Fake News: Why the FTC’s Campaign Against “Big Tech Censorship” is Wrong on the Facts and the Law
The U.S. Federal Trade Commission’s (FTC’s) recent campaign against “Big Tech censorship” of conservative viewpoints is unjustified as a matter of policy and likely to fail as a matter of law. The FTC’s policy argument for intervention rests on four factual premises: (1) that major technology platforms systematically and unjustifiably sup-press user-generated content that expresses conservative viewpoints; (2) that such sup-pression harms consumers by “drying up access to ideas”; (3) that censorship of conservative content is a manifestation of anemic competition among platforms; and (4) that intervention by the FTC would increase opportunities for expression and enhance market output. Each of those factual premises is unsound. A survey of the empirical literature demonstrates that right-leaning content is more often amplified than sup-pressed by leading technology platforms and that disparities in enforcement are better explained by differences in engagement patterns and misinformation sharing. Moreover, even if some platforms did suppress particular viewpoints, there is no evidence of marketwide “drying up” of ideas—the harm FTC leadership has identified as central to its interventionist rationale. Nor is content moderation a result of deficient competition among platforms; it is instead a means by which platforms compete, accommodate heterogenous preferences of users and advertisers, overcome network effects, and expand opportunities for citizens to broadcast their ideas to large groups of people. Finally, there is little reason to believe that FTC intervention would improve upon the status quo, as each of the alternative content moderation approaches the Commission might impose would leave users worse off than they are under the current state of affairs. The policy argument for FTC intervention is thus quite weak.
When it comes to the law, the FTC’s prospective enforcement theories face serious—and likely fatal—obstacles. Efforts to penalize or coerce technology platforms for their content-moderation decisions raise substantial First Amendment concerns, as recent Supreme Court precedent makes clear that platforms’ editorial judgments about what speech to host, promote, or demote are protected expressive activity. Even apart from those constitutional limits, the FTC would likely fail because the statutory provision it claims the technology platforms are violating—the FTC Act’s prohibition on “unfair methods of competition” and “unfair or deceptive acts or practices”—provides no viable basis for liability. FTC liability theories based on inter-platform agreements, advertiser boycotts, agreements with the government, and unilateral exclusionary practices fail to establish an unfair method of competition. Nor can the Commission meet the legal tests for “deception” or “unfairness” and thereby establish an unfair or deceptive act or practice. An FTC enforcement action based on alleged Big Tech censorship of conservatives is thus likely to fail as a matter of law.