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Ad Industry Group Seeks Veto of California's Global Opt-Out Bill

An ad-tech association urged California Gov. Gavin Newsom (D) to veto a bill (AB-566) requiring that web browsers support universal opt-out preference signals (OOPS).

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In a Wednesday letter to Newsom, Network Advertising Initiative (NAI) CEO Leigh Freund said the bill “does not include appropriate safeguards to ensure that the OOPS it would require browser providers to implement will represent authentic consumer choices and be free of anti-competitive default settings that pre-suppose consumer choices and unfairly disadvantage ad-supported businesses online.”

Enacting AB-566 “is likely to lead to a proliferation of privacy signals that do not meet the [California Consumer Privacy Act’s] thoughtful requirements,” said Freund. “The NAI therefore encourages you to veto AB 566 and direct the legislature to achieve these objectives in legislation next year.”

Earlier this week, a consumer advocate urged Newsom to sign AB-566 to make it easier for consumers to invoke their CCPA rights. However, a lawyer for financial institutions warned that it could lead to many more opt-out requests that businesses would have to honor (see 2509240013). The California Privacy Protection Agency has advocated for AB-566.