The FTC’s government firewall proposal would effectively require an “opt-in” approach before users could gain access to the digital economy. These restrictions would also erect anti-competitive barriers for smaller start-up firms attempting to enter the market. It’s a disincentive for job creation, new investment, and innovation. Naturally, “opt-in” mandates disproportionately benefit entrenched incumbents who have more political muscle. Strategically, it helps explain why the Googles of the world readily endorse clever government mandates: they get to box out their new competitors and appease their activist regulators.
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