[House Hearing, 117 Congress]
[From the U.S. Government Publishing Office]






                                

 
   HOLDING BIG TECH ACCOUNTABLE: LEGISLATION TO PROTECT ONLINE USERS

=======================================================================

                             HYBRID HEARING

                               BEFORE THE

            SUBCOMMITTEE ON CONSUMER PROTECTION AND COMMERCE

                                 OF THE

                    COMMITTEE ON ENERGY AND COMMERCE
                        HOUSE OF REPRESENTATIVES

                    ONE HUNDRED SEVENTEENTH CONGRESS

                             SECOND SESSION

                               __________

                             MARCH 1, 2022

                               __________

                           Serial No. 117-70
                           
                           
   
                        
                           
                           


     Published for the use of the Committee on Energy and Commerce

                   govinfo.gov/committee/house-energy
                        energycommerce.house.gov
                        
                         ______

             U.S. GOVERNMENT PUBLISHING OFFICE 
 59-693 PDF           WASHINGTON : 2025
                      
                        
                        
                        
                        
                        
                        
                        
                        
                        
                        

                    COMMITTEE ON ENERGY AND COMMERCE

                    FRANK PALLONE, Jr.,  New Jersey
                                 Chairman
BOBBY L. RUSH, Illinois              CATHY Mc  MORRIS RODGERS, 
ANNA G. ESHOO, California                Washington
DIANA De  GETTE, Colorado              Ranking Member
MIKE DOYLE, Pennsylvania             FRED UPTON, Michigan
JAN SCHAKOWSKY, Illinois             MICHAEL C. BURGESS, Texas
G. K. BUTTERFIELD, North Carolina    STEVE SCALISE, Louisiana
DORIS O. MATSUI, California          ROBERT E. LATTA, Ohio
KATHY CASTOR, Florida                BRETT GUTHRIE, Kentucky
JOHN P. SARBANES, Maryland           DAVID B. Mc  KINLEY, West Virginia
JERRY Mc  NERNEY, California         ADAM KINZINGER, Illinois
PETER WELCH, Vermont                 H. MORGAN GRIFFITH, Virginia
PAUL TONKO, New York                 GUS M. BILIRAKIS, Florida
YVETTE D. CLARKE, New York           BILL JOHNSON, Ohio
KURT SCHRADER, Oregon                BILLY LONG, Missouri
TONY CARDENAS, California            LARRY BUCSHON, Indiana
RAUL RUIZ, California                MARKWAYNE MULLIN, Oklahoma
SCOTT H. PETERS, California          RICHARD HUDSON, North Carolina
DEBBIE DINGELL, Michigan             TIM WALBERG, Michigan
MARC A. VEASEY, Texas                EARL L. ``BUDDY'' CARTER, Georgia
ANN M. KUSTER, New Hampshire         JEFF DUNCAN, South Carolina
ROBIN L. KELLY, Illinois, Vice       GARY J. PALMER, Alabama
    Chair                            NEAL P. DUNN, Florida
NANETTE DIAZ BARRAGAN, California    JOHN R. CURTIS, Utah
A. DONALD Mc  EACHIN, Virginia       DEBBIE LESKO, Arizona
LISA BLUNT ROCHESTER, Delaware       GREG PENCE, Indiana
DARREN SOTO, Florida                 DAN CRENSHAW, Texas
TOM O'HALLERAN, Arizona              JOHN JOYCE, Pennsylvania
KATHLEEN M. RICE, New York           KELLY ARMSTRONG, North Dakota
ANGIE CRAIG, Minnesota
KIM SCHRIER, Washington
LORI TRAHAN, Massachusetts
LIZZIE FLETCHER, Texas

                           Professional Staff

                   TIFFANY GUARASCIO, Staff Director
                 WAVERLY GORDON, Deputy Staff Director
                  NATE HODSON, Minority Staff Director
            Subcommittee on Consumer Protection and Commerce

                        JAN SCHAKOWSKY, Illinois
                                  Chair
BOBBY L. RUSH, Illinois              GUS M. BILIRAKIS, Florida
KATHY CASTOR, Florida                  Ranking Member
LORI TRAHAN, Massachusetts           FRED UPTON, Michigan
JERRY Mc  NERNEY, California         ROBERT E. LATTA, Ohio
YVETTE D. CLARKE, New York           BRETT GUTHRIE, Kentucky
TONY CARDENAS, California, Vice      LARRY BUCSHON, Indiana
    Chair                            NEAL P. DUNN, Florida
DEBBIE DINGELL, Michigan             GREG PENCE, Indiana
ROBIN L. KELLY, Illinois             DEBBIE LESKO, Arizona
DARREN SOTO, Florida                 KELLY ARMSTRONG, North Dakota
KATHLEEN M. RICE, New York           CATHY Mc  MORRIS RODGERS, 
ANGIE CRAIG, Minnesota                   Washington (ex officio)
LIZZIE FLETCHER, Texas
FRANK PALLONE, Jr.,  New Jersey (ex 
    officio)
                             C O N T E N T S

                              ----------                              
                                                                   Page
Hon. Jan Schakowsky, a Representative in Congress from the State 
  of Illinois, opening statement.................................     2
    Prepared statement...........................................     4
Hon. Gus Bilirakis, a Representative in Congress from the State 
  of Florida, opening statement..................................     6
    Prepared statement...........................................     8
Hon. Frank Pallone, a Representative in Congress from the State 
  of New Jersey, opening statement...............................    11
    Prepared statement...........................................    13
Hon. Cathy McMorris Rodgers, a Representative in Congress from 
  the State of Washington, opening statement.....................    15
    Prepared statement...........................................    17

                               Witnesses

Laurel Lehman, Policy Analyst, Consumer Reports..................    21
    Prepared statement...........................................    23
    Answers to submitted questions \3\...........................
Katie McInnis, Senior Public Policy Manager U.S., Duckduckgo, 
  Inc............................................................    43
    Prepared statement...........................................    45
    Answers to submitted questions \3\...........................
Mike Duffey, Special Agent Supervisor, Florida Department of Law 
  Enforcement....................................................    50
    Prepared statement...........................................    52
    Answers to submitted questions...............................   126
Mutale Nkonde, Chief Executive Officer, AI for the People U.S....    56
    Prepared statement...........................................    58
    Answers to submitted questions...............................   145

                           Submitted Material

H.R. 6416 the Banning Surveillance Advertising Act of 2022 \1\
H.R. 6580 the Algorithmic Accountability Act of 2022 \1\
H.R. 6755 the Cooperation Among Police, Tech, and Users to Resist 
  Exploitation Act \1\
H.R. 6786 the Increasing Consumers' Education on Law Enforcement 
  Resources \1\
H.R. 6796 the Digital Services Oversight and Safety Act of 2022 
  \1\
Letter of February 14, 2022, from Christopher Oswald, Executive 
  Vice President, Government Relations the Association of 
  National Advertisers, Driving Growth, to Ms. Eshoo, et al., 
  submitted by Mr. Latta.........................................    99
Letter of March 1, 2022, from Interactive Advertising Bureau, 
  submitted by Ms. Lesko \2\

----------
\1\ Legislation has been retained in committee files and also is 
  available at https://docs.house.gov/Committee/Calendar/
  ByEvent.aspx?EventID=114439.
\2\ The information has been retained in committee files and also 
  is available at https://docs.house.gov/meetings/IF/IF17/
  20220301/114439/HHRG-117-IF17-20220301-SD004.pdf.
\3\ Ms. Lehman and Ms. McInnis, did not answer submitted 
  questions for the record by the time of publications.
Report ``Enhancing the FTC's Consumer Protection Authority to 
  Regulate Social Media Companies'' by Paul M. Barrett and Lily 
  Warnke, NYU/STERN, submitted by Ms. Trahan.....................   102
Letter of February 28, 2022, from Paul Lekas, Senior Vice 
  President, Global Public Policy, Software and Information 
  Industry Association, to Ms. Schakowsky and Mr. Bilirakis, 
  submitted by Ms. Schakowsky....................................   115
Letter of February 28, 2022, from Ms. Rodgers, et al., to Ms. 
  Khan, submitted by Mr. Bilirakis...............................   121
Letter of March 1, 2022, Neil L. Bradley, Executive Vice 
  President, Chief Policy Officer, Head of Strategic Advocacy, 
  U.S. Chamber of Commerce, to Ms. Schakowsky and Mr. Bilirakis, 
  submitted by Mr. Guthrie.......................................   124


   HOLDING BIG TECH ACCOUNTABLE: LEGISLATION TO PROTECT ONLINE USERS

                              ----------                              


                         TUESDAY, MARCH 1, 2022

                  House of Representatives,
  Subcommittee on Consumer Protection and Commerce,
                  Committee on Energy and Commerce,
                                                    Washington, DC.

    The subcommittee met, pursuant to notice, at 10:31 a.m., in 
the John D. Dingell Room 2123, Rayburn House Office Building, 
and remotely via Cisco Webex online video conferencing, Hon. 
Jan Schakowsky, (chair of the subcommittee) presiding.
    Members present: Representatives Schakowsky, Rush, Castor, 
Trahan, McNerney, Clarke, Cardenas, Dingell, Kelly, Soto, 
Craig, Pallone (ex officio); Bilirakis (subcommittee ranking 
member), Upton, Latta, Guthrie, Bucshon, Dunn, Lesko, Pence, 
and Rodgers (ex officio).
    Also present: Representatives Eshoo and Walberg.
    Staff present: Katherine Durkin, Policy Coordinator; 
Waverly Gordon, Deputy Staff Director and General Counsel; 
Jessica Grandberry, Staff Assistant; Tiffany Guarascio, Staff 
Director; Perry Hamilton, Clerk; Ed Kaczmarski, Policy Analyst; 
Zach Kahan, Deputy Director Outreach and Member Service; 
Mackenzie Kuhl, Press Assistant; Jerry Leverich, Chief Counsel, 
Communications and Technology; David Miller, Counsel; Kaitlyn 
Peel, Digital Director; Caroline Rinker, Press Assistant; Chloe 
Rodriguez, Clerk; Andrew Souvall, Director of Communications, 
Outreach, and Member Services; Michele Viterise, Counsel; 
Caroline Wood, Staff Assistant; C.J. Young, Deputy 
Communications Director; Michael Cameron, Minority Policy 
Analyst, Consumer Protection and Commerce, Energy, Environment; 
Peter Kielty, Minority General Counsel; Emily King, Minority 
Member Services Director; Tim Kurth, Minority Chief Counsel, 
Consumer Protection and Commerce; Kate O'Connor, Minority Chief 
Counsel, Communication and Technology; Brannon Rains, Minority 
Professional Staff Member, Consumer Protection and Commerce; 
and Michael Taggart, Minority Policy Director.
    Ms. Schakowsky. The Subcommittee on Consumer Protection and 
Commerce will now come to order.
    Today we will hold a legislative hearing entitled, 
``Holding Big Tech Accountable: Legislation to Protect Online 
Users.''
    Due to COVID-19, members can now participate in today's 
hearing, either in person, remotely, or remotely online via 
conference, and in accord with the updated guidelines issued by 
the attending physician.
    Members, staff, and members of the press can participate in 
the hearing room, and are not required to wear masks.
    For members participating remotely, your microphones will 
be set on mute for the purpose of eliminating inadvertent 
background noise. Members participating remotely will need to 
unmute your microphones each time that you wish to speak.
    Please note--please notice that, once you have unmuted your 
microphone and anything that is--but anything that is said will 
be--can be heard over the loudspeakers. And so you don't want 
to do that.
    Since members are participating from different locations at 
today's hearing, all recognition of members shall--such as--
such for--as such for questions will be in the order of 
subcommittee seniority.
    Documents for the record can be sent to Ed Kaczmarski at 
the email address that was provided to staff, and all documents 
shall be entered into the record at the end of--the conclusion 
of the hearing.
    The Chair now recognizes herself for 5 minutes for an 
opening statement.

 OPENING STATEMENT OF HON. JAN SCHAKOWSKY, A REPRESENTATIVE IN 
              CONGRESS FROM THE STATE OF ILLINOIS

    So today we begin the third legislative hearing of the 
Energy and Commerce Committee to consider legislation to rein 
in Big Tech.
    This subcommittee has worked long and hard to respond to 
the challenge, the challenges presented by Big Tech. But 
despite our scrutiny and repeated calls for change, the tech 
industry has not responded. Now is the time for change and for 
accountability.
    We know social media platforms can be used for good, and we 
have seen in the last week the heroic stories of Ukrainian 
people, and the amazing fight-back that they have shown, and 
courage that they have shown. But misinformation and 
disinformation are seemingly still amplified, and that is 
having dramatic costs for people around the world.
    For example, Russian state-owned media is targeting Spanish 
speakers around the globe with disinformation to--excuse me, 
when it comes to the--what is going on in the invasion of 
Ukraine. Previously, social media abetted a genocide in Myanmar 
and a deadly insurrection on January 6th.
    We are done with apologies and denials from Big Tech 
companies. We are done turning a blind eye when billionaires 
build economic empires by feeding Americans an ever-increasing 
diet of disinformation. It is time to regulate. So we will be 
considering five bills today.
    Ms. Eshoo's bill, the Banning Surveillance--excuse me. What 
does that say?
    Voice. Advertising.
    Ms. Schakowsky. What?
    Voice. Advertising.
    Ms. Schakowsky. OK, the Banning Surveillance Advertising 
Act, which I am a proud cosponsor of, to ban targeting 
advertising that can track individual users across the 
internet.
    Ms. Clarke's bill, the Algorithms Accountability Act, will 
require technology companies using the art of--using artificial 
intelligence to assess the impact of their algorithms on 
consumers--disinformation to--discrimination, rather, to--of 
protected classes no--has no place in our digital world.
    Mrs. Trahan's bill, the Digital Service, Oversight, and 
Safety Act, improves transparency for consumers and ensures 
that research can be--can measure the impact of social media on 
our society.
    Mr. Bilirakis's bill, the CAPTURE Act--that is the short 
title--studies whether law enforcement has the resources to 
keep us safe online.
    Mr. Mullin's bill, the Increasing Consumer Education on Law 
Enforcement Act, empowers consumers to protect the--them--to 
protect themselves.
    So as we refine these proposals, I have no doubt that can 
help create a fairer, safer internet, one that protects 
consumers, and who--and whose business model isn't rooted in 
disinformation.
    So I look forward to the hearing, and welcome all the 
comments of my colleagues on both sides of the aisle, so that 
we can work together on this.
    [The prepared statement of Ms. Schakowsky follows:]

               Prepared Statement of Hon. Jan Schakowsky



    Ms. Schakowsky. And with that, I would like to welcome the 
ranking member, Mr. Bilirakis, for his 5 minutes.

 OPENING STATEMENT OF HON. GUS BILIRAKIS, A REPRESENTATIVE IN 
               CONGRESS FROM THE STATE OF FLORIDA

    Mr. Bilirakis. Thank you so very much, Madam Chair.
    Good morning, and welcome to today's subcommittee 
legislative hearing, our witnesses.
    Today's hearing is the third in a series of what the 
majority calls ``Holding Big Tech Accountable.'' I am--I 
certainly hope the fourth will be on a national privacy and 
data security framework.
    For the December hearing, Republicans invited TikTok to 
testify as our witness, since they are not at the center--they 
are at the center of many of our shared concerns. But TikTok 
declined.
    For this hearing, I appreciate that the majority backed our 
efforts to invite the company, this particular company, TikTok, 
this time on a bipartisan basis. But sadly, TikTok declined yet 
again. I know this isn't what you want, Madam Chair. I 
certainly don't want it, either. So again, very disappointing, 
and we are not going to give up.
    Madam Chair, if we put our heads together, I am sure we can 
figure out a way to get this company, this particular company, 
TikTok, before our subcommittee, like so many others who have 
appeared as part of our country's democratic process. How very 
arrogant of them. But again, we are not going to give up. We 
need to hear from TikTok.
    The legislation today covers a broad range of issues, you 
know, not just hear from TikTok. We need to ask questions of 
TikTok.
    While I share many of the same concerns as my colleagues 
regarding Big Tech's abuse of power, I worry about proposals 
that miss the target and hurt other parts of our economy. 
Without more careful vetting, these bills will lead to a worse 
consumer experience, adversely impact American innovators and 
small businesses, and increase market dominance for large 
companies, specifically Google in this case.
    So far this Congress, this committee has heard from 
academics, industry experts, and consumer advocates, which is 
great. I am pleased that today we finally get to hear from law 
enforcement's perspective. They are on the front lines--and I 
know you agree, Madam Chair--for protecting our kids online, 
which is a primary focus in our fight against Big Tech. And 
thank you again for holding this hearing.
    I am proud to welcome Mike Duffey, a law enforcement 
officer based in my home State of Florida, who has dedicated 
more than 20 years of his career to protecting our Floridians 
and our Nation's children from predators and other dangerous 
threats online.
    Law enforcement's insights are critically important, as we 
consider multiple avenues to rein in the abuses perpetrated by 
Big Tech. I believe two bills under consideration today will 
help.
    First we have got the H.R. 6786, the Increasing Consumers 
Education on Law Enforcement Resources Act, introduced by my 
good friend, Representative Mullin. It will require FTC and 
attorneys general to develop a public education program to 
inform our constituents about law enforcement resources 
regarding online safety.
    The second is my bill--and thank you for mentioning it, 
Madam Chair, and agendaing the bill--H.R. 6755, the Cooperation 
Among Police, Tech, and Users to Resist Exploitation Act, or 
the CAPTURE Act, which will require the Government 
Accountability Office to research and provide recommendations 
on how to improve coordination and consultation between social 
media companies and law enforcement without creating 
constitutional issues.
    Some here may recognize the single point of contact 
proposal, as it currently exists in the FirstNet framework. 
This is a model I am looking to apply to tech platforms so 
Federal, State, and local law enforcement have clarity on who 
is reached reaching out to these companies in order to tackle 
harms online.
    Given the connection to today's Democratic bills have on 
privacy and data security, I know my friend, the Chair, will 
appreciate me once again emphasizing the importance of passing 
a national privacy and data security law. Even the House 
Administration Committee just held a hearing on a national 
privacy standard. We are all well overdue--we are overdue to 
hold a committee hearing because we have the jurisdiction in 
this committee, and I know the Chair has promised that we 
would.
    Madam Chair, I know these issues are extremely important to 
you, and the best way to protect our constituents online is 
through a national privacy and data security framework. It is 
time our subcommittee moves beyond these one-off bills that 
beat around the bush of privacy and data security concerns. 
Leader Rodgers--and she will--I am sure she will confirm this--
and I remain fully committed to working across the aisle with 
anyone to enact a truly comprehensive privacy and data security 
law, and I urge my colleagues to join me in these efforts.
    Thank you again for allowing me to participate today, and I 
look forward to the discussion, especially how these proposals 
will help protect our kids online.
    [The prepared statement of Mr. Bilirakis follows:]

                Prepared Statement of Hon. Gus Bilirakis


    Mr. Bilirakis. Thank you, and I yield back.
    Ms. Schakowsky. Thank you, Mr. Bilirakis. And I do look 
forward to very soon dealing with a comprehensive privacy bill. 
I think we are on our way.
    And let me now welcome the chair of the full committee, Mr. 
Pallone, for 5 minutes.

