Nancy Scola

The federal government's struggles to rein in Facebook are driving some Democrats and consumer advocates to a stark conclusion: The agency charged with regulating Silicon Valley is not up to the task. The 105-year-old Federal Trade Commission is a main enforcer of Americans' consumer protections but it has only a small fraction of the money and workforce of the nation's largest tech companies — and a privacy staff less than half that of the Irish agency that regulates Facebook's European operations.

Facebook may be facing a multi-billion dollar fine from the Federal Trade Commission over its privacy practices, but it’s the possibility of mandated changes to its data-driven business model that could be much more threatening to the company and its bottom line. The agency could seek changes in company behavior as part of a negotiated settlement, including limiting the way it collects and handles user data — the lifeblood of Facebook's advertising-driven business.

According to a series of letters from Federal Trade Commission Chairman Joe Simons to US senators, the agency is planning to launch a wide-ranging study of tech companies' data practices. He wrote that the FTC is planning to conduct a so-called 6(b) study, which the agency has previously applied to data brokers and businesses accused of abusing the federal patent system. He suggested the study would target large tech firms but didn't specifically name companies like Google, Facebook or Amazon.

Many have tried and few have succeeded when it comes to dragging Congress into the modern age, said Rep. Derek Kilmer (D-WA). Indeed, Hill staffers have bemoaned being unable to use cutting-edge software or even Apple computers since the early aughts. But as chairman of the new Select Committee on the Modernization of Congress, Rep.

Twitter said that not even President Donald Trump is immune from being kicked off the platform if his tweets cross a line with abusive behavior. The social media company's rules against vitriolic tweets offer leeway for world leaders whose statements are newsworthy, but that "is not a blanket exception for the president or anyone else," said Twitter legal and policy chief Vijaya Gadde.

While President Donald Trump has few direct ways of going after Google, his administration and allies in Congress could find ways to make life difficult for the company. Antitrust officials at the Justice Department or Federal Trade Commission, for example, could investigate whether the search giant is abusing its market dominance. Trump's Republican allies in Congress could subject the company to more unpleasant, high-profile hearings.

The News Media Alliance, which represents the newspaper industry, laid out a potential antitrust case against its foes, Google and Facebook, in comments filed with the Federal Trade Commission. The organization outlined legal considerations — including non-price harm to consumers, such as the newspaper industry’s ability to sustain journalism — and explained “how they connect to a potential antitrust case against one or more platforms.” 

The Trump administration is exploring some sort of national privacy proposal amid efforts by the European Union and California to impose their own data requirements on the tech industry. “Companies are finding themselves squeezed on both sides," said Daniel Castro, vice president of Washington-based think tank Information Technology and Innovation Foundation (ITIF). Internet giants balked at California's new rules and think Europe's GDPR is a mess, but they also know the industry is developing a reputation for being obstructionist.

Makan Delrahim, who heads the Justice Department’s antitrust division, has spent months laying out a case for greater scrutiny of the country’s powerful technology industry, making the argument in speeches from Chicago to Rome. And his rhetoric — he told an audience at the University of Chicago in April that "enforcers must take vigorous action" if digital platforms harm competition — is being closely watched in the tech industry amid fears that Washington's souring view on Silicon Valley could eventually result in a crackdown.

President Donald Trump’s repeated Twitter attacks on Amazon have already dented the e-commerce giant’s stock price. But if he really wants to hammer the company and its ultra-billionaire CEO Jeff Bezos, the president has some tools at his disposal — using the government's spending and regulating powers. Here's a look at the threats the company may face if President Trump follows up his words with action:

1. Postal rates
2. Cloud computing
3. Antitrust
4. State-level scrutiny