The next trade war will be over transatlantic data flows, and it will make the fight with China look like a picnic. That’s the subject of this episode’s interview. The European Court of Justice is poised to go nuclear – to cut off US companies’ access to European customer data unless the US lets European courts and data protection agencies refashion its intelligence capabilities according to standards no European government has ever been required to meet. It is Europe in full neocolonial mode, but it has sailed below the radar, disguised as an abstruse European legal fight. Maury Shenk and I interview Peter Swire on the Schrems cases that look nearly certain to provoke a transatlantic trade and intelligence crisis. Actually, Maury interviews Peter, and I throw bombs into the conversation. But if ever there were a cyberlaw topic that deserves more bomb-throwing, this is it.


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Nick Weaver and I debate Sens. Graham and Blumenthal’s EARN IT Act, a proposal to require that social media firms follow best practices on preventing child abuse. If they don’t, they won’t get full Section 230 immunity from liability for recklessly allowing the abuse. Nick thinks the idea is ill-conceived and doomed to fail. I think there’s a core of sense to the proposal, which simply asks that Silicon Valley firms who are reckless about child abuse on their networks pay for the social costs they’re imposing on society. Since the bill gives the attorney general authority to modify the best practices submitted by a commission of industry, academic, and civic representatives, critics are sure that the final product will reduce corporate incentives to offer end-to-end encryption.


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We open the episode with David Kris’s thoughts on the two-years-late CFIUS investigation of TikTok, its Chinese owner, ByteDance, and ByteDance’s US acquisition of the lip-syncing company Musical.ly. Our best guess is that this unprecedented reach-back investigation will end in a more or less precedented mitigation agreement.


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Today’s episode opens with a truly disturbing bit of neocolonial judicial lawmaking from the Court of Justice of the European Union. The CJEU ruled that an Austrian court can order Facebook to take down statements about an Austrian politician. Called an “oaf” and a “fascist,” the politician more or less proved the truth of the accusations by suing to keep that and similar statements off Facebook worldwide. Trying to find allies for my proposal to adopt blocking legislation to protect the First Amendment from foreign government interference, I argue that President Trump should support such a law. After all, if he were ever to insult a European politician on Twitter, this ruling could lead to litigation that takes his Twitter account off the air. True, he could criticize the judges responsible for the judgment as “French” or “German” without upsetting CNN, but that would be cold comfort. At last, a legislative and international agenda for the Age of Trump!


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We kick off Episode 267 with Gus Hurwitz reading the runes to see whether a 50-year Chicago winter for antitrust plaintiffs is finally thawing in Silicon Valley. Gus thinks the predictions of global antitrust warming are overhyped. But he recognizes we’re seeing an awful lot of robins on the lawn: The rise of Margrethe Vestager in the EU, the enthusiasm of state AGs for suing Big Tech, and the piling on of Dem presidential candidates and the House of Representatives. Judge Koh’s Qualcomm decision is another straw in the wind, triggering criticism from Gus (“an undue extension of Aspen Skiing”) and me (“the FTC needs a national security minder in privacy and competition law”). Matthew Heiman tells me I’m on the wrong page in suggesting that Silicon Valley’s suppression of conservative speech is a detriment to consumer welfare that the antitrust laws should take into account, even in a Borkian world.


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Paul Rosenzweig leads off with This Week in China Tech Fear – an enduring and fecund feature in Washington these days. We cover the Trump Administration’s plan to blacklist up to five Chinese surveillance companies, including Hikvision, for contributing to Uighur human rights violations in the West of China, DHS’s rather

This episode features an interview with Michael Tiffany, the co-founder and president of White Ops and a deep student of how to curtail adtech fraud. Michael explains the adtech business, how fraudsters take advantage of its structure, and what a coalition of law enforcement and tech companies did to wreck one of the most successful fraud networks, known as 3ve. You can read more about the take down in the joint White Ops and Google report, “The Hunt for 3ve.”


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