Viw Magazine

The Times


.

The federal government's response to the ACCC's Digital Platforms Inquiry is a let down

  • Written by: Katharine Kemp, Senior Lecturer, Faculty of Law, UNSW, and Co-Leader, 'Data as a Source of Market Power' Research Stream of The Allens Hub for Technology, Law and Innovation, UNSW
Of the 23 recommendations made in the ACCC's final report, the government supported six in their entirety, ten "in principle", "noted" five and rejected two. shutterstock

Today, the federal government responded to the recommendations of the Australian Competition and Consumer Commission’s (ACCC) “world-leading” Digital Platforms Inquiry.

The response, however, is a less-than world-leading roadmap for reform.

Few dispute the ACCC’s inquiry was ground breaking, as it held to account tech giants including Google and Facebook, and the power they wield over media, advertising and consumers.

But the government’s plan for reform lags behind other major global jurisdictions, where greater privacy protections have been enacted.

The recommendations, and the response

The ACCC spent 18 months on the Digital Platforms Inquiry, publishing its hefty final report in July.


Read more: Consumer watchdog calls for new measures to combat Facebook and Google's digital dominance


In the report, 23 recommendations were made. These included wide-ranging reforms to consumer protection and privacy laws.

In today’s announcement, the government supported six of these recommendations in their entirety and ten “in principle” (with plans for further reviews).

It “noted” five others, and rejected two.

A lagging Privacy Act

In its final report, the ACCC highlighted that Australia’s privacy laws not give consumers the same protections granted in other comparable countries and the European Union.

For instance, the European Union’s General Data Protection Regulation (GDPR), gives European consumers more choices and more complete information about how their personal data is used.

The California Consumer Privacy Act also puts Californian consumers ahead of us, with rights to access and delete data. There are even moves to introduce nationwide legislation to protect consumers online in the United States.

The ACCC’s recommendations on privacy sought to align Australia’s privacy laws with the GDPR. This included imposing higher standards for consumer consent and privacy notices, and introducing rights to erase personal data in certain situations.

The government does support higher penalties for breaches of the Privacy Act, and will act on that recommendation sometime next year. However, there will be another 18 months of inquiry into whether any other improvements to the Privacy Act are actually required.

The government also supported, in principle, a new statutory tort (law) of serious invasion of privacy, which was also recommended by the Australian Law Reform Commission in 2014.

Similarly, the ACCC’s report proposed a private right of action (which allows an individual to sue directly) on privacy matters. This right is currently only available to the regulator. The government supports this recommendation in principle, but it is “subject to consultation and design of specific measures”.

The reality is, privacy best practice standards are evolving rapidly around the world, while Australia lags behind. Australian web and app-based businesses have to design their services to comply with overseas legislation.


Read more: Media Files: ACCC seeks to clip wings of tech giants like Facebook and Google but international effort is required


What has the government committed to?

To its credit, the government made a commitment of A$26.9 million over four years to fund a new unit in the ACCC.

This unit will monitor and report on the state of competition and consumer protection in digital platform markets.

Its first task will be to conduct further inquiries into the advertising technology (ad-tech) sector, in line with an ACCC recommendation. Ad-tech facilitates personalised targeted advertisements, such as those presented by Facebook and Google.

The key issue, from a platforms perspective, was the ACCC’s proposal to have a voluntary code of practice regarding the power imbalances between digital platforms and news media businesses. A voluntary code means the industry has the opportunity to develop new rules itself.

The government has directed the ACCC to work with stakeholders to develop and implement voluntary codes to address this power imbalance, and the ACCC must provide a progress report on code negotiations in May next year.

The code must be finalised no later than November. If agreement isn’t reached, the government has reserved the right to impose a mandatory code.

The government will also work with the Australian Communications and Media Authority (ACMA), in a staged process to reform media regulation.

The objective is to have a “platform-neutral” regulatory framework covering both online and offline delivery of media content (for example, having common rules for Netflix and free-to-air television).

In practice, this “staging” is likely to lead to the first legislation being introduced into parliament in late 2020.

What was left out?

One of the recommendations the government rejected was the proposed mandatory ACMA take-down code, which would assist copyright enforcement on digital platforms. The rejection was on the basis that major copyright owners and users identified “unintended effects” of such a code.

The government also rejected the proposal that philanthropic funding of journalism should be tax deductible, mainly because it is in the process of implementing a deductibility framework, introduced in 2017.

The ACCC also recommended the prohibition of unfair contract terms. It repeated this proposal in the context of small businesses and consumer loyalty schemes.

The government noted this, and promised there will be consultation on a range of policy options to strengthen unfair contract term protections.

The was also a “note” response on the recommendation to prohibit certain unfair trading practices. There is currently work underway through Consumer Affairs Australia and New Zealand exploring such a prohibition.


Read more: Australian media regulators face the challenge of dealing with global platforms Google and Facebook


The government deferred adopting a change to search engine and internet browser defaults. Instead, the ACCC will monitor and report back on Google’s roll-out of options in Europe.

The ACCC also proposed changes to merger law. These were intended to address what in Europe is called a “killer acquisition”.

The government anticipates further public consultation on this proposal.

