So I've been stewing on the swirl around the @Facebook / NYU's Ad Observatory / @FTC issue for a few days, and it just keeps getting further under my skin. This latest news triggers me. A THREAD. washingtonpost.com/technology/202…
As prelude, I am a strong supporter of independent research on social media platforms. My org has funding at seven figures+ such research. I support even adversarial research and would support CFAA reform to enable it. (Reach out if you want to collaborate there!)
And I believe the team at NYU's Ad Observatory has been doing useful and careful research and I think their contribution has been important. I hope (and believe) they can continue their work.
But I was a lawyer at the FTC & know a good amount about when the FTC sues. There is a giant gap in the discussion. The press coverage missed it. Mozilla's post ignored it. FB's post didn't really explain it. Most egregiously, the FTC's recent statement avoids it. Here it is:
The NYU research program absolutely, incontrovertibly increased Facebook's legal risk. As a company under order at the FTC, that risk is even higher. As a company under order with a giant target on its back, that risk is significant. Here's why:
As I understand it, the AdObserver browser plug-in has access to all the content accessible to the user on the FB domain. NYU uses only a very limited subset of that information. They are very careful and privacy protective.
But as I heard NYU researcher @LauraEdelson2 quite rightly state on a Twitter Spaces discussion yesterday, all software has bugs. Their software has bugs. In fact, they made changes to the plugin in response to feedback from Mozilla.
So, a little thought experiment: If one of those bugs went bad or the plugin was misused and user data leaked, who do you think the FTC would go after? NYU researchers? Or FB? Academics, or the company that they already got a $5 billion settlement out of in a similar situation?
And the consent order that FB is under would *absolutely* enable the FTC to pursue an enforcement action against Facebook in such a case. This is true EVEN IF (and maybe ESPECIALLY IF) the FTC granted researchers an exemption for good faith research.
The @FTC recently claimed that if FB had asked ahead, FTC staff would have clarified that the order doesn't prevent FB from allowing good faith research. That's probably true but entirely beside the point. ftc.gov/news-events/bl…
The FTC could have reduced FB's legal risk by saying "Sure, allow this research; if researchers mess up we won't sue you." But the FTC (certainly not this FTC) would NEVER do this. Reporters (@viaCristiano, @GiladEdelman, @issielapowsky), ask Mr. Levine if you don't believe me.
I suppose the Ad Observatory also could have reduced Facebook's risk by entering a legal agreement indemnifying FB from any consequences if their use of data goes wrong. I wouldn't advise either side to enter such an agreement, but it'd be interesting to know if it was explored.
TL;DR: The simple fact is that the Ad Observatory research project increased FB's legal risk even without a FTC settlement, and the FTC settlement heightens that risk dramatically. So it is fully plausible to claim the FTC settlement as a reason for stopping this research.
You might think that FB should eat that risk (I'm sympathetic to this view) and should trust the NYU researchers (who again, seem very trustworthy), but you cannot pretend that there was zero legal risk to FB from allowing this research in this manner. /END

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More from @neil_chilson

May 20
The proposed moratorium to slow the avalanche of state AI bills (1000+ in 2025) has really spun up folks, but they aren't making great arguments.

