Social Media Giants to Get Their Own Code of Conduct

A new code of conduct will attempt to force social media giants to be more transparent about how they use customers’ data.


FILE PHOTO: The logos of Amazon, Apple, Facebook and Google in a combination photo. REUTERS
FILE PHOTO: The logos of Amazon, Apple, Facebook and Google in a combination photo. REUTERS
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LONDON (Within the Law) - Social media giants such as Facebook and Google are getting their own code of conduct in a bit to give individuals more control over their data. The code which will be drawn up and enforced by a dedicated Digital Markets Unit within the Competition Markets Authority will also aim to create a fairer environment for small businesses online. 

The unit is scheduled to start work in April. Between then and now, the government will consult on what form it should take in early 2021 and legislate as soon as parliamentary time allows. 

The news comes following recommendations from the 2018 Furman Review which proposed a new pro-competition regime for digital platform markets. The House of Lords Communications and Digital Committee endorsed the move to reform what it called a ‘dysfunctional’ online advertising market. 

The new code will require online platforms, and those funded by advertising, to be more transparent about how they use customers’ data and the services they provide. They will also have to give consumers a choice about whether to receive personalised marketing messages and refrain from placing restrictions on users which make it more difficult to use rival platforms. 

The unit will have the power to suspend, block and reverse decisions made by tech giants and order them to take steps to comply with the code with financial penalties being imposed for noncompliance. 

Digital Secretary Oliver Dowden MP said: “There is growing consensus in the UK and abroad that the concentration of power among a small number of tech companies is curtailing the growth of the sector, reducing innovation and having negative impacts on the people and businesses that rely on them. It’s time to address that and unleash a new age of tech growth.”

(Written by Tom Cropper, Edited by Klaudia Fior)

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