'Blood on Your Hands:' Lawmakers Grill Social Media CEOs
As a major music label removes Taylor Swift, Drake and others from TikTok
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Good morning,
How is everybody doing?
Elmo, yes THAT Elmo, unleashed a flood of messages after he posed that simple question on X (formerly known as Twitter). Tens of thousands of people ended up discussing their trauma and emotional baggage in response.
“Wow! Elmo is glad he asked! Elmo learned that it is important to ask a friend how they are doing,” he tweeted the next day.
Even President Biden jumped into the conversation.
It seems like a lot of people just needed someone to show they care.
So, here’s our check in with you, too. Hope you’re doing ok! And Happy Friday Eve!
Mosheh, Jill, & Lauren
📱 TECH CEOS GRILLED OVER EXPLOITING KIDS
Mark Zuckerberg apologizes to parents whose kids were exploited/harassed. Via: AP
There’s not much that Republicans and Democrats agree on these days, except that tech companies need to do more to keep kids safe online. In an emotional and fiery hearing on Capitol Hill Wednesday, the CEOs of X (Linda Yaccarino), TikTok (Shou Zi Chew), Snap (Evan Spiegel), Discord (Jason Citron), and Meta (Mark Zuckerberg) testified before the Senate Judiciary Committee.
IN FOCUS
Some of the issues in question: the spread of sexually explicit images of children, as well as bullying, eating disorders, suicide and drug deaths linked to the social media platforms.
Lawmakers have been holding these types of hearings for years, but this time the audience was filled with families whose kids were harmed by social media.
In one of the more extraordinary moments, Sen. Josh Hawley (R-MO) urged Zuckerberg, whose company has been accused of failing to take action to protect children, to apologize to families of kids who have been the victims of online abuse and harm.
The Meta CEO turned around and told the assembled families: “I’m sorry for everything you have all been through. No one should have to go through the things that your families have suffered.”
Sen. Amy Klobuchar (D-MN) said she is frustrated by years of inaction by Congress. “There’s been so much talk at these hearings and popcorn throwing…I just want to get this stuff done,” she said. “I’m so tired of this.”
On Facebook and Instagram, nearly a quarter of teens received sexual advances, but only 2% of the harmful posts reported got taken down, a Meta whistleblower testified in November.
THE FIGHT OVER SECTION 230
Part of the problem is that 28 years ago, during early Internet days, lawmakers passed a federal law called Section 230. It says tech companies can’t be held liable for the content that users post on their platforms. The legal shield was meant to ensure platforms allowed for an open, creative environment for users. However, it has meant the same tech platforms are now effectively immune from liability related to abuse or criminal activity by users.
On Wednesday, a number of Republicans and Democrats said they were in favor of repealing Section 230. It is unclear though, if there is enough support for that drastic a bill.
Unlikely allies: Sen. Lindsey Graham (R-SC) and Klobuchar agreed that the answer to the crisis is “opening up the halls of the courtroom, so that puts it on you guys to protect these parents and protect these kids.”
WHAT LAWMAKERS WANT
Senators also discussed a few other bipartisan bills aimed at keeping kids safer online.
One of them is called the Kids Online Safety Act or KOSA. It would require online services to take reasonable measures to prevent harm— everything from harassment to predatory marketing.
It’s co-sponsored by several Republicans and Democrats, and would also require the platforms turn on the highest privacy and safety settings—by default—for users under 18.
The ACLU and other free speech groups say it’s too vague and would not be a solution.
Snap and X support it; META and TikTok do not.
Then there’s Senator Dick Durbin’s new legislation: STOP CSAM Act. It supports victims of child sex abuse and increases accountability and transparency for online platforms.
STATE LEVEL: Up until now, most of the legislative action to hold social media to account has happened on the state level.
States have passed a number of laws requiring tech companies to build better privacy features. However, many of those laws are now held up in court due to tech company lawsuits. Hence, the calls for federal action.
Who got the most pushback: Meta (owner of Instagram and Facebook).
Meta, which along with TikTok and Discord did not support any of the five bills being discussed, recently added features for kids to hide posts involving topics like suicide, drugs, and nudity, in addition to blocking DMs from strangers and “nudges” to turn the app off at night.
