The Consumer Financial Protection Bureau has started the process of placing Google under federal supervision, an action which could create new standards for how the federal government can oversee big tech if the effort is successful. Falling under the CFPB’s supervision would subject Google to regular inspections and scrutiny, although the exact aims of the department’s efforts have not been fully disclosed. However, it has been an ongoing project for some time, as sources told The Washington Post that Google has been fighting against this move by the CFPB for months.
This department was created in 2008 in response to the financial crisis that year, and its objective is to protect consumers from unfair or deceptive financial practices. The CFPB primarily focuses on businesses such as banks and credit unions, but Director Rahit Chopra has voiced an interest over recent years in subjecting tech companies that offer financial products to similar oversight. For instance, the bureau began an investigation into app store payments systems from Amazon, Apple, Facebook, Google, PayPal and Square back in 2021.
The preliminary moves by the CFPB to oversee Google, and the agency’s entire scope of operation, will likely be impacted by Donald Trump’s return to the presidency in early 2025.
Source: www.engadget.com