OPENING STATEMENT OF HON. FRANK PALLONE, Jr., A REPRESENTATIVE 
            IN CONGRESS FROM THE STATE OF NEW JERSEY

    Mr. Pallone. Thank you, Chair Schakowsky. Today's hearing 
is the third in a series of hearings this committee has held on 
legislative reforms to hold social media companies accountable. 
The two previous legislative hearings covered reforms to 
section 230 of the Communications Decency Act and consumer 
protection-focused legislation to help build a safer internet. 
Today we will examine legislation to enhance transparency and 
further promote safety online.
    These hearings come after years of repeated bipartisan 
calls for social media companies to change their ways. Since 
2018 the committee has held 8 hearings on the subject. We have 
examined these issues from all sides, and now it is time for us 
to come together and to act. We are committed to working with 
our Republican colleagues on legislation to increase 
transparency, limit online manipulation, and improve online 
safety.
    And we all know how important social media is to our daily 
lives. It allows us to connect with family and friends to 
organize and to stay safe. And we are seeing that firsthand 
right now in Ukraine, as images posted on social media are 
exposing the world to just how depraved and misguided Vladimir 
Putin's actions are.
    Ukrainians armed with their smartphones are documenting the 
bravery of their fellow citizens standing up to the Russian 
military and the brutality of war. Social media is allowing 
Ukrainians to spread the word without any filters of the true 
impacts of this war. The images they are capturing on their 
phones are being shown worldwide, showing the world the 
atrocities being inflicted on the Ukrainian people.
    But at the very same time, we have seen weeks of Russian 
disinformation campaigns used to lay the groundwork for the 
invasion of Ukraine. These campaigns use propaganda to build 
support for the Kremlin and, unfortunately, they spread like 
wildfire online.
    And there is no question that fast-moving current events 
can be difficult for social media companies to respond to 
quickly. But that is their responsibility, and they must be 
held accountable. We must ensure they are transparent, and 
their incentives align with the good social media can do for 
people, and not the bad.
    Today we will discuss five bills that target different 
parts of the social media ecosystem to make platforms safer for 
users.
    One of the best ways to make these companies more 
accountable is to make them more transparent. We will discuss 
legislation that establishes an Office of Independent Research 
Facilitation at the FTC. This new office would help facilitate 
academic research on social media platforms to help us get the 
data we need on how these companies are targeting users.
    Another bill requires companies that use automated 
decisionmaking to conduct impact assessments on their systems, 
and regularly report the results to the FTC. Now, these 
assessments will help ensure that machine learning is being 
employed in a fair and nondiscriminatory manner.
    We will also consider a bill to ban the practice of 
targeted advertising, which includes a provision prohibiting 
advertisers from using information that identifies a consumer 
as a member of a protected class for advertising purposes.
    And finally, we will consider bills that will help social 
media companies work better with Federal, State, and local law 
enforcement to protect users who feel their safety has been 
violated online.
    Now, these proposals, along with the proposals we 
considered in the two previous legislative hearings, are 
collectively major steps in addressing the real harms caused by 
Big Tech.
    Another part of tech accountability is protecting people's 
privacy. I know that both the ranking member of the 
subcommittee and the Chair mentioned this, and have been 
involved with this, and we are particularly concerned about our 
children's privacy, as more and more apps are used by and 
targeted to our kids.
    I think every member of this committee agrees that more 
must be done on privacy, and that is why we have been working 
since last Congress on a bipartisan staff draft. Our work on 
that legislation continues, and I hope the Republicans will 
work together with us on that, as well.
    The bills before us today collectively address tech 
accountability. The time to act is now, and these bills can 
help us make the internet a safer place. And I look forward to 
our discussion today and, obviously, hearing from our excellent 
panel.
    [The prepared statement of Mr. Pallone follows:]

             Prepared Statement of Hon. Frank Pallone, Jr.


    Mr. Pallone. I yield back, Madam Chair, and thank you for 
all that you have done on these issues. You are--you really 
have been working on them for a long time, and it is--it has 
made a difference in terms of where we are today. Thank you.
    Ms. Schakowsky. Thank you, Mr. Chairman. And now, wearing 
her Ukrainian yellow----
    Mrs. Rodgers. That is right.
    Ms. Schakowsky. I want to recognize Mrs. Rodgers, our 
ranking member, for 5 minutes for her opening statement.

      OPENING STATEMENT OF HON. CATHY McMORRIS RODGERS, A 
    REPRESENTATIVE IN CONGRESS FROM THE STATE OF WASHINGTON

    Mrs. Rodgers. Thank you, Madam Chair.
    First I want to say, ``Glory to Ukraine.'' Several of us on 
this committee had the opportunity to travel to Ukraine, and 
were inspired at the time with their fight for self-
determination and independence. And today I continue to support 
their fight for freedom, and I pray for their strength and 
security, and their freedom to prevail.
    While some tech companies have taken steps to prevent the 
proliferation of Russian state-sponsored propaganda, I hope 
that we too on the subcommittee will be vigilant in addressing 
how others, like Twitter, maintaining an account for the 
Kremlin; or TikTok, reinstating Russian, state-owned media, are 
complicit in spreading it, as well as other disinformation 
campaigns from Putin. This has real-world consequences for the 
Ukrainians and our other European allies.
    We all share the goal of holding Big Tech accountable, 
especially for our children. Big Tech platforms are my biggest 
fear as a parent. Nearly every conversation I have with parents 
in schools these days comes back to the concerns about Big Tech 
and our kids. It is echoed by pediatricians, school 
administrators, and teachers. Big Tech are not advocates for 
children. Our kids, the users, are their product, and they are 
being manipulated and exploited for profit. They are being 
exposed to cruelty, bullying, and induced to self-harm. These 
harms have been worsened by the move to virtual life because of 
government-imposed school closures and lockdowns.
    We must--this committee can and must--do more to address 
this crisis. If we are going to address issues with Big Tech 
and the advertising industry, that discussion includes 
improving transparency and accountability for how these 
businesses are collecting personal information, especially from 
our children. My Republican colleagues and I unveiled a privacy 
and data security framework last year. Addressing these issues 
in a hearing would help us make progress.
    One bipartisan bill we asked to be considered is the 
Walberg-Rush Child Online Privacy Protection Act update. 
Despite many changes being considered on the collection and use 
of data today, unfortunately, this one is still missing on the 
schedule.
    Also, if we are discussing emerging technologies like 
artificial intelligence, we should be addressing how AI can 
strengthen American leadership and reflect our values of 
freedom, human rights, and human dignity. These are issues that 
require time, education, and hearings to debate and identify 
common ground.
    A key component for many of these issues is the authority 
Congress grants to the Federal Trade Commission. The bills 
today proposed by the Democrats enact sweeping changes for the 
FTC. I appreciate that the Commission wants to be more involved 
in improving data security. We have been clear that we are 
willing to negotiate on additional authority, but changes like 
this must be given the appropriate time for discussion and 
vetting.
    We need to start by ensuring accountability and 
transparency from the FTC on its current authorities before we 
give them more power. The FTC should come before this committee 
to help us better understand how they would use additional 
authority, as well as provide us assurances it has its own 
house in order.
    For this reason I sent a letter to Chair Khan yesterday on 
the FTC's recent enforcement announcements for the security 
vulnerabilities found in the open source software--
specifically, Log4J. Recent testimony in the Senate suggests 
government systems may have used Log4J, so we must learn 
whether agencies under our jurisdiction have system 
vulnerabilities that could be exploited specifically by foreign 
actors like Russia or China.
    Missing from today's witness panel is TikTok, who declined 
an invitation to testify. And it is not the first time. TikTok 
threatens the safety, mental health, and well-being of our 
kids. A recent Wall Street Journal investigation found teen 
girls are developing tics from content they watch on TikTok. 
This is alarming, and their complete carelessness with people's 
personal information is even more concerning.
    TikTok's ties to China raise significant concerns regarding 
the amount of access the CCP has to information of Americans. 
We know TikTok's parent company, ByteDance, is an extension of 
this authoritarian regime, and now we see reports that TikTok 
is allowing Russian Government propaganda to proliferate. 
TikTok operates with disregard for U.S. national security 
concerns. Our witness today, Officer Duffey, can share more on 
how they challenge the reach of local law enforcement, as well.
    These concerns about privacy and Big Tech are issues we 
have been leading on, and we look forward to working together 
to address.
    [The prepared statement of Mrs. Rodgers follows:]

           Prepared Statement of Hon. Cathy McMorris Rodgers



    Mrs. Rodgers. I yield back.
    Ms. Schakowsky. The gentlelady yields back, and the Chair 
would like to remind members that, pursuant to committee rules, 
that all Members' written opening statements shall be included 
in the record.
    And now I would like to introduce our witnesses for today's 
hearing. As you can see, two are here. Is that three in person?
    Voice. Yes, just----
    Ms. Schakowsky. Oh, three in person and one remotely. And I 
want to welcome Laurel Lehman, who is Policy Analyst at 
Consumer Reports; Katie McInnis, who is Senior Policy--Public 
Policy Manager at Duck Duck Goose.
    Voice. DuckDuckGo.
    [Laughter.]
    Ms. Schakowsky. I am sorry. Duck, Duck Goose, that is a 
game. Duck Duck Go. OK, sorry about that.
    OK, I want to also welcome Mike Duffey, who is Special 
Agent Supervisor in charge at the Florida Department of Law 
Enforcement.
    And Mutale Nkonde, who is the Founder and Chief Executive 
Officer at AI--excuse me, of AI at the--what is this, public?
    Voice. AI for the People.
    Ms. Schakowsky. Oh, AI for the People U.S. There we go.
    So at this time the Chair will recognize each witness for 5 
minutes to provide their opening statements.
    But before we begin, I want to make sure that I call 
attention for the witnesses that are testifying in person. In 
front of you, you--some of you have testified before, but if 
not, you will notice that there are lights in front of you, and 
the light will initially be green. The green will turn yellow 
when you have 1-minute remaining. And please begin to wrap up 
your testimony at that point. The light will turn red when your 
time has expired.
    For the witness who is testifying remotely, there is a 
timer on your screen that will count down your remaining time.
    And with that, let me ask Ms. Lehman.
    You are recognized now for your 5 minutes.
    Ms. Lehman. Thank you, Chair Schakowsky.
    Ms. Schakowsky. Microphone.
    Voice. We can't hear you. Is it on?
    Voice. Maybe closer----
    Voice. Pull it closer.
    Ms. Lehman. All right. There we go?
    Voice. There we----
    Ms. Schakowsky. There we go.
    Ms. Lehman. All right.
    Voice. Fine.
    Ms. Lehman. All right. Thank you, Chair Schakowsky.


 STATEMENT OF LAUREL LEHMAN, POLICY ANALYST, CONSUMER REPORTS; 
 KATIE MCINNIS, SENIOR PUBLIC POLICY MANAGER U.S., DUCKDUCKGO, 
INC.; MIKE DUFFEY, SPECIAL AGENT SUPERVISOR, FLORIDA DEPARTMENT 
OF LAW ENFORCEMENT; AND MUTALE NKONDE, CHIEF EXECUTIVE OFFICER, 
                     AI FOR THE PEOPLE U.S.



                   STATEMENT OF LAUREL LEHMAN


    Ms. Lehman. Chairman Pallone, Ranking Member Rodgers, Chair 
Schakowsky, Ranking Member Bilirakis, and members of the 
subcommittee, thank you for inviting Consumer Reports to 
testify today on the crucial matter of protecting consumers 
online.
    My name is Laurel Lehman, and my work at CR focuses 
specifically on platform accountability, so that is where I 
will spend most of my time today.
    For 86 years, consumers have turned to CR for answers to 
questions like, ``Is this product safe? Is it worth my time or 
money? What risks might it pose to my family?'' Consumers today 
grapple with the same questions, but about their online 
experiences. It is this platform safe? Is it worth my time? Are 
the goods I am buying from this ad authentic? Why am I seeing 
this ad again?
    Today's hearing grapples with this century's version of 
confronting the very same challenges that have driven CR's 
fight for a fair, just, and transparent marketplace all along. 
The bills before the subcommittee today seek these same aims, 
and we are excited to work with you to refine, craft, and pass 
legislation that can help us usher in the online ecosystem that 
consumers deserve.
    Consumers face a range of issues in the digital 
marketplace. In a nationally representative survey, CR found 
that, of the 94 percent of Americans who said they had ever had 
at least 1 social media account, 84 percent had adjusted their 
social media settings at some point to limit or filter content 
in some way; 39 percent had elected to turn off targeted ads; 
59 percent said that they had read news on a social media site 
they initially believed to be true, but later learned was made 
up; and 37 percent told us that they had, at some point, wanted 
to change their privacy settings on a social media platform, 
but didn't know how.
    And their concerns are limited to social media. They expand 
to e-commerce and the way that AI impacts their lives, as I 
elaborate on in my written testimony.
    Yet the digital marketplace is as varied in potential 
solutions as it is in its problems. Just as one no recall 
safety standard or warning label can unilaterally keep 
consumers safe offline, the variety of challenges consumers 
face online requires a range of evidence-based policy 
solutions, from comprehensive transparency to expanded use of 
section 5 authorities to approaches of consumer protection law 
to cautious, narrow changes to section 230, and certainly 
include a stronger, better-funded FTC.
    Auto and product manufacturers are expected to conduct 
safety testing, and CR can test cars and appliances for 
performance under stress to see how manufacturer claims line up 
with their advertising. Digital product manufacturers, however, 
have no such obligations to research, mitigate, or disclose 
risks or dangers in the ways their systems work. They are not 
required to publish clear community guidelines or terms of 
service, or report on how effective their enforcement of such 
guidelines may be. And they make no guarantees they are 
appropriately staffing and equipping the teams that--dedicated 
to keeping consumers safe from harassment, spam, counterfeit 
products, hate speech, and misinformation.
    Transparency will be fundamental to all such evidence-based 
policy. In particular, three different kinds. I talk about 
pipelines, processes, and personnel.
    When I talk about pipeline transparency, we are talking 
about what factors influence what a consumer sees online. 
Whether that is an algorithm, or whether that is an ad, what 
components go into that?
    When we talk about process transparency, consumers deserve 
to know the rules of the road. What can they expect from their 
online communities, and how can they expect those rules to be 
enforced?
    When we talk about personnel, we are talking about, when 
platform fail consumers, how can we make sure that platform 
whistleblowers are empowered to make sure the public knows? And 
also, how we are making sure that platforms are appropriately 
staffed to enforce their terms of service everywhere they 
operate?
    CR's test track can figure out how cars handle stress 
because we have speedometers. Right now no one can crash test 
ads and algorithmic recommendations, except the platforms that 
profit from them.
    But transparency is the floor, not the ceiling, when it 
comes to building a more responsible online information 
ecosystem. Platforms clearly require stronger incentives to 
take responsibility for the harms they compound and accelerate.
    Across consumer products, it is well understood that 
companies should bear responsibility for design and process 
choices related to foreseeable preventable harms. Meanwhile, 
YouTube failed to ban vaccine misinformation until September 
2021, when platforms like Pinterest had started as early as 
February 2019. CR investigations in 2020 show that Facebook 
failed--that Facebook had approved ads with COVID-19 
misinformation.
    Online platforms fail to take reasonable baseline steps to 
ensure their products are designed and managed responsibly. 
Consumers should be able to expect an online system where we 
can trust that platforms have values past those which they 
return to their shareholders.
    At the end of the day, consumers deserve a safe, just, and 
transparent digital marketplace that they can trust. Congress 
can and must work to pass legislation that makes it possible, 
and CR looks forward to working with you in pursuit of that 
aim.
    Thank you again for inviting us here today. I look forward 
to your questions, and to today's discussion.
    [The prepared statement of Ms. Lehman follows:]
 

    
    
    Ms. Schakowsky. Well, thank you. And now Ms. McInnis from 
DuckDuckGo is recognized for 5 minutes.

