The Ethics of Data Brokerage: A Growing Concern

Recent revelations about data brokerage practices have spotlighted the alarming categories of personal data available for purchase. Lists offered by brokers reportedly include individuals with dementia, children with depression, and service members struggling with gambling addictions. These examples underscore the urgent need for stronger regulations to protect vulnerable populations from exploitation.

In response, the U.S. Congress is considering the Protecting Americans' Data from Foreign Adversaries Act of 2024 (H.R. 7520). This proposed legislation prohibits data brokers from selling sensitive personal information to foreign adversaries or entities under their control. The bill seeks to prevent misuse of data that could compromise national security or individual privacy.

The act empowers the Federal Trade Commission to enforce penalties for violations and defines “sensitive data” broadly, encompassing health information, geolocation, and government-issued identifiers. While a step forward, the bill also raises questions about domestic practices and ethical boundaries in data commerce.

The full text of H.R. 7520 is available here.

Edward Tatton @Etatton