This document summarizes trends in digital regulation discussed by various committees and organizations. Key areas addressed include disinformation and transparency in online political ads and marketplaces; regulating competition in the digital advertising market; auditing algorithms for fairness; and establishing standards for data use, privacy, and security for drones, IoT devices, and health technologies. Legislators aim to achieve parity between offline and online regulation, but competition regulators may not be equipped for the digital landscape. Political campaigning and inferred personal data practices require clearer rules.

1. Trends in Digital Regulation
Simon Deane-Johns
Consultant Solicitor
March-April 2019

2. Digital
Platforms:
Gamekeepers
or Poachers?
Database of political
ads who paid, who
targeted
Disinformation
and Fake News
Harmonisation
on penalties
Protection for
‘free’ services
that accept
personal data
Differentiate
‘paid for’ and
‘free’ listings
Fairly
represent,
explain
popularity &
availability
Label ‘paid for’
results
Does ad revenue affect
order of results?
Discounts on
like for like
basis
State unavoidable
fees, charges, taxes
upfront
Transparency of Online Marketplaces: The Enforcement and Modernisation Directive 2019
Disinformation and Fake News: HoC Culture, Media and Sport Select Com’ee 2019
Booking Platforms: Competition & Markets Authority 2019
AI Audits: Information Commissioner’s Office 2019
Local reg of aggressive
misconduct
Consumer
protection law
applies?
Supplier or
platform
responsible for
consumer rights?
Label paid
placements or
inclusion
Remedies for harm
from unfair
commercial practices
Cut burden of
disproportionate
regulation
Parameters for
ranking offers
Compulsory
code of ethics,
with regulator
Study into Facebook use of
users and user’s friend’s
data and reciprocity of
sharing of data
Extend privacy law
to inferred data
and models used to
make inferences
Legal liability for
platforms to act against
harmful or illegal
content
Define digital
campaigning and
online political
advertising
Regulatory system
for online content
as effective for
offline content
…e.g.
Booking
Platforms
State
criteria for
‘was/now’
claims
Dealing with trader
or individual?
Transparency
of Online
MarketplacesTeach
digital
literacy in
schools
Enhance powers
of Electoral
Commission
CMA to
study
operation of
ad market
and FB

3. Drones
[Avs?]
privacy
safety
tracking
monitoringAnti-
drone
tech
Economic
effects
Research,
development
education
Interference
with aircraft
etc
Drones: HoC Science & Tech Com’ee 2019
Code of Conduct: Dept of Health & Social Care 2019
CyberSecurity Standard for IOT: European Telecomms Standards Institute 2019
Code of
Conduct for
data-driven
technology
Defined
commercial
strategy
Outcome &
how tech
will help
Data
appropriate
for the
purpose
Fair,
transparent,
accountable
about data
used
Open
standards
Type of
algorithm
deployed,
ethics of data
use, KPI, how
integrated into
health/care
Transparent,
about
limitations of
data and
algorithm
deployed
Evidence of
effectiveness
and value for
money
Secure
by
design
User,
context
and
needs
Cybersecurity
standard for
Internet of
Things
No
universal
default
passwords
Manage
reports of
vulnerabilities
Keep
software
updated
Securely
store
credentials
and security
data
Secure
comms
Minimise
attack
surfaces
Ensure
software
integrity
Protect
personal
data
Maximise
resilience to
outages
Examine
system
telemetry
Easy
means to
delete
personal
data
Easy
installation
and
maintenance
of devices
Validation
of input
data
Drones, Data,
Algorithms
and IoT

4. Digital Regulatory Strategy: HoL Communication Select Com’ee 2019
Digital Competition: UK Government Digital Competition Expert Panel 2019
AI Audits: Information Commissioner’s Office 2019
Digital
Regulatory
Strategy
Democratic
accountability
Transparency
Openness –
innovation
and
competition
PrivacyRespect for human
rights and equality –
freedom of expression
and information
Recognition
of childhood
Education,
awareness
of safe
navigation
ethical by
design
Parity with
offline reg
New reg unit,
expertise
needed
Code of
conduct for
platforms
Quicker,
simpler to
prosecute
Force open
access to
key data
sets (subject
to privacy)
Study
digital
advertising
market
Easier
platform
switching
Stop digital mergers that
will damage future
competition, innovation
and choiceEngage
internationally
Merger &
enforcement
rules need
updating
Tech giants
face too little
competition
Need to
increase choice
and innovation
for consumers
Regulatory
Approach
Regulating
Digital
Competition
Supplier/user
accountability
Clarify approach
to ‘dual quality’
products
Guide
continuous
innovation
within the
law
Methodology to audit
ArtificiaI Intelligence
Methodology for
assessing and managing
fairness, transparency,
risk management
AI Audits

5. Commonalities
1. Unseen bias driven by paid for results, order of results, placements
2. Regulators don’t understand the online ad market
3. Legislators aiming for parity in effect of offline/online regulation
4. Legislators believe there is too little competition online
5. Legislators see low levels of digital ‘literacy’ and awareness
6. Legislators believe digital world lacks transparency

6. Takeaways
• Legislators aiming for parity in effect of offline/online regulation
 Online harms worse, larger than offline?
 International engagement rarely mentioned
 Need continuous evolution, innovation and speed of prosecution
• Competition regulation/regulators not fit for purpose
• Political campaigning/communications poorly understood/regulated
 no ready definitions of campaigning/advertising
 Inferred personal data is key but opaque
 Who pays for ads, who is targeted and how?
• Drones, autonomous vehicles are networked platforms not just vehicles
Internet of Things