Iowa Bill Would Punish Big Tech If It Blocks Conservatives On Social Media

DES MOINES — Legislation seeking to withdraw tax breaks and government incentives from Big Tech companies — if a court rules they have violated free speech rights by blocking conservatives from social media — was advanced Wednesday despite concerns it would be costly and problematic if lawmakers “weaponized” Iowa’s economic development programs.Senate President Jake Chapman, R-Adel, one of 30 sponsors who introduced Senate File 402, said the bill — which targets internet sites and digital marketplaces with at least 20 million subscribers or members — would block or take away government financial inducements for companies like Facebook and Google that have located data centers in Iowa if they were deemed to be muzzling free speech.But representatives from business groups, education and the Iowa Attorney General’s Office warned the result could cause widespread interference with contractual arrangements, cost the state jobs and damage efforts to attract and keep high-tech companies.“By considering this legislation, the state’s business environment and reputation could be damaged as companies that were considering entering the state would have to weigh whether or not it’s worth angering the Legislature,” said Tyler Diers of TechNet, a national bipartisan network of technology CEOs and senior executives during a Senate Commerce subcommittee.Diers said companies take seriously their responsibility to remove harmful content in an unbiased manner, while keeping their services open to a broad range of ideas.But the proposed bill “perversely creates an incentive” for private entities not to prohibit or remove objectionable content in order to keep tax incentives for projects that are providing jobs and economic development in Iowa.