FCC Stays Data Privacy Changes

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The FCC late yesterday blocked a portion of its Net Neutrality rules from taking effect — a data security regulation the agency says would have subjected internet service providers (ISPs) to a different standard than that applied to other types of companies regulated by the Federal Trade Commission. The regulation, passed under the previous administration, would have become effective today, March 2. The move was expected; Twenty-two entities, including telecom associations CTIA, CCA, USTelecom, NTCA – The Rural Broadband Association and WTA – Advocates for Rural Broadband in addition to cable and internet associations, filed a stay, calling the rules unnecessarily restrictive, Inside Towers reported.

The stay will remain in place until the Commission is able to act on pending petitions for reconsideration; it will also provide time for both agencies to work together to develop one, consistent framework for protecting data privacy. “Americans care about the overall privacy of their information when they use the internet, and they shouldn’t have to be lawyers or engineers to figure out if their information is protected differently depending on which part of the internet holds it,” said FCC Chairman Ajit Pai and Acting FTC Chair Maureen Ohlhausen. 

Broadband providers previously released a voluntary set of “ISP Privacy Principles” that are consistent with the FTC’s long-standing privacy framework, Inside Towers reported. For other telecommunications carriers, the Commission’s pre-existing rules governing data security will remain in place.  

Earlier in the week, FCC Commissioner Mignon Clyburn and FTC Commissioner Terrell McSweeny said the stay should be reconsidered because it weakens the security requirement guarding consumers’ personal data. Also opposing the stay were Sen. Ed Markey, (D-MA), and representatives from consumer groups Free Press, Color of Change, the ACLU and Consumers Union.

“Some now express concern that the temporary delay of a rule not yet in effect will leave consumers unprotected,” said Pai and Ohlhausen. “We agree that it is vital to fill the consumer protection gap created by the FCC in 2015, and today’s action is a step toward properly filling that gap.”

March 2, 2017

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