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Lawmakers hear bills to curb ad‑tech brokers, require business model notice for apps
Summary
The Vermont House Commerce & Economic Development Committee reviewed two short‑form bills on April 3 proposing limits on ad‑tech broker practices and requiring clearer business‑model disclosures for apps and online services, citing concerns about fraud, consumer harm and K‑12 student data flows.
A committee staff member introduced two short‑form bills at the Vermont House Committee on Commerce & Economic Development on April 3 that would regulate ad‑tech brokers and require companies to disclose how they monetize user data.
The staff member said the measures — identified in the hearing as H.390 and H.391 — aim to rein in “an unregulated $700,000,000,000 industry” and restore transparency for small businesses, publishers and consumers. "For every $1 spent on ads, 36¢ actually reaches the consumer," the presenter said, citing industry research during the committee discussion.
The bills, described by the presenter as the “Building Better Online Businesses Act” and a companion Business Model Transparency measure, would use four policy mechanisms: limits on common ownership in the ad marketplace, a duty of care for ad‑tech brokers, know‑your‑customer rules, and mandated transparency. The presenter said the transparency measure would require a concise “business model notice”…
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