                   STATEMENT OF KATIE McINNIS


    Ms. McInnis. Thank you, Chair. Chair Schakowsky, Ranking 
Member Bilirakis, Chairman Pallone, Ranking Member McMorris 
Rodgers, and members of the subcommittee, thank you for holding 
this important hearing and inviting me to testify. I am here to 
discuss DuckDuckGo's privacy-protected business model, and why 
we need bills like the Banning Surveillance Advertising Act to 
protect individuals online and to reform the general market.
    DuckDuckGo is a privacy technology company. We believe that 
privacy is a human right, and that being private online should 
be simple and accessible to all. With one download of the 
DuckDuckGo privacy browser for mobile or the DuckDuckGo privacy 
essentials browser extension for desktop, we offer seamless 
protection from surveillance ads by blocking trackers. This 
includes our email protection service, our tracker blocker 
technology, and our private search engine, which is the fourth 
largest in the United States, and serves over three billion 
searches a month, globally. Our company was founded in 2008 in 
Valley Forge, Pennsylvania. And year after year, we have seen 
record growth, proving users' interests in being private 
online.
    DuckDuckGo is robustly profitable, and has been since 2014, 
thanks to our contextual ad model. Contextual advertisements 
are based on the content being shown on the screen, and not--
and do not need to know anything about you. So if you go to 
DuckDuckGo and perform a search--let's say you search for 
mobile phones, we are going to serve you with ads for phones. 
It is as simple as that.
    Behavioral advertising, by contrast, is based on personal 
profiles from data collected both on and offline about you. 
Have you ever searched for something online, and then saw an ad 
for that exact same thing pop up on another website, or an app? 
Or maybe you thought that your phone is listening to you, based 
on the creepy ads that you are seeing online? That is 
surveillance advertising. And rather than finding these ads 
useful, a majority of Americans say that this is a 
misappropriate use of their data. And it is no surprise this is 
a massive violation of their user privacy and data collection 
expectations.
    And it is not just that. Data collection also results in 
additional harm, like discrimination, identity theft, fraud, 
scams, and filter bubbles. This same personal information that 
allows a company to target you with an ad also enables them to 
discriminate against you and others in the presentation of 
critical opportunities. And these harms are not just 
theoretical.
    For instance, the Department of Housing and Urban 
Development brought a case against Facebook, charging them with 
housing discrimination by allowing advertisers to restrict who 
saw ads based on race, religion, and national origin. This is a 
harm that was made possible, thanks to data collection for 
surveillance ads.
    Online surveillance also enabled advertisers to use 
Google's ad tracking--ad targeting algorithm to present more 
men than women with ads for higher-paying jobs. The practice of 
data collection, therefore, is not just about a user's privacy 
or data collection expectations, but about the presentation of 
critical access to opportunities and employment.
    Consumers should have an easy and effective way to avoid 
this surveillance. And as our history makes clear, internet 
companies can be successful and profitable with a contextual ad 
model. Studies have additionally shown that publishers receive 
very little significant increase in revenue by using behavioral 
ads. And in fact, many online advertising companies started 
with a contextual ad model, including Google. Until recently 
even, most of the ads you are seeing online were contextual 
ads. However, due to Google's acquisition of DoubleClick and 
Facebook's ad--Facebook's control of the ad duopoly with 
Google, there has been a focus on behavioral advertising, and 
innovation in contextual advertising has been severely 
suppressed.
    If data collection for targeted ads were banned, access to 
personal data would no longer determine whether companies would 
succeed or fail in the advertising market, meaning that more 
companies would be able to compete against Google and 
Facebook's ad duopoly.
    As surveillance ads result in measurable harm for users and 
little to no increase in revenue for publishers, we must ask, 
``What is all this surveillance for, if it is not just lining 
the pockets of Facebook and Google''
    As a House Antitrust Subcommittee report and reports from 
governments around the world demonstrate, access to personal 
data enables Big Tech to protect and entrench their dominant 
status online, generally, and in the ad market, in particular. 
A shift back to contextual advertising, therefore, would 
significantly reduce Google and Facebook's inherent advantages 
in advertising and beyond.
    Our mission at DuckDuckGo is to raise the standard of trust 
online. We therefore support bills like the Banning 
Surveillance Advertising Act that would do exactly that. 
Consumers should be protected from the harm surveillance 
advertising and data collection cause, like discrimination, 
identity theft, scams, and fraud.
    We believe that getting privacy online should be as simple 
as closing the blinds. Therefore, we urge Congress to pass 
bills that allow individuals to easily protect themselves and 
would also have the benefit of strengthening the online market.
    I am pleased to answer your questions today, and make 
myself available to members in the future for in-depth 
discussions about this bill. Thank you.
    [The prepared statement of Ms. McInnis follows:]
    

    
    Ms. Schakowsky. Thank you. And now it is my pleasure to 
invite Mr. Duffey for 5 minutes.


                    STATEMENT OF MIKE DUFFEY


    Mr. Duffey. Thank you, Madam Chair Schakowsky and Ranking 
Member Bilirakis, and members of the subcommittee. Thank you 
for inviting me today. I serve as assistant special agent in 
charge of Florida Department of Law Enforcement's--crimes unit.
    I started my law enforcement career during the AOL dial-up 
days. And in the 25 years since, I have seen massive changes in 
the way crime is committed and investigated. In that time I 
have learned that, whether crimes are committed in the virtual 
world or in the physical world, technology companies possess a 
large amount of essential evidence law enforcement needs to do 
our job. But lack the regulatory framework that enables 
efficient and lawful access to that evidence means that we are 
ineffective at reducing criminal threats, preventing 
victimization, or getting justice for the victims (sic).
    My investigative unit at FDLE, like thousands of others 
across local, State, and Federal law enforcement, is in a 
never-ending race to improve our access to digital evidence. We 
need money for training and tools to access evidence we can 
obtain from devices that we seize. But we are also facing 
increased challenges with the complete inability to access 
digital evidence when platforms deploy end-to-end encryption. 
Congress can help us address both of these issues.
    I want to share today with you a few examples of the 
challenges we are facing. Service providers are subject to 
little or no data retention requirements. In contrast, the 
banking industry is obligated to keep financial records for a 
certain period of time.
    In one example of how this can hurt our ability to respond 
to a crisis, a young person was livestreaming how he was going 
to commit suicide, potentially in front of a live audience. We 
immediately contacted the service provider that we had received 
this information, and to try to attempt to determine where the 
user was located. We noted that the live stream appeared to 
have ended, and the content provider was unable to find the 
record of the streaming event. We had nothing to followup on, 
if it had not been for the family's own posting that they had 
intervened.
    The lack of data retention requirements frustrates the most 
traumatic cases we deal with every day, which is the child 
sexual abuse cases. Service providers do--who do identify CSAM 
on their platforms are required to report it to our partners at 
the National Center for Missing and Exploited Children. An 
investigation then begins with an agency serving legal process 
to a company for internet protocol information in an attempt to 
identify where the activities were occurring. If the provider 
does not retain data, a user has deleted it, the child predator 
becomes harder to identify and stop.
    The lack of standard terminology regarding the exchange of 
legal process between law enforcement and service providers 
leads to great confusion. Unless the terms we use to determine 
certain types of data matches within the own company's unique 
corporate terms, law enforcement must engage in a lengthy back 
and forth, costing valuable time in an investigation.
    We have seen some service providers implement online 
portals that are designed to facilitate the requests from law 
enforcement. These portals have been helpful in terms of 
improving timeliness and security of data that--exchanged 
between both parties. The response time is anywhere from 1 
month to 1 day. This lag can ultimately be dangerous to the 
cases we investigate.
    Most tech companies routinely provide law enforcement 
information when they really need--in an emergency. But 
determining the exigent is actually in the hands of tech 
companies. As a matter of Federal law, we in law enforcement 
have the most relevant facts and content to determine exigency, 
but yet the companies are the ones who have the final say.
    In one example, an individual made comments regarding being 
excited about July the 9th, and wanting to do what Nikolas Cruz 
did. Cruz was the murderer who took 17 innocent lives and 
injured 17 others at Marjory Stoneman Douglas High School, 
Parkland, Florida, in 2018. This individual's social media post 
had indicated they idolized Nikolas Cruz, and appeared to have 
visited the location where Cruz was arrested. Upon review of 
this information law enforcement provided the social media 
provider when asking relevant information about the user, the 
company unilaterally made a determination that they did not 
think the situation was an immediate threat at this time.
    Big Tech platforms create--Big Tech platforms have 
created--have transformed society in many ways for the better. 
Others less so. Users of these platforms should expect that law 
enforcement officers charged with protecting them have a clear 
path to the evidence they need to punish the guilty and 
exonerate the innocent. The establishment of regulatory 
framework includes standardized legal processes, guidelines, 
and address the issues that would benefit industry, law 
enforcement and, most importantly, the citizens we serve (sic).
    Thank you again for your invitation, and I look forward to 
your questions.
    [The prepared statement of Mr. Duffey follows:]
   

    
    Ms. Schakowsky. Thank you.
    And now, Mr. Nkonde, I welcome you for 5 minutes for your 
testimony.


                   STATEMENT OF MUTALE NKONDE


    Ms. Nkonde. Good morning, Chair Schakowsky, Ranking Member 
Bilirakis----
    Ms. Schakowsky. Oh, Ms. I am sorry.
    Ms. Nkonde. No problem. And Ranking Member McMorris 
Rodgers, my name is Mutale Nkonde, and I am the founder and 
executive director of AI for the People, a national non-profit 
that uses strategic communications to really insert 
conversations around the impact that technology is having on 
society into public life.
    I am here today in support of the Algorithmic 
Accountability Act that I have been working on, really, for the 
last 5 years, as an advocate, and something that I am happy 
that this committee is finally looking for.
    As a storyteller, the best way for me to really express the 
impact that machine learning protocols have on public life is 
through an illustration. So this committee is very aware of the 
dangers of social media and algorithmic decisionmaking, so I am 
not going to go long, but I think that this will be 
illustrative in terms of the need for this Act.
    In February 2022, Twitter users noticed that they were 
being shown ads from a company called OpenSea. OpenSea is a 
provider of NFTs or non-fungible tokens, which are parts of 
currency based in blockchain that can be traded. What these 
users were being offered were the ability to buy what were 
described as Meta Slaves. These were avatars of African 
American people that were put up for sale in the same way that 
people were as sold in times of enslavement during this 
country.
    Upon AI for the People contacting Twitter to say that this 
had happened, we found that the account had been taken down 
from the platform. But news reports found that, instead of 
removing that lot, what OpenSea actually did was just add 
Asians and other non-White Americans to their platform.
    How did those slaves get onto those social media sites? 
Through a process called machine learning that informs our 
algorithmic decisionmakers and decides who and what people get 
to see on their social media feeds. This is an example of the 
way the combination of targeted advertising online, racial 
animus toward non-White Americans, and machine learning 
conflates to create unsafe online environments for Black and 
other--Black people and other members of protected classes.
    The Algorithmic Accountability Act is important, because 
what that would do would be to introduce impact assessments so 
that an office within the FTC could look at this potential use 
case, and then decide. Is this in the national best interest? I 
would argue that it is not, because we know, from the 
investigation conducted by Special Counsel Robert Mueller, one 
of the tactics of hostile nations such as Russia is to really 
incite racial divides and therefore, I would argue, undermine 
our national security as we divide against ourselves, instead 
of looking outward to protecting this great nation.
    I argue that the Algorithmic Accountability Act, and even 
its what I would consider in many ways to be companion 
legislation, the Surveillance Advertising Act, provide an 
online environment in which people from protected classes can 
be safe.
    AI for the People, as an organization, really does seek to 
highlight the numerous ways in which advanced technological 
systems--and as we are looking to things like the Metaverse, 
Web3, and NFTs, technologies that we are not really commonly 
speaking about, we need to keep the protection of civil rights 
in mind. These platforms are enriching the few, without 
thinking about the ways in which they comply with laws that we 
have already standing.
    And as I finish my remarks, because of intellectual 
property laws--excuse the background noise. I sit--I come to 
you from Brooklyn, New York. Unfortunately, this is a noisy 
part of the country, so it won't be long.
    But the one thing I will say is, because of international--
intellectual property laws, researchers and advocates do not 
have the ability to look at the source code to understand how 
these decisions are being made. So the passage of the 
Algorithmic Accountability Act will not only safeguard those of 
us from protected classes, but also give us insight into how 
these technologies make decisions that really have incredible 
impacts on the lives of many Americans.
    I look forward to the discussion. I thank you for the 
invitation, and I yield my time.
    [The prepared statement of Ms. Nkonde follows:]
    