Unfortunately, the government’s plan for further legislative reviews offers only the mere possibility of improvement to consumer privacy protections. And even if these eventuate, they are more than 18 months away.

Katharine Kemp receives funding from The Allens Hub for Technology, Law and Innovation. She is a Member of the Advisory Board of the Future of Finance Initiative in India, the Centre for Law, Markets & Regulation and the Australian Privacy Foundation.

Rob Nicholls receives grant funding from the International Association of Privacy Professionals.

Authors: Katharine Kemp, Senior Lecturer, Faculty of Law, UNSW, and Co-Leader, 'Data as a Source of Market Power' Research Stream of The Allens Hub for Technology, Law and Innovation, UNSW

Read more http://theconversation.com/the-federal-governments-response-to-the-acccs-digital-platforms-inquiry-is-a-let-down-128775

How to Clear a Deceased Estate: A Gentle, Practical Guide for Sydney Families

Losing a loved one is hard enough. Then, often within weeks, families are faced with the task of sorting through a lifetime of belongings...

NBN Not Working? Common Causes and What to Do Before Calling a Technician

There's never a good time for the internet to drop out. It always seems to happen in the middle of a work call, halfway through a movie or...

Can You Increase Your Income with Duplex and Dual Occupancy Builds?

A dual occupancy build is when 2 independent homes are constructed on a single block of land. They can either share a wall, as with a dupl...

Why Corten Is Used for Distinctive Outdoor Steel Applications

Understand the weathering process Outdoor steel can serve both a functional and visual purpose, particularly when a project calls for a w...

Trailers in Melbourne: How to Choose the Right Box Trailer for Your Needs

Comparing Trailer Types in Melbourne The right trailer depends on what needs to be transported and how the trailer will be used. Buyers com...

How a Livestock Identification and Traceability System Supports Smarter Cattle Management

Why Identification Matters Beyond Basic Herd Records Modern cattle management depends on having reliable information about where animals ...

Choosing A Locksmith Melbourne For Residential Security Needs

Why The Right Locksmith Matters Finding a reliable locksmith Melbourne homeowners can contact involves more than locating someone who can...

What to Look for in a Brisbane Security Company Before You Hire Guards

Most business owners don't think about security on a daily basis. But things can go wrong at any moment.  A break-in over the weekend. A ...

Furniture Removals in Wagga Wagga: A Practical Guide to Interstate Moves

Wagga doesn't feel like a town that sits on a major moving route, but it is. Positioned dead centre between Sydney, Melbourne, and Canberra ...

Steel vs Timber vs Plastic Garden Edging: What Actually Lasts

Walk any hardware aisle and you'll see three types of lawn edging aisles fighting for the same job: keeping mulch where it belongs and grass...

How Small Lighting Choices Can Completely Change the Mood of a Room

You can repaint a room, replace the furniture and spend a small fortune on styling, but if the lighting is wrong, the whole space can stil...

Safeguard Global or Rippling: specialist EOR against the all-in-one bundle for expansion from Australia

This comparison assumes one situation: an Australian business, headquartered here, hiring its first people outside the country. That framing...

Where and how to sell domain names: the ultimate playbook for modern investors

Holding valuable digital real estate is only half the battle. Every portfolio manager quickly discovers that an unsold web address is no...

Caravan Blitz – How to Keep Your Caravan Off the Coppers’ Radar

Discovering that your caravan is non-compliant can be embarrassing and often inconvenient. Imagine planning a trip for months, only to see t...

What Is a Weed Wiper and How Does It Work?

Blanket spraying covers ground quickly, which is why most people default to it. The cost is everything else it hits. Overspray lands on pa...

Why Some Beauty Clinics Feel Easier to Deal With Than Others

You can have two beauty clinics offering similar treatments at similar prices, yet dealing with them can feel completely different. One an...

Brisbane’s Property Market Sees First Quarter in Decline

In 2026, Brisbane’s property market has seen a first-quarter decline.   This marks a shift from previous market patterns and could have a...

Science Tutoring Sydney: Building Strong Foundations in Science

Students and parents looking for science tutoring Sydney often want support that combines clear teaching, structured learning and practica...

Pallet Racking: How to Plan an Efficient Warehouse Storage System

Pallet racking can play an important role in improving how warehouse products are supported, organised and accessed. BHD Storage Solutions p...

Gym Solutions: How to Create a Practical Home Workout Space

Creating a workout area at home can make regular exercise more convenient, particularly for people who want to train without travelling to...

Most Backyard Privacy Screens Fail for the Same Predictable Reason

Someone plants a screen, waits two years, and it's patchy. Gaps where there shouldn't be gaps. A neighbour's window still visible through ...

Understanding Hydraulic Systems and Their Role in Modern Machinery

Hydraulic technology plays an important role in machinery that requires controlled movement, high force and reliable power transmission. Fro...

Melbourne Packaging Supplies: How to Choose the Right Products for Your Business

Businesses need packaging that supports storage, handling, shipping and presentation. Choosing suitable Melbourne packaging supplies can m...

Caravan Dealers: Why a Hybrid Caravan Could Be the Right Choice for Perth Travellers

When visiting caravan dealers, it is easy to feel overwhelmed by the number of layouts, sizes, and specifications available. Every caravan...