Oregon Passes Bill Banning Sale Of Precise Location Data

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Oregon lawmakers on Tuesday passed a bill that would prohibit companies from selling precise location data, and also ban some forms of targeted advertising to users under 16.

The measure (House Bill 2008), which amends the state's 2023 privacy law, now heads to Governor Tina Kotek.

The new bill would specifically prohibit companies from selling geolocation data that could identify a the past or present location of consumers (or their devices) within a 1,750 radius. The 2023 law only required companies to obtain people's opt-in consent before processing precise geolocation data.

The measure also revises the prior privacy law by prohibiting companies from drawing on the personal data of minors under 16 for targeted advertising. By contrast, the 2023 law required companies to obtain consent from minors 13-15 before harnessing their data for personalized advertising.

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The ad industry opposed the bill's prohibition on the sale of precise location data, arguing in an April letter to lawmakers that this provision would deprive residents “of access to critical services and benefits that depend on location data.”

“Location data is an integral component of advertising personalization that allows companies to reach consumers with relevant content and ads, enabling consumers to learn about goods and services that are near to them,” the Association of National Advertisers, American Association of Advertising Agencies, Interactive Advertising Bureau, American Advertising Federation and Digital Advertising Alliance wrote.

“Without the ability to disclose location data for advertising purposes, subject to consumers’ opt-in consent, businesses will have a more difficult time, and face higher costs, reaching individuals with relevant marketing, and Oregonians will not be alerted to products and services they desire that are near to them,” the groups added.

The advocacy group Electronic Privacy Information Center, which supported the bill, countered in testimony to lawmakers that advertisers can engage in location-based advertising without knowing consumers' precise whereabouts. The organization elaborated that the bill, if passed, would continue to let companies use location data outside the 1,750-foot radius to advertise, “allowing customers to get ads for businesses, restaurants, events, and more near their location.”

That group added that location data “can be combined with other data to reveal an individual’s movements or to track them in real time, which can pose a significant threat to physical safety.”

Consumer Reports also supported the bill, arguing in a letter to lawmakers that the sale of location data “poses a host of significant risks to Oregon residents.”

For instance, the organization wrote, “online and in-person retailers can use information about individuals’ location history to make inferences about them that are then used to set individualized prices.”

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