    Ms. Schakowsky. Thank you, Ms. Nkonde, and we have now 
concluded our witnesses' opening statements. At this time we 
will move to member questions.
    Each member will have 5 minutes to ask questions of our 
witnesses.
    I want to thank our witnesses for being here today.
    And since we have witnesses appearing virtually, I need to 
ask my colleagues in the hearing room to mute themselves 
whenever they are not directing--directly speaking during their 
Q&A portion, so that we can clearly hear the witnesses' 
remarks.
    I will begin with my 5 minutes of questions.
    So targeted advertising is at the heart of the online 
consumer model--online business model. But it fundamentally 
violates users' privacy in a way that would never be accepted 
if consumers were actually given the choice. That is why I 
joined Representative Eshoo in introducing the Banning 
Surveillance Advertising Act, and this legislation prohibits 
companies from targeting advertising--advertisement based on 
personal information.
    So, Ms. McInnis, your company already bans targeting--
targeted advertising. Can you tell us why you made this 
decision?
    Ms. McInnis. Thank you for the question, Chair. Our founder 
and CEO started out DuckDuckGo by wanting to serve answers--
serve users with great instant answers at the top of the search 
engine results page. And he was really looking for his company 
to have a positive impact. As he was developing this company in 
2008, he saw that there was a clear need for private search 
engines. And so we developed privacy for the search engine, 
have been expanding our privacy options ever since.
    And thank you for noting that DuckDuckGo helps stem 
surveillance ads. We are working very hard to ensure that our 
users are protected as they do whatever they need to do online 
by blocking trackers in the first instance, so that information 
is not collected about them.
    Ms. Schakowsky. And is your business still profitable, 
without the use of targeted advertising?
    Ms. McInnis. Yes, we are very profitable. Our revenue is 
somewhere around 100 million per year. We have over 30 million 
U.S. users in the United States, and they span the whole nation 
and the political spectrum.
    Ms. Schakowsky. Thank you. When you were asking whether 
people get frustrated when they see that there is an ad that 
pops up, you know, ``How did they know to target me?'' And 
people feel uncomfortable online because of that.
    In our last tech hearing we discussed the impact of 
whistleblowers protection at the Federal Trade Commission. I am 
so glad to see that provisions in Mrs. Trahan's bill to protect 
whistleblowers, similar to those in the FTC--in the FTC 
Whistleblower Act that she and I have introduced in November.
    So I wanted to ask Ms. Lehman, would consumers be better 
protected from online harm if the FTC whistleblowers were 
protected by Federal law?
    Ms. Lehman. Thank you, Chair Schakowsky. Absolutely, yes.
    We are excited about a number of the transparency 
provisions before us today. There is context that--as many 
transparency reports as we have, as much nuance as we can get 
into, as much research as we do, there is context that you 
could only ever get when someone can tell you why a decision 
was made. And so for that reason, whistleblowers are critical 
to providing that context for consumers.
    Ms. Schakowsky. I really don't have any more questions, 
except to say that we are going to move along as fast as we can 
to protect consumers from the harms that are out there, from 
the information that they don't want collected, and we want to 
do it in these--the bills that are introduced today that we are 
discussing, but also to move quickly, and efficiently, and, 
very hopefully, in a bipartisan way to do comprehensive privacy 
legislation.
    The time to regulate is now. The time to hold Big Tech 
accountable is now. We have heard over and over again the 
promises, the denials of wrongdoing that we have heard from Big 
Tech and, really, enough is enough. Consumers want to be able 
to safely and confidently use what they can online, and not be 
exploited as they have been.
    So I yield back, and now will--Mr. Bilirakis for his 5 
minutes of questions.
    Mr. Bilirakis. Thank you, Madam Chair. I appreciate it very 
much.
    Mr. Duffey, I thank you again for your testimony. Again, we 
appreciate the valuable insight you bring to this discussion.
    I don't know if he can hear me.
    But Mr. Duffey, we were having a little difficulty hearing 
you before, in your opening remarks. So hopefully we have--you 
know, we have fixed that. I don't know, maybe you need to speak 
into the microphone. You know, your information is so valuable, 
so we want to catch everything.
    So anyway, I have a question for you. I am gravely 
concerned about the crimes perpetrated on Big Tech platforms, 
such as the sale of deadly fentanyl on Snapchat. And I believe 
companies are not doing enough to help solve these crimes. I 
mean, enough is enough, as the chairman said. Not--again, we 
can't allow this to happen anymore. Kids are dying, for crying 
out loud.
    And so in fact, in our subcommittee, the Health 
Subcommittee, we had--again, we had somebody testify on the 
fentanyl crisis in December. And Chairman Eshoo agreed with my 
assessment that Big Tech companies aren't doing enough to 
coordinate the DEA on drug sales, in particular.
    OK, that is why I recently introduced the CAPTURE Act, 
which will help us to develop legislation to assist social 
media companies to better communicate with law enforcement, 
specifically in relation to events of imminent injury or death 
to individuals.
    So from your experience, sir--and I appreciate you 
testifying and, again, you are doing a great job in our state--
so from your experience, how has Big Tech failed at cooperating 
with law enforcement to assist in solving these dangerous 
crimes? And I would like for you to elaborate, sir.
    Mr. Duffey. Thank you, Representative. Can you hear me 
better now?
    Mr. Bilirakis. Yes, we can.
    Mr. Duffey. OK----
    Mr. Bilirakis. Madam Chair, can we hear better? Yes, I 
think so. Thank you. I can. Thank you.
    Mr. Duffey. OK. So they have failed in the sense that I 
don't think what we see is some of the--they don't understand 
the trends that today's youth is communicating by on their 
platforms. The data retention, when we do----
    [Audio malfunction.]
    Mr. Duffey  [continuing]. Investigation, is an issue, and--
is what they do and what they don't keep, and for how long they 
keep it.
    The content moderation, they build--what we have seen is a 
lot of these companies build a platform for one type of use, 
and then, as you explained, it gets used and abused for other 
areas.
    So I think the failure is the lack of communication in--
between Big Tech and law enforcement to discuss the trends, to 
discuss the acronyms, and the use of emojis, and the different 
codes by which today's youth communicate.
    Mr. Bilirakis. Yes, sir, when you speak slower, we can hear 
a lot better, so let's try that.
    Ms. Schakowsky. And stay real close to the mike.
    Mr. Bilirakis. Yes, and stay close to the mike. All right, 
we really appreciate it.
    What more can Big Tech do, in your opinion, do you 
believe--again, this legislation that I filed, the CAPTURE 
Act--can help accomplish this?
    And then also, as I mentioned in my testimony, we invited 
TikTok to testify at today's hearing to answer how they have 
failed to protect our youth online. They again ignored our 
requests. OK, we are not going to give up, we are going to have 
them here, and they are going to have to answer our questions. 
I know the Chair agrees with me. She is the leader in this 
area. It is clear they are not investing the time or resources 
needed to adequately curb dangerous content on their platform.
    Are you familiar with the dangerous viral changes that 
populate the site, and how schools are scrambling to stay ahead 
of the harms to other students and teachers alike?
    If so, can you elaborate on how this has stretched the 
resources?
    And again, the teachers, the police officers, we can't do--
they can't do it all. They need our help. So it has stretched 
the resources for Florida police, I know. If you can elaborate 
on that, I would appreciate it.
    Mr. Duffey. Thank you, Representative. I agree with you 100 
percent. The resources that we in law enforcement have for 
identification of these viral challenges is, a lot of times, 
brought to our attention by parents or school resources 
officers who are within the school system, who are listening to 
the kids, watching their activity, and hearing firsthand----
    [Audio malfunction.]
    Mr. Duffey. As you mentioned, we don't have----
    [Audio malfunction.]
    Mr. Duffey. We are left to prioritize the different types 
of leads which we can investigate properly, and then identify 
the ones that we can----
    [Audio malfunction.]
    Mr. Bilirakis. Thank you. I appreciate it. I yield back, 
Madam Chair. Hopefully, we can get this cleared up and 
straightened out, because I know a lot of members here, at 
least on my side, want to talk to Mr. Duffey, and get valuable 
information from him.
    So thank you, I appreciate it.
    Ms. Schakowsky. Yes. And now I recognize the chairman of 
the full committee, Mr. Pallone, for 5 minutes for questions.
    Mr. Pallone. Thank you, Chair. And we are here today, as we 
know, to have an open, meaningful dialog about solutions to 
address the harm social media companies have caused, and this 
is more timely than ever as we see social media companies 
expanding their reach.
    So I want to use Facebook as an example, which now goes by 
Meta. We have seen reports of sexual assault and harassment in 
the virtual reality world that Facebook is trying to create 
with the Metaverse. So let me start with Ms. Nkonde.
    Can you expand on this issue? What are some of the real 
harms that we will see as social media companies expand their 
reach, if you will?
    Ms. Nkonde. Thank you for the question, Mr. Pallone. The 
issue--just to read everybody in to the issue with the 
Metaverse as it stands, the head of research of the Metaverse 
recently wrote a
    [inaudible] article, in which she told us that when she 
went in, she was sexually abused by male avatars.
    The issue is, in order to get this immersive experience, 
what the Meta are currently doing, what their team is doing are 
investigating how to use light sensors to make it feel like we 
are seeing, audio sensors to make it feel like we are hearing, 
and tactile sensors to make it feel like we are being touched.
    Therefore, if you go into an immersive environment where 
you really feel that these things are happening to you, then, 
despite the fact that it is in a headset, you are still going 
to have that very real experience of abuse. And without 
regulation of what is called Web2, what we know of Facebook, 
these harms are going to be perpetrated further in the virtual 
environments.
    Mr. Pallone. And what about--well, let me ask about 
marginalized communities. How might they be impacted by these 
changes that we are seeing?
    Ms. Nkonde. Marginalized communities are actually the most 
vulnerable within this.
    And so the head of Metaverse research is a woman. She is a 
protected class. So what we were seeing in her attack by male 
avatars were really the logics of sexism and hatred of women 
being enforced in a place where you can reach your target.
    Another group that we are seeing more reports of are 
children in the Metaverse, which is a whole explosion of 
issues, specifically because people under 13 are not even 
supposed to be on that platform. And so, when we think about 
regulation, we need to think about who are the most vulnerable. 
Could disabled avatar got away in those situations. There is a 
history of racial violence in this country. If we see attacks 
on women, it is logical that we are going to see attacks on 
negatively racialized groups.
    And it is committees like this and the bills that are being 
put forward that are really going to keep us American people 
safe.
    Mr. Pallone. [Inaudible] instances. I mean, I think 
increased transparency would go a long way in making the 
internet a safer place, so let me ask Ms. Lehman.
    How would the legislation before us today bring greater 
transparency, and with a greater accountability, to these Big 
Tech platforms, if you will?
    Ms. Lehman. Thank you, Chair Pallone. So the transparency 
in the bill across the board today is a crucial prerequisite to 
really understanding and forming the kinds of harms we are 
seeing across the board, and being able to have that kind of 
context, being able to speak to the specific harms.
    And so the bills before us today, particularly 
Representative Clarke and Representative Trahan's bills, are--
in requiring impact assessments, for example, and requiring--it 
requires companies to actually take account for what kinds of 
harms, what kinds of risks do we need to consider, do we need 
to think about, rather than building first and asking questions 
later, once the harms have happened.
    And I will yield back.
    Mr. Pallone. I only have a little time left, but let me 
just say we have consistently seen some social media companies 
withhold critical information about how their systems work from 
the public, which makes it difficult for consumer protection 
agencies like the FTC to address the issues users face online.
    Could you tell me, Ms. Lehman, how would these bills help 
the FTC better protect consumers from unfair or deceptive 
practices? But you only got 20 seconds.
    Ms. Lehman. Thank you, I will try. The short answer is it 
helps inform how we do it.
    Eight seconds? Boy.
    It offers so much more perspective to the FTC to understand 
the problems and, therefore, to keep consumers safe in sort of 
the mission.
    [Inaudible] seconds, OK.
    Mr. Pallone. I made you go too fast. Thank you.
    Ms. Lehman. Thank you.
    Mr. Pallone. Thank you, Madam Chair.
    Ms. Schakowsky. The gentleman yields back. Let me just 
remind everyone in the room, all members, to please unmute 
after you have spoken. Apparently, we are getting some feedback 
here.
    I am sorry?
    Voice. They have to mute their mic after they have spoken.
    Ms. Schakowsky. Yes, to mute your mic after you have 
spoken.
    And now I recognize the ranking member of the full 
committee, Mrs. Rodgers, for 5 minutes.
    Mrs. Rodgers. Thank you, Madam Chair. There certainly is a 
lot before us in this hearing, and I appreciate the attention. 
The Republicans also have--we have a couple of dozen bills 
around transparency and accountability.
    Clearly, there is action that needs to take place, and we 
have been working with a variety of stakeholders getting input. 
I know that, in committee, there is 35 bills that have received 
a legislative hearing in the subcommittee. Three have been 
marked up, and two have received the bipartisan support.
    I really believe--and what I want to make the request of--
is that we work together, that this is a problem that is going 
to require us seeking input and support from a lot of different 
entities, Republicans and Democrats.
    But beyond that, I believe that we need to be hearing from 
the advertising industry, AI developers, small businesses, even 
the FTC, for that matter, on how this is going to work, how 
they are going to operate after this--what you might call an 
extreme makeover, FTC addition.
    And I fundamentally believe that we need to be addressing a 
privacy law. We need a national privacy framework in order to 
gird up what the whole space is right now. And so we have 
drafted legislation, and are anxious to work with our 
colleagues across the aisle on a privacy standard. Certainly, 
there is an opportunity to find some common ground.
    On some of the issues before us today, I wanted to start 
with Ms. McInnis. Given recent reports on Big Tech needing to 
do more to protect the people of Ukraine from the 
misinformation campaigns generated by the Kremlin and its 
still-active Twitter account, I have a couple of questions to 
give you an opportunity to reflect on DuckDuckGo's part in this 
debate.
    Does your company still maintain a partnership with the 
Russian search engine Yandex?
    Ms. McInnis. In light of Russia's assault on democracy in 
Ukraine, we have paused our relationship with Yandex.
    Mrs. Rodgers. Thank you----
    Ms. McInnis. Yandex was used to provide traditional links, 
meaning non-news links on the search engine results page, in 
Russia and Turkey.
    Mrs. Rodgers. Thank you. Given you raise revenue via 
contextual advertising and affiliated programs, are you able to 
say whether such revenue has ever come from Russian State media 
sources in this partnership?
    Ms. McInnis. I do not know. Our advertisements are provided 
through Bing's contextual ads program. And so Microsoft's 
advertising would have the best information about that.
    That said, we are--yes, I think that they would be the best 
ones.
    Mrs. Rodgers. OK, thank you. Do you--or how do you see we 
best address concerns that we have over Chinese-owned TikTok, 
and how it may be influenced by Russia via its alliance with 
China?
    Ms. McInnis. Thank you, Ranking Member. Ranking Member 
Bilirakis and Ranking Member McMorris Rodgers, you have talked 
extensively about the need to protect children online.
    Although we have that Children's Online Privacy Protection 
Act, banning the use of surveillance ads would, I think, help 
protect children by banning the collection of personal 
information, no matter their age, which I think would help 
solve for some of the issues that we have been seeing online, 
where dominant tech companies say, ``We are not sure if 
children are on our platform, we don't actually know that they 
are there.'' And so, if we are protecting everyone, we are 
protecting children more.
    In addition, I think having some privacy laws like the 
general one you mentioned, or the Banning Surveillance 
Advertising bill, which would--of course, would protect 
privacy--would stem the ability of platforms like TikTok to 
collect information, regardless.
    Mrs. Rodgers. OK. Well, I thank you, and I appreciate your 
engagement and your support on the legislation. Fundamentally, 
we need a privacy framework, and so we will continue to work on 
that.
    Officer Duffey, our law enforcement officers are American 
heroes, and I have personally heard some very sad tales of the 
role Big Tech played in tragic events impacting our children, 
and the pressures on first responders. In your--you reference 
a--exigent circumstances in suicide intervention. Can you 
elaborate on the subjective constraints that social media 
platforms put on law enforcement to intervene in harm to 
children?
    And can you give us a sense which social media companies do 
a better job in cooperating?
    Mr. Duffey. Thank you, Representative. Hopefully, we have 
corrected some of the audio issues.
    But the
    [inaudible] exigent, when we serve a company with exigent 
circumstances, it is left at their determination. We present 
them with the facts as we are given. Ultimately, each 
individual company is the final say-so on whether they 
determine there is a threat to a person's life or others----
    Mrs. Rodgers. And which companies are cooperating?
    Mr. Duffey. It varies. The last one that I referenced in my 
statement was TikTok.
    Mrs. Rodgers. OK. OK, thank you. I have run out of time. I 
yield back.
    Ms. Schakowsky. OK. Who is next?
    My colleague from the Chicago area, Congressman Bobby Rush, 
you are recognized for 5 minutes.
    Mr. Rush. Well, thank you, Madam Chairman, for this 
magnificent hearing. My question is directed to Ms. Nkonde.
    Ms. Nkonde, you mentioned facial recognition in your 
testimony. The error-prone nature of facial recognition 
software, especially when it comes to identifying people of 
color and women, is extremely dangerous.
    In 2018 an ACLU study found that Amazon's facial 
recognition software falsely matched 28 Members of Congress, 
including me, with someone else's mug shot. We are seeing the 
real-world impact of this when, in June 2020, New York--the New 
York Times reported on the case of Robert Julian-Borchak 
Williams of Michigan, who was arrested by Detroit police 
because he was misidentified by facial recognition software. 
Later it was revealed that this software was used ``almost 
exclusively against Black people'' and was used even though the 
Detroit police chief estimated that it misidentified 
individuals 96 percent of the time. Clearly, this is a very 
serious problem with very, very serious and very real 
implications.
    Ms. Nkonde, can you please speak to the role algorithms 
play in these kinds of situations?
    Does the solution to this problem currently exist?
    If so, what needs to be done to implement them?
    And if not, what do we need to do, as Members of Congress, 
to address these problems?
    Ms. Nkonde. Thank you for the question, Representative 
Rush. Big questions. But yes.
    So the way facial recognition works is through a computer 
engineering protocol called computer vision. The training data 
are pictures of people's faces, and then the algorithm will 
take a face graph. So it basically measures your face in what 
we call facial architecture: color of the skin, broadness of 
the nose, circumference of the eyes, for example.
    The issue within the Gender Shades report, which kind of 
undergirded this idea that facial recognition technology did 
not work in the Amazon, Microsoft, and IBM report, found that 
the training data was using that of White men, which meant that 
when those same systems were used to identify non-White people 
like Mr. Williams, who you mentioned, it misidentifies us.
    Therefore, one of the things that Congress could do 
immediately is really take the Algorithmic Accountability Act 
to markup. Because through impact assessments, the FTC would be 
then able to figure out how--what is the efficacy of this 
technology? Is it recognizing Black and Brown people? Where is 
facial recognition being used?
    Because many Americans believe it is just in law 
enforcement, but they don't realize that when we use self-
checkout, for example, in pharmacies, they are using facial 
recognition to figure out whether you have stolen toothpaste or 
not, whether----
    Mr. Rush. Ms. Nkonde, can you also include how it affects 
us African Americans in the area of criminal justice and 
banking?
    Ms. Nkonde. Yes. In the area of criminal justice, 
misidentification leads to misincarceration or arrest. And in 
