DPDP Act: Social media platforms jittery as India prepares rules
As the Indian Government drafts rules for the Digital Personal Data Protection (DPDP) Act, social media platforms are voicing significant concerns. The Act, officially notified in The Gazette of India last August, includes a provision prohibiting behavioral tracking of teens on digital platforms. However, social media companies argue that this restriction will hinder safety features designed to protect young users. They are discussing with the Ministry of Electronics and Information Technology (MeitY) and stakeholders to find a balanced approach.
Safety features at risk due to DPDP Act
Social media firms insist that tracking teenagers' behavior is essential for protecting them from predators and harmful interactions online. An industry executive told the Economic Times that a complete ban on behavioral tracking is counterproductive to the government's objectives of protecting children. Another executive cited the European Union's e-privacy directive as an example of negative consequences when behavioral tracking is turned off. They stressed that without exemptions for security tasks, platforms will struggle to prevent predators from targeting children.
Parental consent and advertising challenges
Section 9 of the DPDP Act also requires companies to obtain parental consent before processing a child's data, a task companies find challenging. They are looking forward to forthcoming rules for guidance and hope the government will identify third parties who can handle verifiable parental consent (VPC). Social media executives suggest that a token-based solution could be safer than having parents share their IDs with multiple companies. They also warn that without age-appropriate advertising, children might receive inappropriate ads.
Resolving DPDP Act issues crucial for social media firms
Executives also stress that finding a solution to issues related to behavioral monitoring, verifiable parental consent, and targeted advertisements is crucial. Addressing the concerns with these factors will help reduce the impact on product changes, revenue, and user growth for social media platforms. They believe future notifications of the DPDP Act might introduce exemptions that could prevent disabling critical safety features.