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               Congressional
            *Research Service






Regulating Big Tech: Legal Implications



Updated June 17, 2019
This Sidebar will be regularly updated to include additional CRS products in the list at the end.
Amidst growing debate over the legal framework governing social media sites and other technology
companies, several Members of Congress have expressed interest in expanding current regulations of the
major American technology companies, often referred to as Big Tech. This Legal Sidebar provides a
high-level overview of the current regulatory framework governing Big Tech, several proposed changes
to that framework, and the legal issues those proposals may implicate. The Sidebar also contains a list of
additional resources that may be helpful for a more detailed evaluation of any given regulatory proposal.

Current Regulatory Landscape

The big five tech companies-Alphabet (Google's parent company), Amazon, Apple, Facebook, and
Microsoft-play  a critical role in today's marketplace and in society at large. As commentators have
pointed out, the technology industry has largely developed free from any significant federal regulation,
particularly when viewed in contrast to potentially analogous industries such as radio, television, or
telephone services. There are no omnibus federal laws akin to the Communications Act or the Federal
Aviation Act governing the industry as a whole. Instead, the internet has largely operated under a system
of self-govemance. In fact, one federal law has partially shielded online service providers from lawsuits
that might otherwise limit their conduct: Section 230 of the Communications Decency Act of 1996 (CDA)
immunizes many  online platforms that serve as hosts for user-generated content from some lawsuits that
would impose liability on these platforms for their content-publishing activities. Section 230 immunity is
not absolute, though. Among other exceptions, the law does not shield online platforms from prosecution
under federal criminal statutes-and does not shield platforms from liability for their own content.
Nonetheless, Section 230 does broadly protect platforms' content-hosting activities.
This is not to say, however, that the internet is a completely lawless zone or that there is no federal
regulation of the internet. Individual platforms and their users may be held accountable for actions they
take online. For example, the Department of Justice (DOJ) has indicted a number of sites-including
Backpage.com-under   various criminal statutes, alleging that the platforms unlawfully facilitated
prostitution. Internet platforms may also be subject to liability under certain federal laws such as the
Digital Millennium Copyright Act, which generally governs the protection of copyrights online.
Additionally, the Federal Trade Commission (FTC) Act's prohibition of unfair or deceptive acts or
practices (UDAP) applies to most internet platforms and users, and the FTC actively enforces this

                                                                  Congressional Research Service
                                                                    https://crsreports.congress.gov
                                                                                       LSB10309

CRS Legal Sidebar
Prepared for Members and
Committees of Congress

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