Take a new letter by @demandprogress (irony!) and other progressive orgs. It gets basic facts wrong and misrepresents research. 🧵 Image
1/ This characterization of the moratorium is wrong: it isn't a total immunity because states can still enforce any general purpose law against AI system providers, including civil rights laws and consumer protection laws. In fact, the moratorium specifically says that. Image
2/ False. While it's not quite clear what "unaccountable to lawmakers and the public" means, it is 100% clear that traditional tort liability as well as general consumer protections and other laws would continue to apply. Deliberately designing an algorithm to cause foreseeable harm likely triggers civil and potentially criminal liability under most states' laws.Image
Read 12 tweets
May 14
The flood of state AI regulatory proposals threatens to drown the U.S. AI industry. A late-night @HouseCommerce markup is about to discuss a moratorium on state AI regulation. We submitted a letter from twelve state-based organizations supporting this important provision. A 🧵 Image
Image
2/ Problem: Over 1,000 AI bills proposed in the last 4 months, most in state legislatures. This regulatory tidal wave risks drowning innovation in confusion and conflicting rules.
3/ Patchwork Alert: NY’s RAISE Act alone could force AI labs into costly, confusing inspections; imagine this duplicated across multiple states, each using different rules. Nightmare fuel for startups, boon for lawyers.
Read 14 tweets
Jan 24
1/ Big shift in AI policy: This week Trump repealed Biden’s AI Executive Order and introduced his own Removing Barriers to American Leadership in Artificial Intelligence to shift direction. BUT which Biden-era AI actions should Trump focus on? 🧵Image
2/ Trump’s new executive order underscores a commitment to cutting red tape and fostering innovation. But Biden’s AI policy isn’t completely gone—it lingers in ongoing agency initiatives. Sect 5 of the EO attempts to clean up these leftovers: Image
3/ Over at @abundanceinst, we've been tracking all public proceedings that Biden's EO triggered. Below is a breakdown of some of the most important of those proceedings. We commented on many of them, and they now deserve the most scrutiny from the Trump admin.
Read 13 tweets
Apr 9, 2024
There is a new AI proposal from @aipolicyus. It should SLAM the Overton window shut.
It's the most authoritarian piece of tech legislation I've read in my entire policy career (and I've read some doozies).
Everything in the bill is aimed at creating a democratically unaccountable government jobs program for doomers who want to regulate math.
I mean, just check out this section, which in a mere six paragraphs attempts to route around any potential checks from Congress or the courts.Image
@aipolicyus The amount of bureaucracy this bill would unleash is staggering. The bill attempts to streamline some of this by providing a "Fast track" but the main takeaway of this is how broad the types of software that are likely to be subject to regulation are: Image
The proposal also allows the Administrator to require any applicant (including those Fast Track applicants, and open source applicants) to adopt "safety procautions" which is entirely open-ended. Not thorough a rule-making process or any sort of due-process-protecting mechanism, but simply as a condition of granting a permit!Image
Read 21 tweets
Nov 28, 2023
“More libertarian,” a DALL-E sequence.

“Create an image of a prototypical Washington, DC libertarian.” Creating an image of a prototypical Washington, D.C. libertarian involves combining elements that are often associated with libertarian philosophy and the professional style of Washington, D.C. Imagine an individual standing in front of a recognizable Washington, D.C. landmark, like the Capitol Building. The person is dressed in business attire, which reflects the professional environment of the city. They could be holding a book or a pamphlet that symbolizes libertarian ideology, such as a copy of "The Road to Serfdom" by F.A. Hayek or "Atlas Shrugged" by Ayn Rand. The ...
More libertarian To emphasize the libertarian aspect more, the individual could be depicted with symbols or items that are strongly associated with libertarian values. For instance, they could be holding a sign or wearing a badge with a well-known libertarian symbol, like the Gadsden flag ("Don't Tread on Me") or a porcupine, which is often used to represent the Libertarian Party in the United States. Additionally, they could be engaged in an activity that reflects libertarian principles, such as peacefully protesting for individual freedoms or engaging in a discussion about free-market economics....
Even more libertarian. I want the ultimate personification of a libertarian. For an even more pronounced portrayal, the individual could be surrounded by symbols and elements that strongly personify libertarian values. Imagine the individual standing confidently in front of the Capitol Building, holding a large flag that combines the Gadsden flag and the Libertarian Party's porcupine symbol. They could be wearing a T-shirt with a quote from a famous libertarian thinker, like Ludwig von Mises or Milton Friedman, instead of traditional business attire. This outfit change represents a break from conventional norms, aligning with libertarian values of individuality and ...
Read 10 tweets
Jun 6, 2023
This @FT op ed by Marietje Schaake pairs well with my op ed with @ckoopman. Keep Congress AND tech CEOs away from AI regulation. 😏

Not joking. A 🧵 ImageImage
Schaake is correct that CEOs have an interest in shaping regulation to benefit their business model. But legislation isn't the only way regulatory capture happens. All prescriptive regulation inheriently favors incumbents b/c it is written for the present. 2/
Future, and especially disruptive, business models and technologies won't fit in those regulatory boxes. Such businesses face regulatory uncertainty PLUS established incumbents who speak the regulators' language. The FCC is a great example of this happening over and over. 3/ Image
Read 8 tweets

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