the area of banking or finances, the IRS has just been stopped 
from using facial recognition in order to access our records. 
And if you imagine that African Americans are not being 
recognized, that would bar us from access to our own financial 
information.
    Mr. Rush. Thank you, Madam Chair. I yield back.
    Ms. Schakowsky. Thank you, Mr. Rush.
    Mr. Upton, you are recognized for 5 minutes for questions.
    Mr. Upton. Well, thank you, Madam Chair, and I want to echo 
the remarks of Cathy McMorris Rodgers. I hope that we can 
develop a privacy standard. It is something that is bipartisan, 
it is long overdue. I know it is tough to do, but I think we 
need to proceed down that road.
    For me, I am a dad, and I am also a granddad, so I sort of 
like that Duck Duck Goose at the beginning.
    [Laughter.]
    Mr. Upton. I know where you were coming from, I think.
    But all of us want to protect the most vulnerable, and that 
is our kids and our grandkids. We want to make sure that there 
is every tool in that toolbox so that we know what is going on, 
and their lives can be protected, because it is no longer just 
don't talk to strangers. There is a lot of strangers that are 
out there. And that is why we need to make sure that those 
tools are there.
    And so, Mr. Duffey, I want to thank you for your service, 
for coming before this committee to help us understand the ins 
and outs of protecting our Nation's kids online. One of the 
concerns that I hear about most from my constituents--and there 
is a lot of them--is the way that Big Tech is impacting the 
mental health of our kids.
    So I just wonder if you can walk us through a step by step 
of how you interact with a tech company, and how does that 
change when there is a threat to a child that is viewed as 
urgent?
    And I would just recommend that you get as close to your 
mike as you can, because the--despite this being the high tech 
community, the connection is not all that great.
    Mr. Duffey. Thank you, Representative. I am getting as 
close as I can, so hopefully this audio sounds a little bit 
better.
    Mr. Upton. I knew it wasn't the Florida accent, I can 
understand that better than Louisiana.
    Mr. Duffey. Thank you. So really, that relationship with 
big technology is only engaged upon an incident occurring. In 
the case of a missing child, or the case of child sexual abuse 
material, or a threat of violence, or an act of harm, we begin 
that engagement with technology.
    Outside of that, other than some of the big technology 
companies, the startups and a lot of the newer companies, we 
have very little engagement with them. Typically, our 
engagement, when it begins, is through legal process as we 
begin to try to investigate the issue at hand.
    Mr. Upton. What is the value of the number of cases that 
your department looks at every year, and has it been 
increasing? What is--what has been the trend line?
    Mr. Duffey. It has been increasing. Specifically as it 
relates to the child sexual abuse material, we hear in the 
State of Florida alone--law enforcement as a whole in the State 
of Florida has received over 18,000 leads reported to us by the 
National Center for Missing and Exploited Children alone in 
2020. That means law enforcement has to put eyes on each one of 
those leads to determine the ability to investigate
    [inaudible] limited resources.
    Mr. Upton. And where was that number--where were you, say, 
10 years ago, or when you started? I know you have been with 
law enforcement for a while. But as I hear from my law 
enforcement folks, I mean, they just--they shake their head in 
terms of some of the doors that get opened, and some of the 
nasty stuff that really gets out there. How has that changed 
from when you started?
    Mr. Duffey. Well, exactly. When I started the--it was a--a 
lot of what--the work we did was through the U.S. Postal 
Service, because the online world didn't exist. And the online 
world that existed was not as widely popular as it is today. So 
we are seeing exponential increases as companies come online 
and today's youth and others begin to leverage this platform to 
communicate, which ultimately results in children being 
sexually abused online, sextorted, and
    [inaudible] their mental health.
    Mr. Upton. Can you tell us one particular story of where 
things worked out?
    Mr. Duffey. There has been a few where we have gotten 
incidences of somebody saying, ``I am watching a child being 
sexually abused'' or a child was abducted and, through the use 
of technology, we were able to work with the provider to 
determine the location where that child or individual might be. 
And through the use of technology, we were able to locate that 
individual to prevent further abuse, or recover
    [inaudible].
    Mr. Upton. And are you able to interact that with Amber 
Alert?
    Mr. Duffey. We very much so are.
    Mr. Upton. Well, thank you. Again, thank you for your 
service.
    I appreciate the hearing, and I yield back.
    Ms. Schakowsky. I wanted to point out that there was much 
more clarity with the response of our online witness because 
you turned off your mic each time after you asked the question. 
And I would recommend that for everyone who is asking questions 
of our online witnesses.
    The--and next, Ms. Castor, I recognize you for 5 minutes 
for questions.
    Ms. Castor. Well, thank you, Chair Schakowsky, for holding 
this hearing, and thank you to all of our witnesses for 
appearing today, and a special shout-out to Special Agent Mike 
Duffey from the Florida Department of Law Enforcement.
    Thank you, Special Agent Duffey, for your 25 years of 
service, and especially on behalf of crimes against children 
and online harm.
    The subcommittee has now held several hearings on 
legislation to hold Big Tech accountable, and the bills before 
us today by Rep. Trahan and Rep Eshoo, and Rep. Clarke are 
steps in the right direction. But I believe it is urgent that 
we move legislation on online privacy issues, especially when 
it comes to children.
    Passing a core comprehensive privacy bill is central to 
holding Big Tech accountable. And if we can adopt safeguards on 
processing personal information, tech platforms will have less 
of an incentive to use many of their manipulative and harmful 
techniques that are currently deployed to increase engagement 
and addict their users, many of which we have discussed in past 
hearings.
    So one of our witnesses--witness companies today, 
DuckDuckGo, is a good example of this principle.
    And with the online harm to kids being made plain over the 
past few years, I work--I have been working for a number of 
years to develop the Kids Privacy Act to provide parents the 
necessary tools to protect their children, strengthen 
enforcement so companies are held to account for improperly 
collecting children's personal data, and for misuse of that 
data. It also closes loopholes. It has--the bill has widespread 
support. It has been endorsed by the leading child protection 
organizations, parents, pediatricians, and privacy groups.
    So to my Republican friends, we really need bipartisan 
support on this effort. The UK is ahead of us. The EU is ahead 
of us. And even the U.S. Senate, they are ahead of the House 
when it comes to children's online privacy. They are now two 
bipartisan bills over there. And while we all know that the 
Senate is not known for action, they are ahead of us here. So 
if they can come up with a bipartisan bill, so can we.
    So I am really speaking out more as a mother than as a 
Member of Congress. I have really--I have reached out to the 
leadership, and I am doing so again because I am not going to 
give up. I am--my door is open to any Member of Congress who 
wants to enter into good faith negotiations over a bill that 
protects children's privacy, their safety, and their health 
online, especially in the face of everything that we know now 
about crimes against kids, the rising rates of mental health 
problems, and more.
    I mean, the Facebook whistleblower was here--also made 
plain that the Big Tech platforms, Facebook, Instagram, they 
know about the harms, but they are more interested in getting 
kids hooked and their profits than keeping kids safe online.
    So thank you for indulging me on that. But please, my door 
is open, and we really want to protect kids.
    So my question for the witnesses today, each one of you, 
yes or no, is a comprehensive Federal privacy law a critical 
component of Big Tech accountability and protecting consumers 
online?
    Ms. Lehman, you can start.
    Ms. Lehman. Yes.
    Ms. Castor. Ms. McInnis?
    Ms. McInnis. Absolutely.
    Ms. Castor. Special Agent Duffey?
    Mr. Duffey. Yes.
    Ms. Castor. And Ms. Nkonde?
    Ms. Nkonde. Yes.
    Ms. Castor. And here is another yes-or-no. Should there be 
special focus on protecting children's privacy, safety, and 
health online, yes or no?
    Ms. Lehman. Yes.
    Ms. McInnis. Yes.
    Mr. Duffey. Yes.
    Ms. Nkonde. Yes.
    Ms. Castor. Well, thank you.
    And Special Agent Duffey, you--Representative Upton asked 
you about a good news story, but tell us what you are seeing 
right now because of the--just the widespread collection of 
data on children and their interaction with online apps? What 
tools do parents need? What do parents tell you right now that 
they feel they need from policymakers here in Washington?
    [Pause.]
    Ms. Castor. Oh, Special Agent Duffey, your audio.
    Mr. Duffey. Sorry about that. Representative, thank you.
    Being a parent myself, and talking with other parents, the 
biggest issue we hear is that they don't understand how to 
implement parental controls. A lot of these companies implement 
the process. The explanation of how to do it is not clear.
    Ms. Castor. Thank you very much. It is obvious that we need 
to rebalance the power here, and put the power in the hands of 
parents, and not these Big Tech platforms.
    Thank you. I yield back.
    Ms. Schakowsky. Thank you.
    Mr. Latta, you are recognized for 5 minutes.
    Mr. Latta. Well, I thank my friend, the Chair, for today's 
hearing, and I also thank our witnesses for appearing before us 
today.
    As part of the Republican Big Tech accountability platform, 
many of the Members in this body have proposed a number of 
reforms to the laws governing Big Tech. My proposal is to 
remove section 230 liability protections from companies that 
act as bad Samaritans and knowingly promote, solicit, or 
facilitate illegal activity.
    Broadly, I have serious concerns about some of the 
activities that these companies are allowing to occur on their 
platforms, whether it is explicitly permitting these 
questionable activities or simply ignoring any illegal content 
that they discover.
    I believe the legislation before us today misses the mark. 
H.R. 6796 would create a new bureau at the Federal Trade 
Commission with new rulemaking and investigatory authorities to 
define the code of conduct for online platforms. However, I do 
not believe it is the FTC's duty or responsibility to be the 
moderators of content on social media platforms. Rather, they 
should act as the clearinghouse and inform consumers on Big 
Tech's content moderation practices, including their 
enforcement decisions and appeals decisions.
    Additionally, the legislation would require the FTC to hire 
500 staffers. I can only imagine this undertaking would set 
back the FTC many years and further slow its rulemaking 
drafting process and its ability to protect consumers.
    Sadly, we aren't able to explore these concerns, as the 
majority did not invite the FTC to testify today. Fortunately, 
we do have the opportunity to hear from Mr. Duffey, a career 
law enforcer who has dedicated his career to protecting 
Americans from predators in the real world, and is now working 
to protect Americans, especially children, from predators 
online.
    And Mr. Duffey, if I could begin my questions with you, in 
your testimony it sounds like there were many instances of you 
being reliant on the goodwill of these tech companies to fully 
complete your law enforcement investigations. Would you speak 
about your conversations with these companies, and how would 
you characterize their concern for what is happening on their 
platforms?
    Mr. Duffey. Thank you, Representative.
    With regards to your question, the conversation is, 
sometimes with the newer tech companies, is it a loss. And what 
I mean by that is they don't understand the pure volume of data 
which they have, which makes it a challenge for us in law 
enforcement to ask for the specific information that we are 
referring to, specifically when we talk about the--what we will 
call the word game.
    When we begin to do our investigation, we serve each and 
every company with the legal process asking for specific 
content. If that content language that we are asking for 
doesn't match up with the exact language that they have, we 
begin this banter back and forth to try to identify the exact 
content we are looking for, which is--which--transparency on 
what they have would be greatly--you know, greatly enhance our 
abilities to streamline some of our process.
    Mr. Latta. Well, you know, one of the ways we can hold Big 
Tech accountable is increase the transparency requirements.
    You were just talking about transparency. Last year I 
released a discussion draft to require companies to disclose 
their content enforcement decisions related to child 
pornography, child trafficking, cyber bullying, illegal sale of 
drugs, foreign terrorism content, counterfeit products, revenge 
porn, and doxing.
    Do you believe that if law enforcement had more information 
about how companies manage or conduct enforcement against these 
types of activities, would it help you overall perform your 
job?
    Mr. Duffey. Yes, I believe it would. It would allow us to 
have a full understanding. I think it would open that door, and 
have the conversations with these tech companies that sometimes 
stand to the side. Having a better understanding by law 
enforcement would be a win for all.
    Mr. Latta. Well, thank you very much.
    And Madam Chair, before I yield back, I do have a letter to 
the--for the committee from ANA, which I would like to ask 
unanimous consent to put in the record.
    Voice. We just have to check----
    Ms. Schakowsky. Without objection.
    [The information appears at the conclusion of the hearing.]
    Mr. Latta. Thank you, and I yield back.
    Ms. Schakowsky. Congresswoman Trahan, you are next, 
recognized for 5 minutes.
    Mrs. Trahan. Well, thank you, Madam Chair.
    Throughout our country's history, bold reforms have been 
born in moments of crisis. The Great Depression forced Congress 
to create the Securities and Exchange Commission, tasked with 
overseeing and regulating the market to protect investors. And 
almost 80 years later, Congress passed the Dodd-Frank Act in 
response to the 2008 financial crisis, strengthening consumer 
protections against financial market abuse and creating 
transparency and accountability requirements for the entire 
financial system.
    Yet today, crisis after crisis created by large technology 
platforms have resulted in minimal Federal response. In fact, 
crickets.
    Under the leadership of Republican and Democratic-
controlled governments alike, a handful of U.S. companies have 
become monopolies. They have optimized their platforms solely 
for ad revenue and, in turn, they have become breeding grounds 
for the spread of weaponized disinformation, hate speech, and 
content that harms our children.
    These issues have been closely examined. We have held 
hearings with experts, we have yelled at executives, and we 
have sent letters all saying the same thing: Do better. Yet the 
end result has remained the same. Nothing changes. And 
companies' stock prices hit new highs.
    The focus of today's hearing may be on the legislative 
proposals introduced by myself and my colleagues, but the 
question is much simpler: How long can we continue this 
inaction?
    How long can we look at our children and say the change is 
necessary, but we just haven't been able to enact it yet?
    Congress has gotten off the sidelines in the past for 
practically every other industry: cars, airplanes, and banks. 
We employ key organizations that keep pace with new 
developments, and inform regulations aimed to protect 
consumers. We must get off the sidelines once again. Enough 
listening to companies saying, ``Trust us, we have a process 
for that.'' Enough internal bickering that ends any real chance 
of progress. And enough watching Europe go first, and the 
Senate.
    I commend my colleagues on the committee, including our 
panel's leadership, who recognize that we have everything we 
need to act: the smoking guns, the historical precedent, and 
the legislative text. All we need today is the willpower.
    So Ms. Lehman, the Digital Services Oversight and Safety 
Act creates a bureau at the FTC, staffed with experts employed 
to issue rules related to public-facing transparency reports, 
certified researchers with data access, and disclosures to the 
Commission, so that we can shine sunlight on how consumer data 
is collected and used. Could you please explain why 
transparency requirements like these are so important?
    Ms. Lehman. Absolutely, thank you. Transparency 
requirements, particularly like those in your bill, we have a 
variety of them, right? So we have users and advertisers and 
individuals who need to understand what values the platforms 
that they use operate on. They--so that parents can decide is 
this platform--are these platforms' values coherent with what I 
want my kids to be on?
    And some of the most exciting components of the bill really 
are that we have seen time and time again that there is an 
allergy from the platforms to transparency and to 
accountability, whether that is Facebook disabling crowd 
sourcing, or disbanding the CrowdTangle team, whether that is 
other--we have seen the list that--and so, having access to 
understand, OK, what kinds of misinformation, how does it 
spread, how can we fix these problems, we don't have the 
context for that right now. And the parts of the bill that 
shine that sunlight make that possible.
    Mrs. Trahan. Well, thank you. And in your experience, how 
quickly do social media companies change their products and 
processes?
    And why is it so important to have a bureau that is 
flexible and nimble enough to quickly publish safety guidelines 
or issue new rules for disclosures?
    Ms. Lehman. Yes, I think particularly for--in this space 
things can change instantaneously. I think we think we have 
heard a little bit today about the Metaverse, and about, like, 
what Web3 and AR and VR look like. If we think back to five or 
six years ago, which is kind of a long time, in--sometimes in 
legislative land, right?
    You--what would--how would a--how could thinking through 
live video--and the advent of live video was fairly 
revolutionary, and the fact that video is happening on phones, 
and how did that change, and what kinds--as we heard from Mr. 
Duffey earlier, what kinds of harms can come from live video? 
Those are the kinds of things we need to be able to pivot 
instantaneously on, and--that we can't wait for.
    Mrs. Trahan. I couldn't agree more. Certainly, there is so 
much in the black box that we need to shine a light on so that 
we can keep up. Not just the Congress, the FTC. I mean, if not 
them, who is going to be armed with transparency in this 
regard?
    So I--the last thing--I know I am out of time, but I would 
like to request unanimous consent to enter a report from the 
NYU Stern Center for Business and Human Rights entitled, 
``Enhancing the FTC's Consumer Protection Authority to Regulate 
Social Media Companies.''
    Ms. Schakowsky. Without objection----
    Mrs. Trahan. Thank you, Madam Chair.
    Ms. Schakowsky  [continuing]. So ordered.
    [The information appears at the conclusion of the hearing.]
    Ms. Schakowsky. OK. Mr. Guthrie, you are recognized for 5 
minutes.
    Mr. Guthrie. Thank you. Thank you, Madam Chair. I have a 
letter from the U.S. Chamber of Commerce. It has been submitted 
to your staff, but I would like to ask to enter into the 
record.
    Ms. Schakowsky. Without objection, so ordered.
    [The information appears at the conclusion of the hearing.]
    Mr. Guthrie. Thank you, Madam Chair. Thank you so much. And 
thanks to everybody for being here today. And my questions are 
for Mike Duffey.
    And the United States has seen historic levels of opioid 
abuse, leading to tragic deaths over the last several years. 
According to the Kentucky Office of Drug Control Policy, 
illicit fentanyl and its analogs were detected in more than 70 
percent of all cases in Kentucky in 2020. The opioid crisis has 
been exacerbated by deadly fentanyl being trafficked into our 
communities through our southern border and on the social media 
platforms millions of Americans, including our children, are 
using.
    The Energy and Commerce Committee has passed several bills 
to address this epidemic. One bill--I know it is in a different 
subcommittee, a subcommittee I have the honor of being ranking 
member--but the HALT Fentanyl Act.
    I mean, the idea that March 11th--after this expires--after 
the CR expires, that illicit fentanyl will be street legal in 
America is just wrong. I wish we could make it permanently 
illegal. I do expect and hope that we can work together to at 
least extend it, moving forward. But it is just absolutely 
frustrating that we can't permanently schedule illicit fentanyl 
that is--70 percent of Kentuckians who died of an overdose died 
of illicit fentanyl in 2020.
    But I am also concerned that--and where it ties into this 
hearing--that illegal drugs are still available online through 
illegal pharmacies, and even these widely popular social media 
platforms. This type of illegal activity online is troubling 
and inexcusable. I am working on a draft legislation as part of 
the Republican Big Tech platform that will help prevent this 
from happening on these sites by requiring internet platforms 
to implement and maintain reasonable content moderation 
policies and practices to address the illegal sale of drugs on 
their platforms.
    Additionally, the Federal Trade Commission and states 
attorneys general would ensure enforcement of these policies. 
So my question is for Mr. Duffey.
    In your testimony, you discuss the challenges that tech 
platforms present to law enforcement. Do you find that most 
platforms have a formal process or framework by which to work 
with law enforcement personnel?
