The FTC's Dangerous Overreach in Regulating Technology

The Federal Trade Commission (FTC), under Chairwoman Lina Khan, is pursuing a radical agenda that threatens American tech companies and undermines U.S. economic and national security. This misguided approach prioritizes foreign interests, ignores the unique challenges of digital innovation, and fails to address legitimate concerns about national security and geopolitical competition.

Under Chairwoman Lina Khan, the FTC has embarked on a global campaign to suppress American tech companies in favor of their international competitors. This effort has involved colluding with foreign governments to impose harsh regulations and penalties on American businesses, leading to significant detrimental impacts on U.S. economic and national security.

Khan's policies are particularly egregious in the digital economy, where innovation is an outlier among competitive industries. American tech companies have been at the forefront of technological advancements, creating new products and services that have transformed our lives and driven economic growth. However, Khan's FTC is treating these companies as monopolies, ignoring the fact that they have played a vital role in setting and enforcing safety and privacy standards for the digital ecosystem.

Khan has repeatedly claimed that large tech companies stifle innovation by favoring "marginal innovations" over breakthrough disruptions. This is a gross departure from reality, as data shows that four of the top five companies in the world that spend the most on research and development are American tech companies targeted by the FTC.

Moreover, Khan ignores the fact that tech leaders play a crucial role in supporting smaller firms and enabling them to compete. The app store model, for instance, protects users from malicious malware and provides a platform for small developers to reach consumers. Over-regulating such practices could harm innovation and limit the ability of the U.S. tech sector to contribute to American global interests.

Khan has dismissed concerns about the national security implications of the FTC's actions, suggesting that the U.S. tech sector is not aligned with America's geopolitical priorities. This is a dangerous and shortsighted view that fails to recognize the importance of the tech sector in countering cyber threats, supporting Ukraine in its fight against Russia, and maintaining U.S. leadership in artificial intelligence (AI).

AI is a force multiplier and key driver of both economic and national security. The FTC's lack of understanding about the national security implications of over-regulating AI could harm U.S. AI providers, allowing Beijing to catch up or overtake the U.S. in the AI race. This would have devastating consequences for industries and economic sectors far beyond the tech innovation space and would put wider U.S. economic and national power at risk.

The FTC's overreach in regulating technology is a threat to American innovation, economic leadership, and national security. Khan's radical agenda ignores the unique challenges of the digital economy, undermines innovation, and fails to address legitimate concerns about national security and geopolitical competition. It is imperative that the FTC be held accountable for its misguided policies and that a balanced approach to regulating technology be adopted that protects both consumers and the interests of the United States.