In december federal trade commissioner mcsweeney wrote, scrapping the fccs Net Neutrality rules will harm consumers and content creators and the federal trade commission is and can be able to stop it. They do not have specialized expertise in telecommunications. We dont have engineers data Network Management practices, these are real and significant limits to the tools ensuring networks are open and free of harmful discrimination. To agree . I share a lot of the skepticisms and concern. Given ongoing litigations the ftc may face and on level Playing Field were some majors are exempt while others are subject to. My view is that the ftc, if it gets back its authority in the internet space there will be a vigorous enforcer, will take the Statutory Authority and use it as best we can. I dont know what types of unfair practices may, if they cannot we can reach them under statute. Something comes up we cant reach that i would come to you and the committee and talk to about it. The federal trade commission lacks Rulemaking Authority and does have authority, you do a group that. We both have rulemaking, their different types. In terms of being able to deal with those issues of throttling, you do not have that authority. I like to talk to the general counsels office before give a specific answer. Im not entirely clear. In terms of. I will just say that it just like the authority. On kids privacy theres a growing body of evidence from experts and executives that technologies are be purpose purposely made to be addicted. The goal is like the Tobacco Industry have to get them early. Then they might be lifetime customers. Get them hooked early to make it addictive, under the commissions of child Online Privacy protection act mandate which i am the author of the 1999, what will you do to ensure the applications and parent consent processes are fashioned in ways that protect privacy sure that they can make informed decisions about their kids. That includes investigations enabling profile and targeting. Those laws first need to be vigorously enforced. Loosing the market develop so quickly in ways that our whole society cannot see coming in the amount of data being collected over children continues to increase. We need to be vigilant come back to especially if we feel we dont have adequate authorities semantically each commit to an active, pro child Privacy Protection policy at the federal state commission during your tenure if confirmed . Absolutely. Senator, i think you for your leadership and agree. If confirmed, absolutely. I think that will be a cuttingedge set of issues. These Companies Need to come under scrutiny amid accountable for what theyre doing. This addiction amongst young people especially in the Minority Community its much higher. Something we need to pay closer attention to. Thank you. We had very good meetings and thank you to all of you. I appreciate your bipartisan work, that means a lot given how important these issues are. The first is on the paper delay issue. See former chair leave whats out there somewhere. Weve had court cases that change this. But pharmaceutical prices have continued to increase. Senator grassley and i have a bill that says he can make these deals to keep generic soft the market. I like to get someones thoughts on that and the role the ftc place. Im well aware of yours and senator grassleys issue interest in the issue. The president called a few weeks ago for focus on the cost of the jerks that had all americans, myself included in the pocketbook every day the ftc has a long, bipartisan tradition of policing anticompetitive conduct in prescription markets. If confirmed i look forward to working with mike commissioners, and with you and continuing that. The cyber attack against echo facts expose personal information more than a hundred 5 million americans. Specially anyone with a credit history. I recently sent a letter to broad indicating the director of office of management and budget have investigators pull back from their investigation. What is the ftcs role in conducting the investigation . Are you committed to investigating it . I dont want to prejudge any matter. On any major issue involving data reaches id expect the commission to be all over, providing and using the necessary resources to be very vigorous. My third areas antitrust subcommittee and judiciary. Last fall i introduced an act in the consolidation and promotion act to enhance the ability of antitrust agencies to conduct enforcements. Ensuring the agencies have the financial and Legal Resources to protect competition is more important than never as these become more sophisticated sec these takeover of certain areas especially what you say no and the bills. One is focused on getting more resources, visit that controversial were sealed. The second is more focused on the changes weve seen so in the current economic climate, should merger enforcement be a priority for the ftc . Why and why can we do to bolster . We face issues with barriers to entry in Many Industries with Small Business start settle low. One observation i have in general is that its not so easy to adapt its personal workforce to changing market conditions. The Interest Rate environment what the markets tell us is that these deals will be robust and big. Whether the commission has adequate resources and flexibility to vigorously police in a timely