DMA: ‘Do Not Track Online Act’ Is Unnecessary
The DMA remains concerned that legislative proposals regarding the Internet run the risk of undercutting the leading area of American dominance and job growth. In 2010 alone, companies spent over $25.4 billion on digital advertising, which supported over 3.1 million jobs and generated $503.6 billion in sales. The collection and use of data for marketing and advertising purposes, which fuels the Internet economy, benefits both businesses and consumers, and is, in fact, the cornerstone of what makes direct marketing “direct.” “Information has been a driver of competition in our economy for over 100 years,” Woolley said,” and DMA is wary of any legislation that upsets the information economy without a showing of actual harm to consumers.”
Further, the DMA is concerned that this latest legislative proposal would impose untold regulatory compliance costs on businesses without a showing that there is a market failure or a need to regulate, and without addressing the actual harms of fraud and identity theft that face thousands of businesses and consumers every year. The DMA supports federal data security legislation that would create a national breach notification standard and has worked with members in both the House and Senate over the course of the past several years to refine data security proposals such that they succeed in their aim of addressing identity theft without adversely affecting the flow of information vital to our economy.
DMA looks forward to continued conversation with Senator Rockefeller and his staff to ensure that any legislation addresses actual consumer harm effectively while safeguarding the growth of the Internet and the technological innovation that drives the US economy.