Biden’s plea to lawmakers in rare op-ed: Unite to hold tech accountable
U.S. President Joe Biden speaks during a cabinet meeting in the Cabinet Room of the White House January 5, 2023 in Washington, DC.
Drew Angerer | Getty Images
President Joe Biden called on Republicans and Democrats in Congress to unite and pass legislation that places new guardrails on the tech industry, writing in a Wall Street Journal op-ed Wednesday that the administration’s current authority to rein in Big Tech isn’t enough.
“We need bipartisan action from Congress to hold Big Tech accountable,” Biden wrote.
The op-ed is one of the most pointed calls yet from the president for Congress to take action on topics including digital privacy, competition and online safety. The White House has previously voiced support for legislative efforts tackling these issues and installed progressive enforcers in key agencies. But as the last Congress drew to a close, the most ambitious tech proposals that had gained some momentum earlier in the year remained in limbo.
Biden’s call for bipartisanship on tech issues is notable since the split Congress will complicate the landscape for passing legislation in any domain. The decision to focus the op-ed on tech suggests it may be a rare area of hope for progress while working across the aisle.
Biden focused on three key areas of tech legislation he hopes to see this Congress. First, he urged lawmakers to pass federal privacy protections that limit the collection of sensitive data and advocated for banning targeted advertising to children altogether.
Next, he reiterated a more tempered version of a call he made on the campaign trail in 2020 to “fundamentally reform Section 230 of the Communications Decency Act,” the law that protects online platforms from being held liable for their users’ posts while preserving their ability to moderate such content. He also called for more transparency around the algorithms tech companies use to determine what information users see to ensure they are not pushing unsafe content to kids or discriminating against groups of users.
Finally, Biden called for “fairer rules of the road” when it comes to competition in the tech sector.
“When tech platforms get big enough, many find ways to promote their own products while excluding or disadvantaging competitors — or charge competitors a fortune to sell on their platform,” he wrote. “My vision for our economy is one in which everyone — small and midsized businesses, mom-and-pop shops, entrepreneurs — can compete on a level playing field with the biggest companies.”
Biden emphasized throughout the piece the particular need to protect children on the internet, referencing a line he made in his State of the Union speech last year, writing, “We must hold social-media companies accountable for the experiment they are running on our children for profit.”
“There will be many policy issues we disagree on in the new Congress, but bipartisan proposals to protect our privacy and our children; to prevent discrimination, sexual exploitation, and cyberstalking; and to tackle anticompetitive conduct shouldn’t separate us,” Biden wrote. “Let’s unite behind our shared values and show the nation we can work together to get the job done.”
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This photo illustration created on Jan. 7, 2025, in Washington, D.C., shows an image of Mark Zuckerberg, CEO of Meta, and an image of the Meta logo.
Drew Angerer | AFP | Getty Images
Meta’s core online advertising business could take a $7 billion hit this year due to President Donald Trump’s tough China tariffs impacting retailers in the country.
That’s according to a MoffettNathanson research note published Tuesday that analyzes the potential impact of China-linked retailers like Temu and Shien slashing their Facebook and Instagram advertising budgets amid the U.S. and China trade dispute.
The MoffettNathanson analysts pointed to Meta’s latest annual report in which the company revealed that its China revenue was $18.35 billion in 2024, equating to a little over 11% of total its total sales. Like other analysts, MoffettNathanson believe Temu and Shien comprise the bulk of Meta’s China business, and if those online retailers cut back on their ad campaigns this year, the social networking giant’s 2025 ad sales could be impacted by $7 billion.
Meta did not immediately respond for a request for comment.
There are already signs of a pullback, the analysts wrote, citing a CNBC report about Temu reducing its U.S. advertising spending and seeing a big drop in its Apple App Store rankings following Trump’s China tariffs.
“China’s importance to Meta’s business cannot be overstated,” the analysts wrote in the note. “While Meta does not provide a country-level breakdown of revenue within Europe, we logically can presume that China is Meta’s second-largest revenue source after the United States — a remarkable position for a country where Meta has no users or active platforms.”
Meta could be in even more trouble if the broader markets heads into a recession this year, as some analysts and corporate financial chiefs have predicted. A “truly prolonged economic downturn” combined with the U.S. and China trade dispute “could wipe $23 billion in 2025 advertising revenues off Meta’s books and crush our 2025 earnings by -25%,” the analysts said.
“As noted earlier, we believe Meta is particularly exposed to a pullback in ad spend from Chinese advertisers,” the analysts said. “In a scenario where a recession is triggered or exacerbated by escalating trade tensions, Meta would face a dual headwind: cyclical advertising weakness and a targeted decline in Chinese ad spend.”
The MoffettNathanson analysts still maintain a Buy rating on Meta, said they have but decreased their target price by $185 to $525.
Meta shares have dropped about 19% to $499.36 since Trump was officially sworn in as U.S. president for the second time.
The company reports its first-quarter earnings next Wednesday.
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