Updated
Updated · The Verge · Jul 14
US Proposal Would Tax Big Tech to Build Public Internet for Under-16s
Updated
Updated · The Verge · Jul 14

US Proposal Would Tax Big Tech to Build Public Internet for Under-16s

1 articles · Updated · The Verge · Jul 14

Summary

  • A new proposal urges the US government to levy a tax on major tech companies and use the money to fund nonprofit online services built specifically for children.
  • The plan would back child-focused, noncommercial platforms such as ad-free news sites, community-moderated social spaces and open-source gaming tools, aiming to remove profit-driven design from minors’ online lives.
  • Its case rests on growing political pressure to protect children online: the House passed the KIDS Act in late June, and a Pew survey later found more than half of Americans support banning social media for under-16s.
  • The proposal argues those restrictions are flawed because age checks can be bypassed and threaten privacy; Australia’s teen social-media ban has still left more than 80% of kids with access.
  • Beyond child safety, the idea is framed as a public-tech alternative that could model better internet services for all users and pressure commercial platforms to improve.

Insights

Can a tax on Big Tech create a digital playground that truly rivals the platforms kids already love?
We can build a safer internet for kids, but how do we convince them to actually use it?
As AI deepfakes defeat age verification, is a publicly funded internet the only way to protect children online?

State Digital Ad Taxes on Big Tech: Funding a Safer, Ad-Free Internet for Children

Overview

States across the U.S. are increasingly considering taxes on major technology companies due to concerns about their immense profits from targeted advertising and the desire to fund public services like education. Tech giants such as Meta and Google earn the majority of their revenue from digital ads, prompting lawmakers to seek new revenue streams. The push for digital advertising taxes is also driven by worries about the social impact of these platforms, especially on children. As a result, state lawmakers are advocating for these taxes to both address corporate profits and support essential public programs.

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