Updates to COPPA Are Being Proposed by the FTC. Here's a Summary of What This Means
The Federal Trade Commission (FTC) has announced plans to update the Children's Online Privacy Protection Act (COPPA), a law enacted in 2000 that aims to protect the privacy of children under 13 online. The proposed changes come through agency rulemaking rather than legislatively.
The FTC's proposed updates aim to better protect student data by requiring technology providers to take a bigger role in data privacy efforts and limiting the ability to monetize student information. Key changes include codifying edtech guidance, which could significantly alter how schools operate due to its vague nature.
One of the most significant proposed changes is requiring separate opt-in consent for third-party disclosures. The FTC also proposes limiting companies' nudging of kids to stay online and restricting the "support for internal operations" exception for edtech companies.
Another notable change is the expansion of the definition of "personal information" to include biometric identifiers. The FTC's proposal also includes strengthening data security requirements.
The FTC's proposed changes have received a joint statement from Senators Bill Cassidy (R-LA) and Edward Markey (D-MA), who praised the effort but also emphasised the need for both rulemaking and congressional action to prioritise student privacy. Senators Ed Markey and Marsha Blackburn have also expressed support for the FTC's announcement.
The Senate has shown more interest in student privacy bills, yet none have passed the full Senate or been introduced in the House. The public is invited to comment on the proposed changes, with the deadline for comments set for March 11, 2024. Comments can be filed at https://www.regulations.gov by following the instructions on the web-based form and writing "COPPA Rule Review, Project No. P195404" on any comment.
The FTC received more than 175,000 comments in response to the proposed updates, from various stakeholders including parents, educators, industry members, researchers, and others. The FTC's proposed changes to COPPA are currently in the Notice of Proposed Rulemaking stage.
Senators Bill Cassidy and Edward Markey have also released a joint statement applauding the FTC's proposed updates but also stating that this effort should not be considered a replacement for congressional action. They expressed a wish to quickly pass the Children and Teens' Online Privacy Protection Act (COPPA 2.0) to prioritise the well-being of children.
The FTC's proposal also includes increasing accountability for Safe Harbor programs. These updates, if implemented, will likely lead to at least some modernization of privacy rules before Congress can act.
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