Bill Overview
Title: Banning Surveillance Advertising Act of 2022
Description: This bill restricts online advertising that targets an individual, internet-connected device, or group of individuals or devices based on personal information. Personal information includes information that is reasonably linkable to an individual or connected device such as internet browsing history or the content of communications. The bill generally prohibits (1) online advertisers from using personal information, including personal information that identifies an individual as a member of a specified protected class, to target advertising; and (2) advertising facilitators (i.e., entities that receive compensation for disseminating online advertisements) from using personal information to disseminate targeted advertising or knowingly enabling online advertisers to do so. The bill allows certain exceptions, including for advertisements disseminated based on (1) content with which an individual is engaging, such as search results, if the advertisement is displayed in close proximity to the individual's engagement with the content; or (2) a state, market area, or other geographic location associated with an individual. Furthermore, an advertising facilitator may use information provided by an advertiser or third party if that advertiser or third party also attests in writing that the information complies with the bill's requirements. The bill provides for enforcement of these provisions by the Federal Trade Commission, states, and individuals.
Sponsors: Sen. Booker, Cory A. [D-NJ]
Target Audience
Population: People who regularly use the internet and engage with digital content
Estimated Size: 280000000
- Surveillance advertising, also known as targeted advertising, relies on personal data. This bill seeks to ban this practice, which would affect digital marketing strategies globally.
- Individuals who regularly access the internet and consume online content will be most directly impacted as their advertisement experience could change significantly.
- Online advertisers and advertising facilitators who leverage data-driven advertising models will need to pivot their strategies.
- This legislation focuses on personal data use, which affects people globally who use internet services and whose data is typically collected for ad targeting.
Reasoning
- The policy primarily targets internet users, particularly those engaged in activities that would expose them to targeted advertising. This spans a wide demographic ranging from young adults and professionals to retirees who are frequent internet users.
- Digital advertisers are significantly impacted due to the need to overhaul their advertising models away from personal data reliance, affecting profitability and strategy.
- Non-digital sectors or people less exposed to targeted content (e.g. those primarily using the internet for basic communication) may be less affected.
- The $150 million budget suggests funding for enforcement and policy rollout, likely prioritizing sectors with high advertising spends and user exposure.
- The population affected can be wide-ranging, from tech-savvy individuals concerned with privacy to those unaware of targeted advertising's depth.
Simulated Interviews
Digital Marketing Specialist (New York, NY)
Age: 25 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 10/20
Statement of Opinion:
- This policy will require us to rethink our strategies. We might need to shift to content marketing or other organic methods which could increase costs.
- Privacy is important, but such drastic measures can disrupt the market.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 7 |
| Year 2 | 5 | 7 |
| Year 3 | 5 | 8 |
| Year 5 | 6 | 8 |
| Year 10 | 7 | 8 |
| Year 20 | 8 | 9 |
Software Engineer (San Francisco, CA)
Age: 34 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 10.0 years
Commonness: 8/20
Statement of Opinion:
- This could enhance user privacy, which is something I'm very passionate about.
- There might be technical challenges for companies adjusting, but in the long term, user trust could increase.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 9 | 9 |
| Year 10 | 9 | 9 |
| Year 20 | 10 | 10 |
Small Business Owner (Austin, TX)
Age: 45 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 5.0 years
Commonness: 6/20
Statement of Opinion:
- My business depends on affordable and effective advertising. Without targeted ads, costs might go up.
- I understand the privacy concerns, but a balance must be struck to not harm businesses.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 4 | 6 |
| Year 2 | 4 | 6 |
| Year 3 | 5 | 7 |
| Year 5 | 6 | 8 |
| Year 10 | 7 | 8 |
| Year 20 | 8 | 9 |
College Student (Columbus, OH)
Age: 19 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 2.0 years
Commonness: 14/20
Statement of Opinion:
- I support more privacy but am concerned about how this might affect the free content I get online now paid for by ads.
- If ads become less relevant, it might just be noise and increase subscription costs.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 8 |
| Year 10 | 8 | 9 |
| Year 20 | 9 | 9 |
Retired (Chicago, IL)
Age: 60 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 0.0 years
Commonness: 12/20
Statement of Opinion:
- It's about time we had such protection. I have always been cautious online.
- I rarely click ads, so this won't impact me directly but gives peace of mind about data privacy.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 7 |
| Year 20 | 7 | 7 |
Freelance Journalist (Seattle, WA)
Age: 28 | Gender: other
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 5/20
Statement of Opinion:
- This policy marks an important shift towards responsible data use.
- Expect initial resistance but ultimately positive shifts in how companies value privacy.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 9 | 8 |
| Year 20 | 9 | 8 |
Entrepreneur (Los Angeles, CA)
Age: 42 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 7/20
Statement of Opinion:
- We may need to reconsider the revenue streams that rely on ad-funded services.
- Understanding this as a step toward digital maturity and societal responsibility.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 9 | 9 |
| Year 20 | 10 | 10 |
Stay-at-home Parent (Atlanta, GA)
Age: 30 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 3.0 years
Commonness: 11/20
Statement of Opinion:
- I like seeing relevant ads, but if this helps with privacy, I support it.
- Online platforms might need to find new ways to fund services.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 7 |
| Year 2 | 6 | 7 |
| Year 3 | 7 | 8 |
| Year 5 | 7 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 9 |
Consultant (Miami, FL)
Age: 50 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 10.0 years
Commonness: 9/20
Statement of Opinion:
- The tech industry needs to adapt to regulations.
- Clients will benefit from more secure user data handling.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 9 |
| Year 10 | 9 | 9 |
| Year 20 | 9 | 9 |
Graduate Student (Portland, OR)
Age: 22 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 3.0 years
Commonness: 6/20
Statement of Opinion:
- These regulations are crucial for responsible media development.
- I am concerned about the implications for online content funding models.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 9 | 9 |
Cost Estimates
Year 1: $150000000 (Low: $100000000, High: $200000000)
Year 2: $150000000 (Low: $100000000, High: $200000000)
Year 3: $175000000 (Low: $125000000, High: $225000000)
Year 5: $200000000 (Low: $150000000, High: $250000000)
Year 10: $250000000 (Low: $200000000, High: $300000000)
Year 100: $500000000 (Low: $400000000, High: $600000000)
Key Considerations
- Digital advertising industry will need to pivot from targeted advertising models, necessitating innovation to maintain efficiency.
- Potential for increased consumer trust and privacy can lead to longer term benefits not captured in immediate fiscal estimates.
- Adjustment costs may vary widely among different-sized businesses, affecting innovation and cost structures.