    And do you think legislation in this space will enhance law 
enforcement's capabilities to track this illegal activity and 
facilitate?
    So what is the current status of these platforms, and what 
would you like to see Congress do, Mr.----
    Ms. Schakowsky. Unmute. That will help the--if you--we can 
hear him better if you unmute. There we go.
    Mr. Duffey. All right. Thank you, Representative. I do 
believe that any type of framework would be to our advantage, 
and a win for all.
    Right now, as the----
    [Audio malfunction.]
    Mr. Duffey  [continuing]. Out of Big Tech, and how they 
struggle to--they build a tool which is used by the general 
population that becomes popular, and then gets misused. And 
them addressing and having some framework and requirements as 
to having a group that is able to handle the volume of law 
enforcement compliance legal process that we serve, and 
mandating that they build out these groups to respond to our 
responses will not only help law enforcement investigative 
efforts.
    The other side of it is if these Big Tech corporations 
enact encryption, then we are back to not being able to 
investigate an opioid case where an individual has overdosed 
and now we can't get into that mobile device to identify, nor 
do we have the tools to try to get into this device to 
determine who that person was communicating with to potentially 
stop others from getting this drug, and work a criminal 
investigation.
    So having--first, having these companies be held 
accountable to creating a outreach or law enforcement response 
compliance group; second, allowing the law enforcement to have 
the tools needed to help fight encryption. And I am not 
indicating that--we are not asking for anything that we aren't 
entitled to with proper legal process. If we can't get into 
these locked devices, the person who overdosed, that child who 
overdosed on the ground there, we can't identify where the 
suspect may be.
    Mr. Guthrie. Well, thank you, and I just have 20 seconds, 
so I will yield back.
    I don't have time for another question, so I will yield 
back my time. Thank you, Madam Chair.
    Ms. Schakowsky. The gentleman yields back, and next is Mr. 
McNerney for 5 minutes.
    Mr. McNerney. I thank the Chair, and I thank the gentleman 
from Kentucky for yielding early.
    [Laughter.]
    Mr. McNerney. I thank the witnesses. Your testimony is very 
compelling this morning.
    Ms. McInnis, please describe for a minute or so how banning 
surveillance ads would transform the online ecosystem.
    Ms. McInnis. Absolutely, and thank you for the question, 
Representative.
    Right now, Facebook and Google control an ad duopoly in 
online advertising sales because they have convinced the 
advertising market and advertisers that behavioral ads are more 
relevant and serve users with more targeted ads than others 
would. There is no reason, however, why contextual 
advertisements should not and could not be just as relevant as 
behavioral ads.
    DuckDuckGo has used contextual ads for our entire existence 
to show users relevant offers in the moment. We think that, you 
know, while you are searching for sneakers, you are likely 
wanting to see ads about sneakers, and not an ad for a vacation 
you might have taken a few months ago.
    In addition, if this bill was enacted, many companies would 
be prevented from the collection of online data, meaning that 
their duopoly--Facebook and Google's duopoly--and ads would be 
diminished. Companies would be able to compete against them 
more forcefully in the market, and we would have more 
innovative, contextual advertisement services for users. And 
therefore, the ads would be more relevant and more useful to 
users in the future.
    Mr. McNerney. Thank you. And that was just a little more 
than a minute.
    Ms. Lehman, you argue that if companies are truly proud of 
how effectively they protect consumers, you would expect them 
to welcome independent investigators or researchers. 
Unfortunately, that is not happening, which is why a 
comprehensive approach to transparency created in the Digital 
Services Oversight and Safety Act, H.R. 6796, is so important. 
So please explain how increased transparency from this 
legislation would result in concrete changes.
    Ms. Lehman. Thank you for the question. So where platforms 
fail to take responsibility, transparency can flag issues. It 
can--and it can flag the extent of the issues, and how those 
issues persist.
    And the kinds of issues we have talked about today a little 
bit, we have talked about misinformation, we have talked about 
discriminatory advertising. We have talked about targeting ads 
to children, whether that--and targeting ads to minors. And 
there is a CR article last year about targeting gambling and 
alcohol ads toward minors. This is the kind of thing that, 
without transparency, we don't have a good sense of the scale 
of the problem, and how best to combat it.
    When we--with Representative Trahan's bill, we suddenly 
have the ability to make clear where the problems are coming 
from, and how they can best be stemmed.
    Mr. McNerney. I forgot to say that I am going to switch to 
DuckDuckGo tonight. Thank you.
    Ms. Lehman, in your written testimony it states that 
algorithms can be opaque, and even for the engineers that 
designed them. I have designed algorithms. I know what you are 
talking about. How can the Algorithm Accountability Act help 
engineers be more thoughtful about their designs and testing 
processes?
    Ms. Lehman. Thank you. So with the Algorithmic 
Accountability Act, it allows for--it makes possible impact 
assessments for--and so it forces, again, the consideration 
that platforms and companies utilizing algorithms don't 
presently need to do.
    And so, because there are so many different factors that 
can go into our recommendations or algorithmic decisionmaking, 
it forces considerations, and not changes, and not--but it--
that--it is kind of a form of transparency unto itself, but 
it--forcing that forward is a crucial component of 
understanding what factors go into things that can affect 
everything from credit to housing to what ads we are seeing 
online.
    Mr. McNerney. Well, in other words, pre-planning and pre-
specifications can help make algorithms more accountable and 
transparent----
    Ms. Lehman. Yes----
    Mr. McNerney I believe that.
    Ms. Lehman. Yes.
    Mr. McNerney. Ms. Nkonde, in your testimony you explained 
how predictions made through machine learning create a feedback 
loop that can change the course of society. Please elaborate on 
that. That is an interesting comment.
    Ms. Nkonde. So once a prediction has been made--for 
example, a wrongful arrest in the case of Robert Williams, as 
we talked about earlier, that person now has a false arrest 
record. But more importantly, their biometric data is within 
that system, and there is no way of taking back that bad 
decisionmaking. So that person's life has been changed, not 
just personally, but administratively. And they become part of 
a data set that is feeding back wrong information.
    Mr. McNerney. Thank you. I ran out of time, and I yield 
back.
    Ms. Schakowsky. The gentleman yields back, and--yes, Ms.--
next is Mr. Bucshon.
    Mr. Bucshon. Thank you, Madam Chair, for calling this 
hearing today. This is a really, really important subject.
    In the last few years, multiple reports and incidents have 
come out showing that America's youth has been harmed by the 
often opaque and insufficient data privacy and content 
moderation practices of tech platforms and other online 
services. I think we can all agree that that is true. It is 
extremely concerning.
    I have four children. My youngest now, my daughter, is 
getting ready to graduate high school. And during her high 
school years we have had to navigate this. And in our family, 
just like everyone else's, like so many other people from 
Indiana, Hoosiers, they have had to grapple with what the fair 
and safe terms of our online presence is with this in mind, 
because, if anyone has teenagers, they know they will be 
online, whether you know it or not. It is critical that kids 
like my daughter learn to safely navigate these technologies, 
prepare them for the 21st century life and workplace.
    I was a surgeon before, and I would like to--I always like 
to say these issues need to be addressed, I think, with a 
scalpel, rather than a hacksaw, in that there are data and 
usage restrictions worthy of examination by this committee, 
absolutely. Unfortunately, I think the legislation today, which 
is extremely well intended, probably takes more of a hacksaw 
approach than I would like to see, outright banning targeted 
advertising and opening a private right of action to let trial 
lawyers sue small business and local advertisers. I doesn't, I 
don't think, address the issue. Rather, we should examine 
policies how the FTC can better do their job as the cop on the 
beat to protect children from privacy dangers online.
    We are also reviewing a bill today that would drastically 
expand the government to increase the FTC by nearly one third 
of its existing size.
    So, Mr. Duffey, in your testimony you mentioned some of the 
ways that predators and other bad actors try to pressure and 
bully kids into providing information or materials that could 
harm them for the rest of their lives by putting it in 
cyberspace, and that never goes away.
    Do you believe that requiring platforms to be more 
transparent with their cyber bullying content moderation 
practices would empower youth users and their parents to avoid, 
oppose, or remove cyber-bullying content that can quickly get 
out of hand and turn into exploitative or even illegal content?
    Mr. Duffey. I do, thank you, Representative. I agree with 
you 100 percent that some transparency with youth, law 
enforcement, and parents would only add to the knowledge base 
that--for everybody on how to better protect yourself, the 
content, and what you are getting, what you are contributing 
when you sign up for these sites.
    And it would allow for us to have a wider scope to the 
overall issue when it comes to sextortion and cyber-bullying, 
along with the tactics used by these individuals.
    Mr. Bucshon. Well, thank you very much. And even--I live in 
Evansville, Indiana. And I can tell you, talking with local law 
enforcement there, this is pervasive. It is surprising. Even in 
rural counties I represent, bad actors every day doing this. 
This is just not, you know, in cities, big cities and other 
places. This is everywhere.
    Ms. McInnis, many consumers have already shown to be 
interested in not having their data tracked, as evidenced by 
the success of DuckDuckGo browser. But there are, obviously, 
those who have chosen to stay on the platforms that use their 
data. Do you think that encouraging wider implementation of 
privacy-by-design principles would give consumers the 
confidence that their data is being responsibly used, and could 
encourage more transparent practices in how a company uses a 
consumer's data to alleviate the concerns and abuses you have 
laid out by some of the advertisers currently?
    Ms. McInnis. Thank you, Representative. Absolutely.
    However, as the Chair and ranking member have stated, we 
have waited too long for companies to self-regulate, and we 
really should act now to incentivize them to act in the best 
interests of their users.
    Mr. Bucshon. Yes, I mean, so what you are saying is 
implementation--wider implementation of privacy-by-design 
principles should be driven by change in Federal law.
    Ms. McInnis. Unfortunately----
    Mr. Bucshon. Not voluntary.
    Ms. McInnis. Unfortunately, sir, I just think that 
companies won't be incentivized to do so before we incentivize 
them with law.
    In addition, I think competition reform bills would level 
the playing field, allowing more companies like DuckDuckGo to 
compete on privacy.
    Mr. Bucshon. That is a good advertisement.
    I yield back.
    Ms. Schakowsky. The gentleman yields back.
    Relevant to this subcommittee, the President is apparently 
going to talk about social media and children's mental health 
tonight, which is very important to us, yes.
    And next we have my friend, Congresswoman Clarke, for 5 
minutes.
    Ms. Clarke. I thank you very much, Madam Chair and Ranking 
Member Bilirakis, for holding this extremely important hearing 
today. And I would like to thank you for including my 
legislation, H.R. 6580, the Algorithmic Accountability Act of 
2022, which I recently reintroduced, along with Senators Ron 
Wyden and Senator Cory Booker.
    My legislation takes common-sense and long-overdue measures 
to protect consumers from harmful bias and discrimination 
resulting from the widespread use of automated systems that are 
governed by computer algorithms, artificial intelligence, and 
machine learning.
    Let me be clear: the problem isn't just Facebook, 
Instagram, and TikTok. The problem is pervasive. The very same 
automated technologies that are being misused and abused by 
social media companies are similarly being used without 
oversight by a wide range of industries to make critical, 
split-second decisions about people's health care, housing, 
finances, employment, and so much more. And while these 
technologies reach conclusions based on calculations, these 
calculations are the products of systems designed by humans, 
subjecting them to a wide range of flaws that reinforce broader 
societal discrimination, particularly against women and people 
of color.
    So Ms. Nkonde and it is so good to see you once again--
could you share an example or two of algorithmic systems 
leading to discriminatory outcomes that have a major impact on 
people's lives?
    Ms. Nkonde. Yes, of course, Congresswoman Clarke. One of 
the most recent examples is a pain management algorithm that is 
used in over 1,000 health care settings in the United States 
that was discriminating against Black American patients because 
their health care costs were higher, in aggregate, than other 
groups. And it wasn't because of care. I can certainly speak 
about that more, but I know we don't have time.
    And then the second example was one that was brought forth 
by the Haas Business School at Berkeley that found that 
mortgage recommendation algorithms were discriminating against 
Black borrowers at the same rates as human beings
    [were], because the inputs that were being used, the 
questions that were being asked were asked discriminatory as it 
were a human banker (sic).
    So those are two of a myriad of examples I could offer.
    Ms. Clarke. So thank you. It is clear to me that something 
must be done to address the current lack of accountability and 
transparency around how automated systems are being used. And 
that is why my Algorithmic Accountability Act directs companies 
to assess their automated decision systems for potentially 
dangerous flaws such as inherent bias, safety risk, and 
performance gaps.
    Ms. Nkonde, would you agree that impact assessments are a 
feasible and important first step in tackling this issue?
    Ms. Nkonde. Yes. As it has been said earlier in this 
hearing, we are looking at impact assessments around 
algorithmic thinkers in the EU, and understanding the 
downstream impact of these technologies will be--will enable 
good faith actors on the public side to be able to decide 
whether this is actually in line with existing law. Because the 
harms I am describing are otherwise outlawed underneath civil 
rights statute, which we should be following if we are going to 
be--if we are going to follow rule of law in this country.
    Ms. Clarke. And Ms. Lehman, do you agree, as well?
    And how would these impacts assessments benefit consumers?
    Ms. Lehman. Thank you, Congresswoman. A little bit, as we 
mentioned earlier, having companies have to consider things 
other than their profits, having them have to consider how the 
systems they build have impacts on communities, on marginalized 
communities, on consumers across the board, inherently, even if 
it may provide more internal accountability and provide more 
external accountability as well, I mean, it forces those 
considerations in a way that we haven't previously seen.
    Ms. Clarke. Well, thank you. And my legislation would 
further direct companies to report their findings to the FTC 
for review, and require the FTC to establish a public 
repository of automated decision systems along with high-level 
information such as data sources and how to contest decisions.
    Ms. Nkonde, how would these transparency measures be 
helpful to consumers and researchers alike?
    Ms. Nkonde. They would protect our rights and enable us to 
make informed decisions around what we are actually buying, and 
the impact it will have on our lives as--on a whole.
    Ms. Clarke. Well, let me thank you for your testimony here 
today to all of our witnesses. It is time that we make a 
change.
    And with that, Madam Chair, I yield back. I have gone over 
time.
    Ms. Schakowsky. The gentlelady yields back, and now, Mr. 
Dunn, you are recognized for 5 minutes.
    Mr. Dunn. Thank you very much, Madam Chair. I appreciate 
the opportunity to discuss Big Tech today.
    You know, thanks to advancements in technology, it is 
easier than ever to stay connected online. When the world went 
into a lockdown with COVID, our relationships could nominally 
be continued. And of course, essential businesses remained 
open. So social media, with American Big Tech leading the way, 
certainly was a boon to us, and we should absolutely continue 
to uphold an economic system that allows for innovation and 
open competition in the U.S. technological industry, especially 
for small and medium-sized enterprises that are trying to break 
into the market.
    Unfortunately, social media platforms have also provided a 
new space for bad actors, foreign adversaries to exploit the 
social media channels, to target potential victims and, of 
course, spread harmful propaganda. And these threats are 
heightened during the crisis like we are seeing now in Europe.
    Some of the Twitter accounts that were sharing information 
about the Russian unprovoked attack in Ukraine were curiously 
suspended from Twitter during the beginning days of the 
invasion. Twitter has noted that these accounts were moved 
removed by mistake, not due to Russian interference. And while 
this may not be an example of pure Russian aggression, we know 
similar reports will likely increase, and TikTok is already 
reporting a surge in Russian propaganda.
    The dangers of foreign adversaries using social media to 
advance their agenda is clearly a very real danger. Social 
media companies have a social responsibility to not allow 
malign State influences on their websites, and I think our 
national security depends on that.
    So first question, Ms. McInnis, we know China uses search 
engines to push conspiracy theories, and we know Russia is 
currently using propaganda online to spread misleading 
information in Ukraine. How does DuckDuckGo detect foreign 
manipulation campaigns such as this?
    And after detection, what steps do you take?
    Ms. McInnis. Thank you for the question, Congressman.
    First and foremost, the number-one thing that DuckDuckGo 
does to help stem disinformation and misinformation online is 
not collect your personal information. Companies that collect a 
lot of personal information, such as Google, are able to use 
that to further ensure that you are engaging in the product, 
which leads often to the presentation of conspiracy theories or 
other fringe videos that are presenting non-credible 
information.
    Second, DuckDuckGo got started as a search engine that was 
providing users with instant answers at its top-of-the-search-
engine results page. We have continued to do that, especially 
with regards to information that may be targeted by people with 
ill intentions to provide misinformation and disinformation.
    And what many may not know is that the top of the search 
engine results page gets, by far, the most attention from any 
user. So by presenting users with credible and authoritative 
information at the top, we are ensuring that they are going to 
find the right answers to their questions, and not be steered 
away to another site that is looking to prey on their fear and 
misinformation.
    Mr. Dunn. Thank you for that, Ms. McInnis. Again, our 
adversaries also want access to individuals' data, so they can 
build algorithms to target, predict, and manipulate behavior in 
the United States.
    I am especially concerned about American companies that 
have ties to the Communist Chinese Party, and what data they 
are forced to share because of that relationship with China. 
You know, I think consumers deserve more transparency.
    How is their data used? Can you tell us a little bit more 
about that data? When are they forced to share?
    Ms. McInnis. Thank you for the question, Congressman. I am 
not sure what data companies are forced to share, in part 
because DuckDuckGo does not collect any personal user data as 
people use our systems. So by----
    Mr. Dunn. Well, thank you for not doing that. I 
appreciate--time is drawing short, so I am going to ask you for 
yes-or-no answers to these, if you will.
    Do believe that the amount of individual data collected by 
Big Tech companies is concerning?
    Ms. McInnis. Very.
    Mr. Dunn. Good. In general, is the data collected by Big 
Tech companies used to influence individual behaviors?
    Ms. McInnis. Absolutely.
    Mr. Dunn. OK, good.
    Mr. Duffey, we are going to give your technology another 
shot here. From your experience, what tools could social media 
sites implement to help users identify nefarious accounts?
    [Pause.]
    Mr. Dunn. Shouldn't have taken the risk, I guess.
    Mr. Duffey. Thank you----
    Mr. Dunn. [Inaudible.]
    Mr. Duffey. I think the internal tools that they collect--
--
    Mr. Dunn. Mr. Duffey, go ahead. What tools would you wish 
you had from Congress?
    [Pause.]
    Mr. Dunn. A good computer----
    [Laughter.]
    Mr. Duffey. I would wish that the technology companies----
    Mr. Dunn. What?
    [Pause.]
    Mr. Dunn. I appreciate the Chair's----
    Mr. Duffey. Can you hear me?
    Mr. Dunn  [continuing]. Forbearance. I yield back.
    Ms. Schakowsky. Yes, I think we, unfortunately, lost him. 
Next is Mr. Cardenas for 5 minutes.
    Mr. Cardenas. Yes, thank you, Madam Chair Schakowsky, and 
also Ranking Member Bilirakis, for having this important 
meeting, and talking about these very good bills.
    I would also like to thank my colleague, Representative 
