Note: Daniel Castro’s article, “Analysis of Weakening or Repealing Section 230 of the Communications Decency Act,” appeared in “Crossroads of Innovation and Liability: Brazil and the U.S.’s Digital Regulation Strategies,” edited by Bruna Santos (The Wilson Center’s Brazil Institute, April 2024).
Introduction
Section 230 of the Communications Decency Act has played a significant role in the development of the Internet. The law contains two main provisions: one that protects online services and users from liability when they do not remove third-party content, and one that protects them from liability when they do remove content. In recent years, however, this law has come under scrutiny from policymakers, scholars, and activists who believe it should be weakened or repealed.
Proposed changes to weaken or repeal Section 230 would have a significant economic impact on online services, business users, and consumers. Such changes could:
- Expose online services to substantial legal costs for third-party content
- Increase costs for online services for business users and consumers
- Result in some online services shutting down or eliminating popular features that deliver value to consumers
As policymakers consider proposals to reform Section 230, they should carefully consider the potential economic impact of these changes for all stakeholders.
