New Consumer Privacy Act makes it easier for consumers to opt out of data sharing, and harder for large businesses to profit off their users.
As the saying goes, if you’re not paying for it then YOU are the product. This has been the business model for millions of companies that collect and sell user data to develop targeted ads, including Google, Facebook, and more. That’s why these companies are running scared at California’s new legislation that goes into effect this year, the 2020 Consumer Privacy Act (CCPA).
According to the Daily Grind, “The law, which is being copied in nearly half of the states, could permanently change the online economy by decreasing the value of targeted ads.”
This is bad news for the big companies who have been profiting off of making it hard for you to opt out of data sharing, and then selling your data, this legislation – that will impact every company in business that work in anyway with California (ahem, Silicon Valley). This is GREAT news for our right to privacy, which has been largely ignored with the tech boom.
The CCPA applies to businesses that make an annual revenue of at least $25,000, have access to 50,000 or more people’s personal information, or that get at least 50% of their revenue from user data sales. These businesses must allow consumers two ways to inquire about any data collected on them, inquire two times a year, and have their data deleted at the consumer request. If user data is accessed or stolen, the consumer may sue the company. This legislation also requires businesses to provide the consumer an easy way to opt-out of their data being sold. Companies ARE allowed to charge consumers who opt-out more for the same services as provided to consumers who do not opt out. In this way, the consumer can choose whether or not they want to be the company’s product.
With so many businesses involved in California, and other states following suit, this legislation sets the groundwork for meaningful consumer privacy. So far, this only affects large companies and companies that primarily make their money off data sales. That means a lot of small and mid-sized companies, and those unaffiliated with anything California can still have convoluted data privacy policies this year. Always learn what data is being shared and with whom, and how to opt-out. If the service is free, chances are your data is being harvested for sale. Do your own investigating, or contact me at Mignolet@Bellsouth.net to get to the bottom of it.