ALL TALK, LITTLE ACTION
The companies highlighted their investments in combating abuse and bad actors. Inside the industry, there are fears over the impact of any new laws on privacy and free speech. However, based on Wednesday’s hearing, it appears there is renewed energy within the Senate to do more, including the potential repeal of Section 230. Watch this space.
🎶 TIKTOK’S TIME-OUT: MEGA MUSIC FIRM PULLS SONGS FROM APP
“Hello from the other side...” of TikTok. Beginning today, music from Adele, Taylor Swift, and many more artists will NOT be available on TikTok due to an expired licensing deal between the app and Universal Music Group (UMG), the world’s largest music company which controls about a third of the global market.
UMG wants more money from the social media platform and until they get it, they’re pulling their artists and archives.
SIGN THE DOTTED LINE
Contract negotiations between the groups fell apart this week, with UMG stating that “TikTok is trying to build a music-based business, without paying fair value for the music.”
In response, TikTok, which is owned by the Chinese company ByteDance, said UMG is prioritizing “their own greed above the interests of artists and songwriters.”
UMG says TikTok pays artists “a fraction of the rate that similarly situated major social platforms pay” and that the proposed contract was less than the previous agreement, despite the apps growth and reliance on music (about 60% of videos include songs).
1% of the UMG’s revenue comes from TikTok.
On the other hand, UMG is likely benefitting from their artists’ songs going viral on TikTok. But this is harder to measure.
Besides money, the group noted concerns over AI and user safety.
LICENCING MODEL
The music industry wants to grow and sees lucrative licensing deals as a nice payday. They are working with apps, video games companies, and workout platforms (think Peloton’s killer playlists).
WSJ reports music groups have “struck short-term licensing deals with TikTok with sorts of lump sum payments,” but now’s the time for a long-term “royalty based licensing model.”
Warner Music Group and TikTok reached a first-of-its-kind “multi-year, multi-product deal” this past summer which gives the music group power to advertise on the app and sell things like tickets or merch.
⏳ SPEED READ
🚨NATION
📌 FBI director warns that Chinese hackers are preparing to ‘wreak havoc’ on US critical infrastructure (CNN)
📌 Biden to travel to East Palestine nearly one year after train derailment disaster (FOX NEWS)
📌 Florida judge tosses out Disney's lawsuit against DeSantis (NBC NEWS)
📌 Oregon leaders declare 90-day state of emergency in downtown Portland to address fentanyl crisis (ABC NEWS)
🌎 AROUND THE WORLD
📌 Zelensky set to announce dismissal of Ukraine’s popular top commander within days as rift grows (CNN)
📌 UK unveils deal to restore Northern Ireland government (REUTERS)
📌 Russia and Ukraine swap scores of POWs despite tensions over a plane crash last week (AP)
📌 Hungary opposes billions in new EU aid for Ukraine — a summit starting today will try to change that (AP)
📱BUSINESS, SCIENCE & TECH
📌 DOJ reaches $59M settlement with eBay over sales of thousands of pill presses (ABC NEWS)
📌 New drug shown to relieve pain without getting patients addicted (NY TIMES)
📌 US premature birth rate rose 12% since 2014, new CDC reports finds (MO NEWS)
📌 Fed Chief Jerome Powell holds interest rates for Feb. and says a March rate cut is not likely (CNBC)
🎬 SPORTS & ENTERTAINMENT
📌 No, Travis Kelce is not going to the Grammys with Taylor Swift (CNN)
📌 Margot Robbie breaks her silence on ‘Barbie’ Oscars snub (NY POST)
📌 Dead and Company confirm return with Las Vegas residency (USA TODAY)
📌 PGA Tour completes $3B deal amid LIV merger talks (ESPN)
🗓 ON THIS DAY: FEBRUARY 1
1884: The Oxford English Dictionary’s first portion was published (it included a through ant). It was not until 44 years later, in April 1928, that the first edition (a-z) was complete with over 400,000 words and phrases.
1982: Late Night with David Letterman debuted with Bill Murray as the show’s first guest.
2003: The Space Shuttle Columbia disintegrated during its return to Earth, killing seven crew members onboard.
2004: Super Bowl ‘Nipplegate:’ While performing at the halftime show, Justin Timberlake briefly exposes one of Janet Jackson’s breasts during their duet. It was initially described as a “wardrobe malfunction.”