
Scoop: Meet California's next top privacy boss
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QUICK FIX
— We've got the scoop on the new CPPA boss.
— A new tech watchdog faces an uphill battle in Sacramento.
— Major online safety bill suffers setback in court.
Welcome to California Decoded! Thanks for starting your (almost) weekend with us. Send feedback, tips and story ideas to tkatzenberger@politico.com and chasedf@politico.com.
Driving the day
FIRST IN DECODED: CPPA PICKS NEW BOSS: California's Privacy Protection Agency has named Tom Kemp as its next executive director, California Decoded can exclusively report today, putting the tech entrepreneur at the helm of the nation's only dedicated privacy rights enforcement agency.
Kemp, formerly CEO of cybersecurity company Centrify and a longtime policy adviser to lawmakers pushing state-level privacy laws, will be the CPPA's second-ever leader after Ashkan Soltani departed as director in January. Kemp assumes control of a fledgling agency, created in 2020, seeking to flex its oversight authority by investigating companies and data brokers accused of violating privacy laws.
He'll begin his role on April 1, just three days before the agency's five-member board meets to discuss potentially sweeping new rules for automated decision-making that have attracted strong backlash from Big Tech.
'The regulations, that's the control of the board,' Kemp told us in an interview. 'I'm going to walk in there with an open mind and listen.'
Kemp is no stranger to California politics. He said he led campaign marketing for Proposition 24, the 2020 privacy rights ballot measure that created the CPPA. He's since advised state lawmakers on AI and data privacy legislation, including state Sen. Josh Becker's 2023 Delete Act and a 2024 bill that imposed labeling requirements on some AI-generated content.
However, his past investment in data privacy and AI startups could become a line of attack for business and tech industry groups skeptical of the CPPA's work. Trade group Consumer Data Industry Association has argued Kemp's investments in Atlas Data Privacy — a company that provides data deletion services similar to what's mandated in Becker's Delete Act — are a potential conflict of interest.
Kemp told us he will 'adhere to all regulations and requirements' for senior-level state employees from California's Fair Political Practices Commission. CPPA spokesperson Megan White added that Kemp 'previously had a small investment' in Atlas but divested it last year and has 'no current involvement in the company.'
He also previously authored the book 'Containing Big Tech,' which proposed a roadmap for regulating online surveillance, AI and tech monopolies.
California Decoded sat down with Kemp to ask about his plans for the CPPA.
This interview has been edited for length and clarity.
Why did you decide to pursue this position?
It kind of ties in with the concerns that you raised in [yesterday's newsletter on location data]. And the reality is, even before the concerns involving the Trump administration, that studies such as a recent Pew Research [survey] have found people are concerned … about the overuse, misuse of personal information.
I'm very familiar with the fact that California has the only dedicated privacy agency in the United States. And so when I heard about this — I obviously interfaced with the agency in the past — I was just very excited about the opportunity to promote the education and awareness of privacy to consumers, to help businesses maintain their responsibilities under the California Consumer Privacy Act [which established the agency].
CPPA board members have said during meetings that the agency needs more staff to aid its enforcement work. How do you plan to address this need?
By statute, it originally started at $10 million upon its passage. The latest budget is in the $12.3 million area. So there is a limitation on what we can do as an agency.
To be candid, I haven't started yet. When I do start, that is something that I sit down with staff members and board members to make sure … we [are] maximizing and leveraging the resources that we have.
How do you envision the CPPA interfacing with the Legislature during your tenure?
We certainly want to be very conscious and cognizant that we're listening to key stakeholders, like legislators. The good news is that I have worked over the last few years with privacy leaders like Senator Becker. I've testified a number of times in the past on behalf of some of Senator Becker's bills.
The Legislature is one of the key stakeholders, and it's been built into the law that we need to provide advice based on their request. We will fulfill that.
What is the biggest threat to Californians' privacy rights right now?
There is a concern out there, based on Pew Research and other studies, that people are very concerned about intrusions on their privacy, but not as many people have been exercising their privacy.
One of the goals of the CPPA is to continue to raise awareness with Californians about their ability to exercise their privacy rights. And so that is something that we're going to continue to build upon.
How will you interface with business groups and tech industry groups that have been skeptical of the agency's rulemaking?
I think the thing that I can bring is the fact that I've been in business. I've created jobs. I was even a member of the Silicon Valley Leadership Group board for five years, and a member of the executive board for one year … I'm an embodiment of the balancing of innovation and of strong privacy.
On The Airwaves
A FACE FOR TV — California Decoded editor Emma Anderson breaks down how Elon Musk is bringing a fast moving, and sometimes chaotic, Silicon Valley approach to D.C., in an interview with CBS News' America Decides, discussing the intersection of tech and policy.
