With disagreements between lawmakers in the US rise on the issue of whether the U.S. online privacy bill should preempt state rules, it is unlikely to be presented before the congress this year, reports say. If passed, the bill will force companies to deal with much stricter legislation in California, once the California privacy bill is enforced from Jan 1.
Big tech brands are not ready for this sort of legislation, perhaps.
Unless the federal law comes into force, technology companies, retailers, advertising firms and others dependent on collecting consumer data to track users and increase sales, will need to adapt to the California law. This could mean a huge dent in profits over the longer term.
This delay could really hurt brands like Amazon and Facebook Inc. to Alphabet Inc.’s Google and retailers like Walmart Inc. because to grow, they need to either directly collect shopper information to run their websites, or provide free services and derive revenues from advertising that relies on online data collection.