Web Scrapers And Their Targets Beware. Regulators Are Zeroing In On Privacy Implications

Selling web users' personal data is big business — with a projected worth of $400 billion by 2025. In industries as diverse as health insurance and automobile manufacturing, companies that collect and aggregate user data to sell it (often referred to as data brokers)¹ are becoming a powerful force. Often, data brokers utilize web scraping to collect this data, frequently without the data subjects' or owners' knowledge or consent. And while certain states have enacted laws to give consumers more control over their data while bringing a modicum of transparency to this industry, the patchwork of applicable laws and regulations can be confusing. Companies doing business with data brokers need to understand the risks associated with web scraping, including the fact that state attorneys general (AGs) are talking about these issues. Below, we provide a primer on web scraping as well as an overview of the legal and regulatory challenges.