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S. 2597

BillFederalSenateIn Committee
To amend the Clayton Act to establish a new Federal commission to regulate digital platforms, including with respect to competition, transparency, privacy, and national security.
About This Bill
Committee
Latest Action · July 27, 2023
Read twice and referred to the Committee on the Judiciary.
Congress
118th (2023–2025)
Introduced
July 27, 2023
Cosponsors (1)
0D 1R
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Summary

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# Digital Consumer Protection Commission Act of 2023 This bill creates a new independent federal agency called the Digital Consumer Protection Commission to regulate large tech platforms on competition, privacy, transparency, and national security issues. The commission would have 5 commissioners appointed by the President and confirmed by the Senate. It would oversee "dominant platforms"—basically large social media sites, search engines, and online marketplaces that meet certain size thresholds (such as 50 million U.S. monthly active users for publicly traded companies). Platforms would need licenses to operate and must comply with new rules covering content moderation, data handling, anti-competitive practices, and foreign ownership restrictions. The bill imposes several requirements on dominant platforms: they must disclose their content moderation rules, provide appeal processes for users whose content is removed, allow users to port their data to competitors, stop using algorithmic recommendation systems based on cross-platform tracking, and implement strong data security measures. It also restricts targeted advertising, requires privacy policies in plain language, and limits how platforms can use sensitive personal data like health or financial information. On competition, the bill restricts dominant platforms from favoring their own products over competitors on their platform, bans certain anti-competitive practices like non-compete agreements with workers, and requires the commission to review acquisitions by dominant platforms. The bill also addresses national security by restricting data processing in certain countries and requiring bot identification. The commission would be funded with $500 million annually. The bill takes effect one year after enactment, with initial rules required within one year. It empowers state attorneys general and private citizens to sue for violations and allows federal agencies to enforce specific sections.

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