Lori Trahan, for introducing her bill, which would help shine a 
light on the content moderation practices of Big Tech 
companies.
    Without adequate transparency, we don't have the 
information we need to understand how disinformation spreads, 
and how to hold these companies accountable when they fail to 
make strong-enough measures to combat it.
    This problem is particularly bad in Spanish-speaking 
communities, where we have seen social media companies fail to 
invest the resources necessary to fight Spanish-Language 
disinformation. And it has come to my attention that Russia is 
feeding disinformation about what is going on in the Ukraine, 
specifically bombarding the Spanish-speaking community here in 
the United States and around the world. So obviously, they are 
trying to skew the truth, and trying to get certain communities 
to believe that Putin is muy bueno, or a good guy, and he is 
not.
    Thanks to whistleblowers like Frances Haugen, a former 
Facebook product manager, we know the Facebook--that Facebook 
directed 87 percent of their investments on combating 
misinformation to English language content, in spite of the 
fact that only 9 percent of Facebook users are English 
speakers. What a disparity.
    These disparities are unacceptable, especially when 
consuming misinformation can lead to real-world health, safety, 
and financial consequences for communities. And also, in some 
cases, people are actually dying based on what people are fed 
and the actions that they take.
    Ms. Lehman, would publicly publishing how these online 
platforms moderate non-English language content hopefully put 
some pressure on companies to correct the disparities and 
content moderation investment between English content and 
content in other languages? And if so, how so?
    Ms. Lehman. Absolutely. And I think, in large part, because 
those disparities, when they are said aloud, are so dramatic 
and so disproportionate, and so just incredibly disheartening, 
right?
    As the statistic you just cited, if it is 87 percent, even 
though it is making up 9 percent--even though English speakers 
make up only 9 percent of that platform, all sorts--all 
languages deserve the level of attention and the intensity and 
the appropriate content moderation, because all consumers 
deserve high standards of conduct moderation, and that when 
they are using a platform online, they can expect that their 
experience won't be different from someone else's simply 
because of the language that they are using on that platform.
    Mr. Cardenas. Thank you. We had Facebook in front of us, 
and other companies, and they admitted that they could put some 
more resources in there, but they choose not to.
    For example, McInnis, wasn't it earlier today that somebody 
asked about whether or not DuckDuckGo is actually profitable, 
and you said yes? What number do you--did you say that your 
revenue is $100 million?
    Ms. McInnis. That is correct, Representative.
    Mr. Cardenas. Is that per year?
    Ms. McInnis. It is per year.
    Mr. Cardenas. An annual basis? A year. Well, I would 
venture to guess that $100 million is a slow day for Facebook/
Meta, Google, and Amazon.
    So I pray that DuckDuckGo can actually continue to succeed 
in this environment, because we are talking about companies 
that are now net worth $1 trillion or more. And the reason why 
I point that out is because they choose not to use good 
practices. They choose not to have practices that are 
respective of the consumer, respectful of the people who are 
using their platforms.
    And so I just want to commend you, Ms. McInnis, and please 
tell the C-suite executives at DuckDuckGo that I hope and pray 
that your model continues to work in this environment. And 
unfortunately, you are a tiny player on this playing field. 
Please take a second if you think that I am mischaracterizing, 
what I just said.
    Ms. McInnis. No, I appreciate your words, Representative, 
and we are trying very hard to compete in this marketplace. But 
as we have mentioned, Facebook and Google hold a duopoly in 
advertising. And the Banning Surveillance Advertising Act would 
help mediate that inadequacy in the market, and allow for more 
companies to compete on privacy, just like DuckDuckGo.
    Mr. Cardenas. Thank you so much. In 2020 a product risk 
assessment calculated internally by Facebook found that Spanish 
language misinformation detection on the platform remains, 
``very low performance.''
    In spite of that, the report's recommendation was to--and I 
quote--``just keep trying to improve,'' and aim--and claimed 
that--and I quote--``addition of resources will not help.'' 
That--nothing could be further from the truth.
    And the last thing I will say is, without public 
accountability, I think that these companies will continue to 
do the wrong thing, and we do need to have Federal legislation 
to rein them in for the sake of people's health and livelihood, 
and for the lives of the people and the children who are badly 
affected by these platforms.
    I am sorry I went over my time, Madam Chair, I yield back.
    Ms. Schakowsky. No, I thank the gentleman.
    And Mrs. Lesko, you are recognized for 5 minutes.
    Mrs. Lesko. Thank you, Madam Chairman. Before I begin my 
question, I want to correct the record.
    Earlier in the hearing Representative Castor had urged the 
need for the House to have a bipartisan bill updating the 
children's online privacy protection rule, and I agree we need 
a bipartisan bill. But such a bill already exists. 
Representative Walberg and Representative Rush introduced H.R. 
1781, the PROTECT Kids Act, earlier this year. And I understand 
Republicans have requested this bill to be included in the last 
two legislative hearings, but still to no avail.
    Furthermore, the bill was reintroduced from last year, so I 
am happy to say to Representative Castor that the Senate is not 
ahead of us on this particular issue.
    I also want to add that I understand that Leader McMorris 
Rodgers and Ranking Member Wicker have now asked the President 
twice on engaging on a comprehensive national privacy and data 
security bill--not just on children's privacy--and have not 
heard back yet, or there hasn't been an attempt to build a 
consensus with us Republicans.
    So I think we do want to work in a bipartisan area, because 
this is very important.
    Well, again, I want to say thank you to the witnesses for 
being here today.
    Before I begin my questions, I want to express my 
disappointment that representatives from the advertising 
industry were not invited to testify at a hearing which 
examines legislation that will severely impact the advertising 
industry. It seems that they deserve a seat at the table, so we 
can understand the effects.
    I do want to be clear, however, I have the same concerns 
that my colleagues have, in terms of Big Tech abusing their 
power and escaping responsibilities for their wrongdoing.
    However, H.R. 6416 will burden the small and medium-sized 
enterprises that are looking to gain entry into a market that 
heavily relies on advertising to be successful. The niche 
products created by innovators looking to capitalize on the 
American dream will not be able to grow or even survive under 
this legislation.
    I do not believe that was the intent of the sponsor, my 
friend. I know you care about protecting Americans' privacies, 
but let's not do it at the expense of small businesses. Yes, 
abusers like Google must be held accountable, but we must be 
sure to examine that actions taken to curb Big Tech's power 
will not unduly burden small businesses.
    The FTC has shown no interest in protecting good actors in 
the market, so that duty now falls on us. But these are the 
very same concerns that the Interactive Advertising Bureau, an 
organization that should be on today's panel, explained in a 
letter to this committee. And I ask that this letter--it is 
rather a lengthy one--be submitted for the record.
    And if Mr. Duffey can hear us----
    Ms. Schakowsky. Without objection, so ordered.
    [The information appears at the conclusion of the hearing.]
    Mrs. Lesko. Thank you, Madam Chair.
    Mr. Duffey, thank you again for your testimony, and for 
your long career wearing the badge. You raised many issues that 
we should be examining as we hold Big Tech accountable.
    Central to our goal is the Federal Trade Commission and 
their ability to inform Americans about resources they have 
when their security has been violated. As a law enforcement 
expert, what information would you want people to know about 
when their safety is violated on social media platforms?
    Mr. Duffey. Thank you, Representative. Hopefully, the audio 
is coming through a little bit clearer.
    To answer your question, I think today you would want to 
know, when your safety is violated, what exactly is the data 
that is--was available to that individual. Was it personal 
information, as it relates to your phone number? Was it date of 
birth information?
    What--a lot of times, when we see these social media sites, 
there is a growing concern amongst individuals that they are 
being encouraged to link their profiles to other social media 
sites. The question then becomes--is what data carries from 
company to company, and how does that impact the citizens that 
we serve every day?
    So I think, while a lot of it is we are used to credit 
reports being offered to people once they are--once they have 
been compromised, from a social media perspective, were my 
pictures taken? The big picture of what exactly was 
compromised, so that I can make a self-assessment as a citizen 
to what safety factors I am more concerned of.
    Mrs. Lesko. Thank you.
    And Madam Chair, I yield back.
    Ms. Schakowsky. The gentlewoman yields back. And now, 
Congresswoman Debbie Dingell, it is yours for 5 minutes.
    Mrs. Dingell. Thank you, Chairman Schakowsky. Thanks for 
holding this important hearing, and to all the witnesses for 
testifying today.
    In our December hearing on holding Big Tech accountable, I 
discussed how these platforms prioritized profits over people 
by keeping users engaged. These direct design choices have a 
profound impact on children and adolescents who are using these 
platforms, and we have seen an increasing connection between 
time spent on new media and mental health issues we are seeing 
in children and adolescents. In this increasingly digital age, 
we need to be vigilant in re-evaluating how these design 
choices impact children, and we need to work to prevent 
subsequent harms online.
    I am going to--I know previous questioners--my colleagues 
have asked some of these questions, and I am going to try to 
build on them. I want to start just by getting each of you on 
record with the same question I asked at the subcommittee's 
previous tech accountability hearing.
    To the panel, are social media companies conducting 
business online actively making the choice to prioritize 
profits and engagement over combating disinformation, violent 
content, and negative health outcomes for individuals and 
children?
    Just a yes or no answer, Ms. Lehman.
    Ms. Lehman. Yes.
    Mrs. Dingell. Ms. McInnis?
    Ms. McInnis. Yes.
    Mrs. Dingell. Ms. Nkonde?
    Ms. Nkonde. Yes.
    Mrs. Dingell. Mr. Duffey?
    Mr. Duffey. Yes.
    Mrs. Dingell. Thank you. OK.
    Ms. Lehman, are there ways in which the design features or 
algorithms of these platforms can take advantage of young 
people in particular, leading to worse outcomes?
    Do these design choices increase the likelihood that 
children will be exposed to divisive, violent, hurtful, or 
inappropriate content?
    Ms. Lehman. Absolutely. So right now we--a lot of what is 
most exciting about the transparency of things before us today 
is that there is not enough information to have a good sense of 
how exactly some of these platforms are making these design 
choices. We understand they are, but we don't know the 
intricacies of exactly how to fix it.
    A lot of this legislation allows us that insight, and also 
starts to force platforms to consider ways that their 
algorithmic systems are designed, ways that they are--it 
starts, as you said, when they are prioritizing profits over 
people. It starts to combat that, it provides--because, 
ultimately, they do need incentives to do so.
    Mrs. Dingell. Thank you.
    Ms. McInnis, what responsibility do tech companies have to 
protect children from manipulative marketing content and 
product recommendations and targeted advertising?
    Should these companies have some level of responsibility 
for a failure to protect our young users?
    Ms. McInnis. Absolutely. And thank you for the question, 
Representative.
    We encourage tech companies to take more responsibility 
over the kinds of tracking that they are using online, and how 
that tracking encourages other third parties to target users 
with misinformation, disinformation, and other offers that may 
be inappropriate, especially for children.
    Mrs. Dingell. Thank you.
    Ms. Lehman and Ms. Nkonde, do you believe that, without 
legislation, companies will take the necessary steps to protect 
children from manipulative practices on their platforms?
    How would the legislation under consideration today ensure 
that regulators and researchers have the tools and information 
necessary to protect children and adolescents using these 
platforms?
    Why don't we start with Ms. Nkonde?
    Ms. Nkonde. I don't think that any of the companies are 
incentivized to protect children because they are publicly 
traded companies. Therefore, their first priority is to their 
shareholders. This legislation would create that hand in the 
same way that, in the age of robber barons, Congress had to 
come in and create an incentive.
    In terms of transparency, knowing the harm allows us to 
have a targeted and appropriate remedy that can maintain 
innovation and business in the United States, while protecting 
our children, who, in my humble opinion, as a mother, are our 
greatest asset.
    Mrs. Dingell. Ms. Lehman, 20 seconds. Can you give us a 
quick answer?
    Ms. Lehman. Yes, I would echo Ms. Nkonde.
    And we know from previous hearings that platforms don't 
action, or don't action--maybe even three to 5 percent of hate, 
of violence, and of incitement, these problems are rampant, and 
I think if--certainly, the transparency would lend itself to 
public accountability for that.
    Mrs. Dingell. Thank you, Madam Chair. I yield back.
    Ms. Schakowsky. The gentlewoman yields back.
    And Mr. Pence, you are recognized for 5 minutes.
    Mr. Pence. Thank you, Chair Schakowsky and Ranking Member 
Bilirakis, and thanks--I thank the witnesses for being here 
today. I am going to kind of give you a background a little bit 
where I am at on this with some statements.
    Like many of my colleagues, I am increasingly concerned 
with the growth-at-any-cost mindset of Silicon Valley. Social 
media platforms employ algorithms that promote inflammatory, 
addictive content to elicit the strongest level of user 
engagement. You know, as we have talked about with children, 
that is a horrible thing.
    More clicks lead to more data that fuels a more lucrative 
online advertising business model. Efforts to keep users glued 
to their screen is at the heart of this business model. You 
know, we know that is true, because everybody has got their 
nose in their phone all the time.
    Our public disclosures have become overtly divisive. Our 
younger generations have developed unhealthy addictions to 
social media, and an individual's right to privacy is 
disregarded.
    The online environment of intrusive data collection 
inflammatory content is not the only option. I am encouraged to 
hear the conversation today and the level of agreement we have 
on problems facing Hoosiers and all Americans as it pertains to 
Big Tech. It is time that we start enacting in advance holistic 
solutions that will rein in Big Tech and produce real results 
to protect our constituents online.
    Our constituents should have more control over how their 
personal information is collected and used online, or--and this 
is where I deviate a little bit--receive fair compensation when 
their information is collected and sold, as it is happening 
absolutely non-stop.
    Ms. McInnis, in a previous hearing I discussed whether or 
not a social media platform could still be profitable without 
the ability to monetize content that has been adjudicated to be 
harmful to users. Likewise, DuckDuckGo is a profitable company 
that claims to not engage in surveillance advertising. Concerns 
have been raised that, if Congress limits a platform's ability 
to engage in automated surveillance advertising tools, small 
businesses will suffer from a lack of reach, which--I wrestle 
with that.
    However, as you referenced in your testimony, research 
shows only modest gains for the user of behaviorally targeted 
ads. I hear that a lot from the small businesses that use 
social media. Some it is good for, but the vast majority, it 
says it gets nothing for me.
    And yet, oddly, advertisers are very willing to pay a 
premium for what they believe extends their reach. Is it reach, 
or extends their data collection?
    If the outcome for online advertising is similar to what 
you can expect from other methods, the only difference becomes 
the amount of information Google or Facebook or any of the 
other Big Tech can gather from you and your business, or you 
personally. What has the experience been like at DuckDuckGo for 
small businesses seeking to advertise their products to 
potential consumers, from your perspective?
    Ms. McInnis. Thank you for the question, Representative.
    Unfortunately, we syndicate our contextual ads through 
Microsoft. So Microsoft would have the best data on how small 
businesses have utilized the platform. That said, DuckDuckGo is 
a smaller tech company that is competing against the giants. We 
also use contextual ads, and we have used the contextual ads on 
our services, as well. So we have proven that this is a 
profitable model for us.
    In addition, many small businesses have been using 
contextual ads to their benefit.
    Finally, as I mentioned earlier, the ability to 
discriminate in the targeting of advertisements also enables 
companies to discriminate in the opportunities that they 
present to users, meaning that some smaller businesses may be 
discriminated against in the provision of financial resources, 
rental opportunities, housing agreements, and other things that 
make their small business possible.
    Mr. Pence. Well, I would even say--I appreciate that 
comment. I would even say in sales, too, they get limited. It 
depends on who is collecting the data, and who they are 
dispersing that data to. It is a real problem for me.
    Ms. Nkonde, what is your answer to that same question? And 
that question was your experience with small businesses, the 
value there. Are they making money off this data collection of 
Big Tech?
    Ms. Nkonde. I would actually agree with your assessment 
that the returns are actually on the tech company side, in 
terms of more data. Because with more data, you can create more 
products, you have more insight. And the rate of return can be 
negligible.
    But that is not to say all the time. There are some 
businesses that are able to benefit, but not in the same way 
that the big giants do.
    Mr. Pence. Yes, thank you for that. You know, I think it is 
time we stop talking about being--us receiving some benefit for 
all the data that is being collected on us.
    And thank you, Madam Chair, I yield back.
    Ms. Schakowsky. The gentleman yields back. And now my 
colleague from Illinois, Congresswoman Kelly, for 5 minutes.
    Ms. Kelly. Thank you, Chair Schakowsky, for holding this 
hearing today, and for the witnesses appearing before us.
    I am delighted to see that one of the bills recommended by 
the E&C Racial Equity Working Group, the Algorithmic 
Accountability Act, will be considered here today.
    Every day people go online and search or buy products, and 
all the while, little bits of their activity get collected and 
put toward creating an online profile of a user's wants, likes, 
and dislikes. In the real world, more and more decisions are 
being made by artificial intelligence from data collected from 
what we do online. Large amounts of data are combined to make 
predictions with little knowledge of the underlying data used 
to train the algorithm, or the potential bias that is encoded 
in the system. One of the more difficult conversations to have 
around AI--what it means for AI to be transparent or 
explainable.
    Ms. Nkonde, in an interview last year with Stanford's 
Engineering's The Future of Everything podcast, you mentioned 
that impact assessment information would be more useful than 
opening up an algorithm and seeing what is inside. Can you 
elaborate on this?
    Is it either or--is it an either/or situation, or how would 
the Algorithmic Accountability Act--how would it help biases in 
how algorithms are designed and the outcomes they produce?
    Ms. Nkonde. Congresswoman Kelly, I would suggest that, 
because we are looking for accountability, the impact of the 
technology is way more important than the longitudinal algebra 
that it took to create the algorithm, because those statistical 
models are going to be visible to very few people in the 
population.
    And from an oversight perspective, Congress just needs to 
know, are these products in line of the laws of our land? And 
for that you just need impact.
    Ms. Kelly. Thank you.
    Ms. Lehman, in your testimony you point out the imbalance 
that the FTC often faces going up against some of the largest 
tech companies in the world. The Digital Services Oversight and 
Safety Act and the Algorithmic Accountability Act include 
increased FTC staffs and funding, albeit at different levels.
    Can you explain how the current imbalance of FTC staffing 
harms the ability of the government to stop bad actors?
    Ms. Lehman. Absolutely. Thank you, Congresswoman.
    So the FTC today is a fraction of the size it was 40 years 
ago, even while the economies from some of the largest 
platforms alone were unthinkable at that time. And so the kinds 
of resources that the FTC has to combat the systemic problems 
throughout these--throughout this industry is--the fact that we 
are still smaller than--compared to the outsized growth there, 
it--we can only--consumers will only benefit from a fully 
empowered FTC that can--that has the level of expertise and 
funding to effectively go after these industries.
    Ms. Kelly. Thank you.