HAPPENING TODAY
ALL DAY — The AI Developer Conference is today in San Francisco's Ferry Building.
Influence and Industry
FIRST IN DECODED: GOING BICOASTAL — With Big Tech pouring legal and lobbying dollars into Sacramento, a relatively upstart outfit with the mission of pushing back against industry titans called Tech Oversight Project told California Decoded it will launch its first state legislative branch in California.
The two-year-old nonprofit from D.C. will launch Tech Oversight California with the goal of taking the fight to tech companies on issues from kids' safety online to antitrust, comms director Marjorie Connolly told Decoded.
She said starting its first state branch in California would help groups working on more muscular tech regulation 'be aggressive and seize this moment and secure real progress and real legislative change in California that can be a model to others around the country and around the world.'
The group faces something of an uphill battle. Moneyed tech interests have brought a series of challenges recently to tech-unfriendly bills on kids' online safety (more on that below). Connolly acknowledged as much, calling the fight against Big Tech a 'David and Goliath situation.'
'The fact that we're going to have one or two people in California that are going to be bulldogs for the people against Big Tech in the press is great,' Connolly said. 'They've got hundreds and hundreds and hundreds of people,' she added of tech lobbying, but she said public opinion was on their side.
Tech Oversight also has some fundraising to do, reporting less than $1 million in revenue in 2023, the most recent data available.
The group telegraphed its priorities early, already throwing its weight behind California bills including state Sen. Steve Padilla's legislation protecting children from some AI chatbots; Assembly Majority Leader Cecilia Aguiar-Curry's proposal to clamp down on price-fixing algorithms; and Assemblymember Christopher Ward's effort to stop businesses from basing prices on collected data.
Nichole Rocha, former chief consultant to the Assembly Privacy and Consumer Protection Committee, will take the helm as the group's policy adviser. Kevin Liao, who previously worked as ex-Assembly Speaker Anthony Rendon's press secretary, will be communications adviser.
In the Courts
BLOCKED AND TACKLED — In a win for Big Tech in California, Assemblymember Buffy Wicks' Age Appropriate Design Code suffered a significant setback in a federal courtroom Thursday. U.S. District Judge Beth Freeman ordered that California cannot enforce any portion of the law, which requires social media sites to determine users' ages and limit data sharing and ad targeting for young people, pending a final ruling on the measure which was signed into law in 2022.
Wicks promised to fight on despite the setback. 'Every parent in America understands that Big Tech is hurting our children, and it's infuriating that these companies continue to shirk responsibility for protecting them on even the most basic level,' she said in a statement to Decoded.
'The ruling [Thursday] is a deeply disappointing setback for our kids' safety, and a blow to every parent raising a child in 2025. But the fight isn't over, and I'm digging in my heels. I will keep pushing for basic online protections until our kids are safe,' she added.
Social media
FIRST IN POLITICO: TURN BACK THE CLOCK — Assemblymember Josh Lowenthal is adding the teeth back into his latest push to penalize social media companies for harming young users, likely setting up another showdown between the tech industry and online safety advocates.
As we first reported for POLITICO Pro subscribers yesterday, new amendments to Lowenthal's AB 2 are nearly identical to his bill that passed the Assembly last year before being watered down in Senate Appropriations and ultimately getting pulled from the committee by Lowenthal himself. The new bill once again threatens fines of up to $1 million per child on social media companies whose products are found to cause harm through negligent practices.
AB 2 sets up a rematch between lawmakers and tech giants like Meta that promises to reveal whether Sacramento Democrats can rally enough support to push social media regulations over the finish line after struggling to do so in recent years.
Lowenthal said he's expecting 'massive amounts of enthusiasm' for his new bill after 'hearing across-the-board positive thoughts' about his original proposal from Republican and Democratic leaders in the Legislature.
'The paradigm that we're operating in is completely different,' the Long Beach Democrat said in an interview, citing what he called an 'unhealthy relationship' between Big Tech companies and President Donald Trump.
Byte Sized
— Trae Stephens, who has ties to Peter Thiel, is pitching a Christian-guided vision for the tech industry (Wired)
— The Internal Revenue Service is reevaluating its approach to modernizing technology as AI continues to advance (Reuters)
— AirPods may soon be able to live-translate in-person conversations, but competing earbuds have offered this feature for years (Bloomberg)
Compiled by Nicole Norman
Have a tip, event or new wiz-bang gizmo to share? Do reach out: Emma Anderson, California tech editor; Chase DiFeliciantonio, AI and automation reporter; and Tyler Katzenberger, Sacramento tech reporter.
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