\/b><span data-contrast=\"none\"> in the market. For example, the Big Tech often acquires other firms to eliminate potential competition. It has been described as a <\/span><b><span data-contrast=\"none\">\u201ckill zone\u201d<\/span><\/b><span data-contrast=\"none\"> by specialists.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">There is an absence of a modern framework for competition in the digital market. They continue to rely on the <\/span><b><span data-contrast=\"none\">Bork\u2019s theory of consumer welfare<\/span><\/b><span data-contrast=\"none\">, i.e., the objective of <\/span><b><span data-contrast=\"none\">antitrust<\/span><\/b><span data-contrast=\"none\"> should be to maximise consumer welfare. It is best pursued through promotion of <\/span><b><span data-contrast=\"none\">economic efficiency.<\/span><\/b><span data-contrast=\"none\">\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">The Big Tech, can create barriers for newer entrants in the name of privacy<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<h5><b><span data-contrast=\"none\">Way Forward<\/span><\/b><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/h5>\n<p><span data-contrast=\"none\">Care must be taken so that Big Tech does not misuse privacy to create barriers for newer entrants.\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">The tracking restriction on <\/span><b><span data-contrast=\"none\">third-party t<\/span><\/b><span data-contrast=\"none\">racking should not be arbitrary and extensive.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">The use of privacy as a tool for market development must balance <\/span><b><span data-contrast=\"none\">enabling <\/span><\/b><span data-contrast=\"none\">and<\/span><b><span data-contrast=\"none\"> stifling competition.<\/span><\/b><span data-contrast=\"none\">\u00a0<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"none\">The regulators need to balance user autonomy, consumer protection, innovation, and market competition in digital markets.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:160,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n<p><b><span data-contrast=\"auto\">Source<\/span><\/b><span data-contrast=\"auto\">: The post is based on an article \u201c<strong>Big Tech\u2019s privacy promise to consumers could be good news \u2014 and also bad news<\/strong>\u201d published in the <strong>Indian Express<\/strong> on <strong>13<\/strong><\/span><strong>th<\/strong><span data-contrast=\"auto\"><strong> April 2022<\/strong>.<\/span><span data-ccp-props=\"{&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559740&quot;:276}\">\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>News: Recently, Facebook accused Apple of abusing its market power. It has been criticized for introducing a new AppTrackingTransparency feature on its app store, which aims to enhance the user\u2019s privacy. However, in the name of enhancing privacy, it has been alleged to cause disadvantages to competitors.\u00a0 What is the new feature?\u00a0 Apple\u2019s new feature&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/big-techs-privacy-promise-to-consumers-could-be-good-news-and-also-bad-news\/\">Continue reading <span class=\"screen-reader-text\">Big Tech\u2019s privacy promise to consumers could be good news \u2014 and also bad news\u00a0<\/span><\/a><\/p>\n","protected":false},"author":10328,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,9],"tags":[216,10500],"class_list":["post-179110","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-public","tag-gs-paper-3","tag-indian-express","entry"],"jetpack_featured_media_url":"","views":{"total":0,"cached_at":"","cached_date":1704837445},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/179110","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10328"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=179110"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/179110\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=179110"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=179110"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=179110"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}