    And Ms. McInnis, do you have anything to add?
    Ms. McInnis. We likewise support a fully funded and 
resourced Federal Trade Commission.
    One of the best things that the Federal Trade Commission 
and, indeed, the U.S. Government could do right now is enforce 
our existing rules and laws. And so we encourage the Federal 
Trade Commission to not only enforce their laws, but also 
consider where they could act to protect users, perhaps through 
examining new rules under the Children's Online Privacy 
Protective (sic) Act, or acting against patterns that we are 
seeing online under their section 5 authority.
    Ms. Kelly. Thank you. The European Union has already 
started their work toward an AI law. Their bills differ in many 
ways from the bills being considered today, but share some 
important similarities.
    Ms. Lehman, how would the Algorithmic Accountability Act 
align with European efforts to regulate AI, and how do they 
differ on taking risk-based approaches?
    Ms. Lehman. Thank you, Congresswoman.
    So in the EU there have been proposed legislation--there 
has been proposed regulation that would put algorithms into 
different risk buckets. And so this is where they differ 
insofar as they would go so far as to ban algorithms in the use 
of, like, the highest risk buckets, thinking more about, like, 
social credit scoring. There would be more regulations around 
how they can be used in some of the medium-risk buckets, and 
transparency in the lowest-risk buckets.
    We are a little bit earlier on in our AI regulation 
discussions, and so are--in the U.S., the--we--the primary 
mechanism we have right now in the Algorithmic Accountability 
Act is impact assessments and that transparency. So getting a 
sense of, OK, what are the effects of these systems.
    Ms. Kelly. Thank you.
    And with that, Madam Chair, I yield back.
    Ms. Schakowsky. And next I call on Mr. Soto for his 5 
minutes.
    Mr. Soto, the floor is yours.
    Mr. Soto. Thank you, Madam Chair. When we look at 7 in 10 
Americans using social media platforms--that actually even 
sounds pretty low for me; most people I know use social media, 
right?
    And the practice of sharing user data to target 
advertisements has led to discrimination based upon race and 
gender on occasion. Forty-two percent of Americans experienced 
online harassment over the past year, forty-two percent. And 
social media companies have consistently denied and blocked the 
needed data for us to do independent research and government 
research.
    But there is hope, right? Because, while we know so many 
Americans are using social media, privacy online is an issue 
that affects most Americans. And the big headline from this 
hearing today is that the Energy and Commerce Committee, 
Democrats and Republicans, are coming together to propose 
bipartisan agendas, bipartisan bills to protect America's 
privacy online.
    And Madam Chair, I thank you and the ranking member for--my 
fellow Floridian, Gus Bilirakis, for your leadership on this, 
the Banning Surveillance Advertising Act of 2021. It prohibited 
advertisers from targeting advertisements based upon personal 
information that links the consumer's connected device, 
basically hunting down who you are by your device, rather than 
by your preferences and what you avail yourself to online.
    The second bill, the Algorithm (sic) Accountability Act of 
2022, which would conduct impact assessments on the algorithms 
that are mysterious to so many folks, and have regular 
reporting of these results to the Federal Trade Commission to 
make sure they are fair against discrimination, against anti-
consumer issues, against all sorts of nefarious things that can 
happen if we leave it just to machines to make these decisions.
    The third bill, Cooperation Among Police, Tech, and Users 
to Resist Exploitation Act, or the CAPTURE Act. I want to give 
a compliment to my fellow Floridian, the ranking member, Gus 
Bilirakis, on this great bill on how social media companies 
communicate, consult, and coordinate with Federal, State, and 
local law enforcement to address illegal content and activity 
online. We have to protect our kids, we have to protect our 
families.
    My wife is an assistant principal in central Florida, and 
we see kids being exposed to adult content that has really hurt 
their childhood, and has made it harder on educators, and 
particularly on parents.
    Increasing consumer education of law enforcement resources, 
by Representative Mullin, that requires the FTC to work with 
the attorney generals to develop educational programs to inform 
the public on resources available, should they feel their 
safety or security was violated. Right now, many Americans 
don't know where to go, and this is a key part.
    And then finally, the Digital Services Oversight and Safety 
Act of 2022, which establishes the Bureau of Digital Services 
Oversight and Safety, a long-time need at the FTC to beef up 
their oversight of social media platforms under the FTC.
    Thank you, Special Agent Duffey, for being here. Welcome 
from Florida, at least virtually. We appreciate you testifying 
today. What other types of criminal acts and dangers do you see 
online from Floridians, from your role at FDLE?
    Mr. Duffey. Thank you, Representative.
    [Pause.]
    Mr. Duffey. Can you hear me?
    Mr. Soto. Yes, we could hear you. So what are the types of 
criminal acts online that you end up seeing in Florida, and the 
dangers?
    Mr. Duffey. We see everything that you could think of, and 
more. There is not a day that goes by that we aren't learning 
something new. Everything from the drug trade to individuals 
selling other--personal information from other people's 
accounts. It has really become the modern day means of 
communication amongst all criminal activity. They establish 
groups using different platforms, leveraging encryption 
services to hide behind a curtain that we are not privy to.
    So it is increasingly becoming a challenge, as you 
mentioned, with today's youth, and the content that they get 
exposed to on a daily basis, the mental health impact that it 
has on them, and the lack of oversight in the amount of content 
that they view is growing each and every day.
    So if you can think of a criminal activity, from selling 
somebody's house that they live in, to compromising a bank 
account, to title fraud, car fraud, it is all occurring in the 
digital environment.
    Mr. Soto. Thank you, Special Agent Duffey. Together we can 
empower parents, families, educators, consumers, prevent 
discrimination with this critical agenda.
    And I yield back.
    Ms. Schakowsky. The gentleman yields back. And now, 
Congresswoman Craig, you are recognized for 5 minutes.
    Ms. Craig. Thank you so much, Madam Chair, for yielding.
    Ms. Lehman, I want to start by thanking you for providing 
such thoughtful and helpful testimony across so many different 
areas related to holding Big Tech accountable, and for calling 
out Snapchat in your section 230 reform ideas.
    I have raised my concerns about Snapchat serving as an 
illegal marketplace for drugs in prior Big Tech hearings, and I 
want to continue my focus on the issue during today's hearing, 
as well.
    As my colleagues may recall, I have a constituent in 
Hastings, Minnesota, Bridgette Norring, who--she and her family 
lost their son, Devin, to a fentanyl overdose, and is asking us 
to do more. I am here today raising her voice and that of 
countless other parents in hopes that we can come together and 
find a solution.
    Special Agent Duffy, thank you for what you do in law 
enforcement every single day to help to crack down on these 
illegal online sales. I strongly believe we need to give our 
law enforcement agencies the tools, resources, and funding they 
need to help protect our communities, both online and in the 
physical world, from dangerous drug overdoses.
    You may have seen recent news stories online talking about 
changes Snapchat was taking to curb drug dealing on the app, 
under pressure from parents like Bridgette and other parents 
who called on the CEO to do more and do better. Based on your 
experience, though, Agent Duffey, and in training those who use 
apps to conduct investigations, I am hoping you can briefly 
walk us through what the current process looks like when you 
attempt to target a known drug dealer and hold them to account 
on an app like Snapchat.
    Mr. Duffey. Thank you, Representative.
    When we begin these types of investigations with companies 
like Snapchat, we are often times the ones being provided it 
through a citizen that becomes concerned. And in some cases, 
some companies will police themselves and identify content. But 
ultimately, they are seemingly less proactive in trying to 
remove some of this content, and leaving it for law enforcement 
to become proactive on their own site, which is a challenge as 
we struggle with retention of law enforcement officers around 
the United States.
    So these investigations begin with us identifying a 
criminal activity. Then we begin to serve legal process, which 
becomes the first hurdle in trying to identify what the company 
has retained or what they haven't retained, which becomes the 
first struggle.
    And then, as we progress through the app, we end up at 
internet service providers and cellular providers, because the 
means of using these apps are done through mobile devices. And 
so the mobile device itself, through the companies that provide 
the service, we run again into another issue of data retention 
and activity that may or may not be kept, along with these 
criminal activities being used with a virtual private network, 
meaning they are using a service that ultimately hides their 
internet activity in which no records are often found.
    So we have run into many roadblocks. I would say we have 
less successes than we have incomplete cases because of those 
things that I mentioned.
    Ms. Craig. Special Agent Duffey, you mentioned that the 
Snapchat or other platforms sometimes will proactively contact 
law enforcement, but most of the time it is citizens who are 
doing the trolling on these platforms and contacting you. And I 
would assume that, often times, that is because a family member 
has suffered some sort of catastrophic outcome, or at least 
some harm.
    What do you think the responsibility of the social media 
platforms should be, in terms of being proactive on their 
platform?
    Mr. Duffey. Thank you. I think the responsibility is all in 
their favor. They should be the ones content moderating. They 
should be the ones communicating and learning from law 
enforcement, who is learning from kids in school and friends 
and family. Having that open conversation will only benefit 
them.
    Right now, we see many of the companies ignoring or not 
having that communication with the public and law enforcement. 
Things--they think that they can, in a sense, take it upon 
themselves to learn it, or wait to become reactive.
    So I think, if you are going to build a platform 
environment for kids to operate on, then you need to be 
responsible for taking action and learning what to look for.
    Ms. Craig. Thank you so much. Amen to that. And with that, 
I am sorry I am out of time, but
    [inaudible] topic.
    I yield back.
    Ms. Schakowsky. The gentlelady yields back, and now I 
welcome as a waive-on to our subcommittee Mr. Walden--I am 
sorry, Walberg--for 5 minutes.
    Mr. Walberg. Thank you, Madam Chair, for allowing me to 
waive on to this hearing.
    This is the third legislative hearing the committee has 
held on holding Big Tech accountable. But once again, I believe 
it fails to address one of the most pressing issues: it is 
personal, of course, but the need for a comprehensive national 
privacy and data security framework. Though many of the 
proposals today are admirable, they include components that 
should be considered in a comprehensive framework, not as a 
piecemeal set of bills. Members of the committee need to get 
back to our bipartisan work to create this framework. Privacy, 
and children's privacy in particular, should be a no-brainer.
    Despite what the gentlelady from Florida said earlier, 
there already is a bipartisan COPPA bill in the House. I and my 
good friend, Congressman Rush, introduced the PROTECT Kids Act, 
which would update and modernize COPPA for the online behavior 
and devices of today. The legislation was introduced last 
Congress, and I would be glad to work with her on this issue.
    This is another reason why I am disappointed that the 
majority denied Republicans' second request to include this 
legislation in today's hearing. I am committed to finding a 
bipartisan agreement on COPPA as a part of a larger privacy 
package, and I hope that the majority will work with us to find 
common ground on our proposals.
    Ms. McInnis, my PROTECT Kids Act adds precise geolocation 
and biometric information as two new categories of personal 
information which are protected for children under COPPA. I 
believe that behavioral ads can be beneficial for adults, but 
many of those benefits do not translate when it comes to kids. 
And so how can companies like TikTok design their platforms to 
better protect this type of information for children, without 
the negative effects that a blanket ban on ad targeting would 
have for small business, small and local businesses?
    Ms. McInnis. Thank you for the question, Representative.
    We encourage companies like TikTok to stem the amount of 
data that they are collecting from all users, especially 
children.
    DuckDuckGo is a search engine, and so I can't speak to many 
of the issues preventing social media companies, in particular. 
But we do think that there is more that companies could be 
doing proactively to protect users, and also ways they could be 
adjusting their algorithm to ensure that they are not causing 
the sort of mental health and other relevant harms that we have 
seen Frances Haugen speak about with regards to Facebook that 
we know we are being perpetrated online.
    But regardless, the fact that this company can target users 
and adjust the algorithm in order to kind of reach users in 
this moment of mental health crisis, or kind of anything 
related to that, means that they are collecting too much 
information on us all, much less kids.
    Mr. Walberg. Yes, yes. Thank you for that.
    My legislation also raises the age for parental consent 
protections for children online from 13 to 16 years of age. I 
have lost their votes now, but I think it is responsible, a 
responsible approach to take. I support raising the age of 
COPPA.
    But Mr. Duffey, in your testimony you highlight how 
children and tweens frequently bypass parental consent 
protections in order to socialize online. Can you elaborate on 
the dangers that those between the ages of 13 and 16 face on 
social media sites, and how those dangers may differ from those 
under 13?
    And also, what should Congress be considering to address 
age restrictions online?
    Mr. Duffey. Thank you, Representative. I would offer to the 
committee that, when we talk about 13 to 16 years old, we--in 
talking with mental health professionals, I would offer up 
their thoughts and opinions and medical concerns, because the 
content that you view at the age of 13 versus the content that 
you are viewing at 16 is going to--what we have seen with the 
kids is it is going to greatly impact potential behavior
    [inaudible] forward with as they grow.
    When we talk about the children today circumventing the 
system, it is very much an issue, because I don't know that you 
will ever stop youth from bypassing----
    Mr. Walberg. And parents can be an asset.
    Mr. Duffey. Yes, they very much can, but they need to be 
educated, as well.
    Mr. Walberg. OK, thank you. I see my time has expired.
    And thank you for allowing me to waive on.
    Ms. Schakowsky. Thank you, Mr. Walberg. And now I am happy 
to have the opportunity to waive on to this subcommittee 
Congresswoman Eshoo, who is the author and chief sponsor of the 
Banning Surveillance Advertising bill that we are considering 
today.
    Ms. Eshoo, you are recognized.
    Ms. Eshoo. Well, thank you, Madam Chair, for not only 
holding this hearing, but welcoming me to waive on to the 
subcommittee. I thank you for being with me on the Banning 
Surveillance Advertising Act. If our colleague, Bobby Rush, is 
still with us, I want to thank him, as well.
    First I want to go to Ms. McInnis. Thank you for your 
excellent testimony, and for your support of my legislation.
    To my colleagues on both sides of the aisle, you may not 
know, but my bill does go after the root of the social media 
problem, which is a toxic business model. Critics say that 
there can't be an internet economy without surveillance ads. 
They have really poured it on, you know, that, you know, the 
internet will implode without this.
    But I view it another way. And I think so does DuckDuckGo, 
because it is a counter-example. So I want to respond just 
briefly to a few questions related to the criticism that 
opponents of my bill cite very often. And if you could keep 
your responses brief, I would really appreciate that.
    So to Ms. McInnis, have you found that contextual 
advertising to be less effective than behavioral advertising?
    Ms. McInnis. We have not. We use contextual advertising 
ourselves, not only to fund the business, but also to reach new 
and potential users of the DuckDuckGo services.
    In addition, I have spoken often about the need to invest 
more in the contextual advertising model. Just because the ad 
duopoly from Facebook and Google are asserting to us that 
behavioral ads work better, it is not true that contextual ads 
can't be just as relevant.
    Ms. Eshoo. Do you hear major complaints from users that 
your ads are not relevant enough?
    Ms. McInnis. We syndicate our advertisements from 
Microsoft's Bing.
    We find that users are coming to us primarily for privacy 
protection, and we offer them best-in-class privacy protection, 
relevant results, and quality services, while also protecting 
their privacy.
    We are hopeful that, with a bill like the Banning 
Surveillance Advertising Act of 2022, we will have more 
competition in the contextual ads market, which will not only 
enable more companies to compete against Facebook and Google's 
ad duopoly, but also enable small businesses to go to more 
advertisers, rather than just the two big duopoly--big 
monopolies in town to source their advertisements.
    Ms. Eshoo. Two more questions. Are small businesses able to 
use contextual ads to reach their customers?
    And the other question is will the internet break without 
surveillance ads?
    Maybe you should take that first.
    Ms. McInnis. The internet will not break without 
surveillance ads. And in fact, DuckDuckGo is proof positive 
that you can have a successful and profitable company without 
surveilling users.
    In addition, small businesses can use contextual ads to 
reach their users. And indeed, many do, because contextual ads 
are cheaper, and usually provide users with the same amount of 
revenue in return. We have cited some studies from researchers 
like Alessandro Acquisti, pointing out that behavioral 
advertising does not, in fact, result in much added revenue for 
publishers. And we think that is also true for small 
businesses.
    Ms. Eshoo. Wonderful. Let me go to Ms. Nkonde.
    Thank you for your powerful testimony, and for everything 
that you are doing in this space. Can you State to members and 
whomever is tuned in about the harms that ad targeting have 
caused people, particularly people of color?
    I think that this is--I know what the answer is, but I 
would like to have you put it out on the table, so that people 
have even more clarity about this.
    Ms. Nkonde. So what we found in the election space is our 
adversaries really take advantage of racial divides in this 
country by targeting advertising online toward Black 
communities, and we have heard earlier in this hearing Spanish-
speaking communities, when they want to divide and weaken us.
    So what your bill actually does is add national security 
protections on top of this, on top of all the other 
protections, because, without that targeting--targeted 
advertising, it breaks down that pathway.
    Ms. Eshoo. Thank you.
    And I yield back, Madam Chair, and thank you for having me 
with you. It is a terrific subcommittee.
    Ms. Schakowsky. The gentlelady yields back. I thank you--
thank her for her presence with us today.
    I--seeing no more members who have questions, I want to 
sincerely thank our witnesses for your participation today. 
This was really a great hearing. All of you contributed so much 
to the discussions that we need to be having, so I thank you.
    And I want to remind members that, pursuant to committee 
rules, they have 10 business days to submit additional 
questions for the record to be answered by the witnesses who 
have appeared to today.
    And I certainly ask each witness to respond as promptly as 
you can to any of the questions that you may receive.
    With that, before we adjourn, I request unanimous consent 
to enter the following documents into the record: a letter from 
the Association of National Advertisers; a letter from the--
what is that?
    Voice. Interactive.
    Ms. Schakowsky. Interactive----
    Voice. Advertising.
    Ms. Schakowsky. I will start again. A letter from the 
Interactive Advertising Bureau; a report from New York 
University; a letter from the Software and Information Industry 
Association; a letter from the FTC--a letter to the FTC; a 
letter from the U.S. Chamber of Commerce.
    And without objection, so ordered.
    [Material submitted for inclusion in the record follows:]
    Ms. Schakowsky. And I want to see if my ranking member had 
anything he wanted to add.
    Mr. Bilirakis. I am good. I appreciate everything you have 
done today, and we hope we can----
    Ms. Schakowsky. Put--yes, go ahead.
    Mr. Bilirakis. No, thank you very much, Madam Chair. I 
appreciate it very much, and I want to thank the witnesses, and 
the panel.
    And also, we want to get these bills moved forward with a 
markup, and get them on the floor as soon as possible, 
particularly when it comes to the social media and what it is 
doing to our children. It is unacceptable. We have to hold 
these companies accountable.
    So thank you for bringing it to our attention today. And 
again, I appreciate it very much, Madam Chair. I yield back.
    Ms. Schakowsky. At this time, the subcommittee is 
adjourned. Thank you.
    [Whereupon, at 1:28 p.m., the subcommittee was adjourned.]