Internet firms face threat of regulation
SOCIAL media companies face crippling fines of millions of pounds if they cannot police their sites properly, a minister has warned.
Margot James, the digital industries minister, last night said the Government is studying a German law that forces firms to delete online abuse. The law gives internet firms 24 hours to delete the abuse or face a £44million fine.
She gave technology companies here a chance to improve their behaviour through self regulation, but has warned that regulation is on the table if they refused. Supporting the idea of a self-regulatory body similar to newspaper industry regulator Ipso, Ms James said: “Either we can make that work voluntarily with the networks or we will have to go to a more statutory framework,” she said. “There are so many areas where there’s a need for greater protection of people.”
Germany began enforcing its Network Enforcement Act, nicknamed The Facebook Law, in January. It applies to any site with more than two million users and can impose fines up to £44 million for the offending companies. Ms James’s comments came as Facebook came under new pressure about how it protects users’ information following revelations that the British targeting firm Cambridge Analytica exploited the social network to harvest data of 50 million users for political campaigns. Last night, Elizabeth Denham, the Information Commissioner, said she is applying for a search warrant against Cambridge Analytica as it had refused to cooperate.
No 10 called the case “concerning”. The Prime Minister’s spokesman said: “It is essential people can have confidence their personal data will be protected and used in an appropriate way.” Mark Zuckerberg, Facebook’s chief executive, lost around £3billion yesterday as the company’s shares fell 7 per cent, knocking £22 billion off its total value, in the wake of the revelations.
Last night an investigation revealed that Cambridge Analytica, a company with strong links to Donald Trump’s former strategy chief Steve Bannon, offered to entrap politicians by using bribes and sex workers.
Undercover reporters for Channel 4 filmed Alexander Nix, the company’s chief executive, allegedly offering to use the tactics to discredit politicians in foreign elections.