In the year 2024, we can expect a significant shift in the way courts and regulators approach the application of legal rules to technological innovation. The notion of tech exceptionalism, which assumes that traditional laws and regulations cannot keep up with the rapid pace of technological advancement, will be debunked. Instead, we will witness a sea change as old rules are aggressively applied to new problems, dispelling the myth that technology operates in a legal vacuum.
With the absence of comprehensive federal privacy legislation in the United States, regulators have already begun to repurpose existing laws to hold Big Tech accountable for their actions. In 2023, the US Federal Trade Commission (FTC) demonstrated its regulatory heft by imposing a half-billion-dollar fine on Fortnite maker Epic Games for their deceptive design practices, known as dark patterns. Additionally, the FTC levied substantial fines against Amazon for privacy breaches through Alexa and Ring devices. These enforcement actions indicate that the FTC will not slow down in 2024, as they continue to develop rules around commercial surveillance and digital security.
Similarly, regulators around the world will follow suit, inspired by the successes of the FTC. In 2022, the French Data Protection Authority, CNIL, issued a record-breaking €20 million fine against Clearview AI for non-compliance with privacy regulations. In 2024, we can expect other regulators to take even more radical legal measures to establish that no company is above the law. The era of impunity enjoyed by Big Tech will come to an end as regulators enforce existing rules and impose substantial penalties to protect individuals’ rights and personal data.
As artificial intelligence (AI) continues to advance, the need for global regulation becomes increasingly apparent. OpenAI’s CEO, Sam Altman, called for AI regulation in 2023 but expressed reservations about the EU AI Act. Nevertheless, regulators, such as the Italian Data Protection Authority (DPA), found ways to restrict AI’s unchecked growth by temporarily halting AI systems like ChatGPT through existing regulations. Ongoing intellectual property lawsuits against companies like Microsoft demonstrate the potential disruption to the fundamental business models of generative AI in 2024. These legal battles highlight the challenges surrounding AI innovation and the imperative for effective regulation.
In 2024, courts and regulators will expand their focus beyond individual impacts and consider the broader societal, market, and business consequences of technology. Antitrust actions launched in 2023 in the US and the EU aim to challenge Google’s dominant position in the ad tech market. This could potentially disrupt the programmatic advertising model that has shaped the internet as we know it today. The regulatory void previously enjoyed by Big Tech will come to an end in 2024.
While new laws and regulations like the EU AI Act, the Digital Services Act, and the Digital Markets Act begin to take shape, courts and regulators will continue to utilize existing legal tools to address the harms caused by existing technology, including AI. Human rights and civil liberties laws, competition laws, consumer rights laws, intellectual property laws, defamation laws, employment laws, and various other fields will come together to tackle the real-life implications of technology.
The article highlights a paradigm shift in the legal landscape surrounding technology. Courts and regulators are no longer accepting the notion of tech exceptionalism, instead embracing existing laws and regulations to address the challenges posed by technological innovation. The enforcement actions taken by regulators exemplify the end of the era of impunity for Big Tech. As the world moves forward, it is clear that technology must operate within the bounds defined by law, ensuring the protection of individuals’ rights and society as a whole.
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