Newsom wants companies collecting personal data to share the wealth with Californians

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Newsom has assigned a team to work with national data scientists and legislators to create a “data dividend” — a payment that businesses would make to the state or to consumers if their personal data are sold.

Gov. Gavin Newsom says state consumers should get a"data dividend" from technology companies like Google and Facebook that make money by capitalizing on the personal data they collect. in California over a landmark 2018 law that allows consumers to control what online personal data companies collect about them and sell, Gov. Gavin Newsom and state lawmakers have started work on another ambitious pursuit: putting a financial value on that information.

Banks, insurance providers and major retailers such as Amazon possess significant information about what people buy, watch, want or need that can be bundled and sold to third parties or used to target advertising and increase profits. No state or federal law provides consumers the right to know how much the information is worth or how much businesses pay for it.

“I think most people recognize that there is something unsustainable going on here, where we are concentrating more and more power and wealth in a few companies, and it is not normal power. It is power over the nature of our democracy, over our families, over our personal identities,” said computer scientist and author Jaron Lanier, who has been meeting with state lawmakers to discuss potential models for a new data dividend.

, in which oil companies doing business there pay a portion of their revenues to the state, and a part of the profit goes to a savings account divided among Alaskan residents.

 

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