Calif. Governor vetoes bill requiring opt-out signals for sale of user data

California Gov. Gavin Newsom vetoed a bill that would have required makers of web browsers and mobile operating systems to let consumers send opt-out preference signals that could limit businesses' use of personal information.

The bill approved by the State Legislature last month would have required an opt-out signal "that communicates the consumer's choice to opt out of the sale and sharing of the consumer's personal information or to limit the use of the consumer's sensitive personal information." It would have made it illegal for a business to offer a web browser or mobile operating system without a setting that lets consumers "send an opt-out preference signal to businesses with which the consumer interacts."

In a veto message sent to the Legislature Friday, Newsom said he would not sign the bill. Newsom wrote that he shares the "desire to enhance consumer privacy," noting that he previously signed a bill "requir[ing] the California Privacy Protection Agency to establish an accessible deletion mechanism allowing consumers to request that data brokers delete all of their personal information."

But Newsom said he is opposed to the new bill's mandate on operating systems. "I am concerned, however, about placing a mandate on operating system (OS) developers at this time," the governor wrote. "No major mobile OS incorporates an option for an opt-out signal. By contrast, most Internet browsers either include such an option or, if users choose, they can download a plug-in with the same functionality. To ensure the ongoing usability of mobile devices, it's best if design questions are first addressed by developers, rather than by regulators. For this reason, I cannot sign this bill."

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