In February 2018, the European Commission issued a statement outlining the progress made by the three main social media platforms (Facebook, Twitter, and Google+) toward improving consumer protection, based on the requirements it made in March 2017. The EC found that Facebook and, to some extent, Twitter, still have work to do to fulfil the requirements. The EC’s strengthened approach to consumer protection in online platforms is a further example of the increased regulatory scrutiny on tech companies. It also shows how the rules of the countries where their users are will prevail over those of the company’s establishment, in line with the principles set out in the General Data Protection Regulation.
The regulation of big tech draws closer
Statements made at the recent World Economic Forum by businessmen such as George Soros, and by CEOs of tech giants (Salesforce and Uber) show these companies are starting to recognise that stronger regulatory oversight of their industries is inevitable and, to some extent, beneficial. This should be seen as a significant change in direction compared to the time when big tech was warning against the risks of regulating too heavily.
