At Stake – 4 Million Jobs and $40 Billion in GDP as report shows Section 230 is a Central Component of America’s Booming Economy

It’s no coincidence the United States is the world leader in internet innovation since the United States is one of the only countries to have laws that ensure online platforms are not held liable for everything their users post. Created in 1996 by a forward thinking Congress, this assurance, “Section 230 of the Communications Act,” or just “Section 230” to its supporters, is the foundation enabling construction of the modern tech industry.

Today, a new report from the Copia Institute proves the value of Section 230 not only for the tech industry, but for the wider US economy too. The report, entitled “Don’t Shoot the Message Board,” analyzes the economic impact of user-generated content that has been enabled by Section 230.

The report found that the U.S. could lose out on 4.25 million jobs and $440 billion in GDP over the next 10 years if Congress weakens legal protections for sites that host user-generated content, including Section 230.

$440 billion is almost half of the value of all goods and services produced in the U.S. in 2018. American innovation and our nation’s entrepreneurial success is closely linked to Section 230.

The report also found that Section 230 specifically has been credited with creating a trillion dollars in the U.S. economy since it was passed in 1996. At the time, that would have been an eighth of the entire economy.

The report confirms what many of us already know, that “net 2.0” – the ability for everyday Americans to speak freely and be entrepreneurs on online platforms – is a central part of our modern economy. What it shows, however, is that Section 230 is responsible for that economic contribution.

Ignorance of Section 230’s economic impact has led antitech-leaning politicians to assume that attacks on the legal structure surrounding user-generated can do no harm. This report shows that nothing could be further from the truth.

While many in Congress pay lip service to the contribution of online platforms to the growth of small businesses and free speech, this report directly links those benefits to Section 230 – and shows that careless attempts to undermine it, e.g. restricting websites from removing political content, are likely to do more harm than good.

While conversations around undermining Section 230 are likely to continue in Congress, the Copia Institute’s new report has the facts. Getting rid of Section 230 will have direct impacts on America’s economic future and ability for entrepreneurs to innovate and grow their businesses here in the United States.

Section 230 is clearly one of the most important internet laws in America’s history, enabling the modern, tech-enabled economy we all benefit from today.