fashion is an open question for me. Listlessly, promised to send a question on the record. Is a pleasure to meet you talk with you. Welcome tell the family members. All of you have been patient although fidgeting a little. But well, and we are almost done. Mr. With a few questions for all of you. Can i get your commitment to be an active Consumer Protection agency including marketing practices and Data Security . Yes. Absolutely. Absolutely. Yes, never dad the commission needs to be a key partner with attorneys general anothers on this. What to vision is the most contentious and difficult set of Consumer Protections coming before you . How we handle the data breaches. They are becoming more significant, more frequent and i think that is a real serious concern and we need to pay close attention to it. I would agree with mr. Simon. When i was at the commission in early 2000s we spent a lot of time working on Data Security and Consumer Privacy issues. I for see the same in the coming years have confirmed. I agree, we cannot allow contentious issues to distract us from the bread and butter of the agency. Looking at for the children and the elderly. I agree on the issues related to big data. It implicates the Consumer Protection mission as well is the competition and Privacy Mission and it is to be high on the list if not the highest. The data breach at echo facts underscores how the fair credit reporting act and agencies needs to be paramount. Lets talk about interaction with states. How do you envision your interaction with the states and attorneys general i matters that you have. For close working relationship. I think their critical test using our assets most efficiently. To very much in favor. Not surprisingly, i agree. Its important to have this relationship with the state attorney general who can be more familiar with the facts and nuances on the ground. As you know, he can be a force multiplier for the ftc. They are closer to the ground and understand issues of how her compacting. We need to work collaboratively with other parts of the government. There are some areas where we may not have expertise but other parts too. Ive worked for frequently with the attorneys general on Enforcement Matters over the years. I like to see us go beyond this and other state officials have unique expertise to the authorities. They can be a different leverage point to make sure resources are being used effectively. Had you see the ftc continuing to work with the bureau to take actions against companies that intentionally mislead people. They have an existing memorandum of understanding to coordinate Enforcement Matters and other tools in the toolbox. It will be critical to coordinate on the specific special population issues as well as areas where theres other jurisdiction. I agree. To the extent that i have seen this communication, everybody working together may ask you if you are the chair, how do you incorporate Board Members in everyday decisionmaking and enforcement moving for . I for see this being team ftc. Were very fortunate that the nominees have significant expertise. I want to make use of that. Thank you. Congratulations to all for the nominees. I spent two years at the ftc in the early 2000s. Its wonderful institution with tremendously talented career professionals and with the traffic and longstanding tradition of effective pace partisan cooperation in forcing the antitrust laws, and protecting consumers. I commend you for your willingness to serve. We go back a long way. We Work Together plus five years with you do good work was senator cornyn. Sorry to see you leave us, mr. Simon ms. Wilson, were all together at the ftc and it was a wonderful team. It was a pleasure working with the both of you each and every day for those two years, you both did an extraordinary job during your tenure there. We are blessed to serve under the chairman who is extraordinary. I dont think there has been another chairman before sense but had the vision that tim brought to the job every day. The question i wanted task because he worked with tim every day, what positive lessons did you learn from your tenure working under the chairman and how did you expect to implement those lessons going forward. Thank you. I look very fondly pack on those days and i was by far the best job ive ever had for all the reasons you just described. One of the most important things i learned from the chairman was its important to have your priorities, to communicate them will so the staff knows whats expected, what matters will turn into Enforcement Actions so the staff is busy and doing productive things and has very high morale. That is critical in terms of leading the ftc. That is my intent to follow that lead. Codec on mr. Simons comments. It is a pleasure to work with you and get to know you then in terms of the things that i learned from the chairman, i would echo what mr. Simon said. Its important to have a positive agenda. If you go in without one reacting to the forces of losing an opportunity to shape policy and make important progress in the mission of the agency. Second, the chairman is very good at enlisting all of the commissioners to advancing his agenda. It is very important to capitalize on the unique experiences and expertise that we each bring to the table. That will be a force multiplier for him in the agency. Third, i know that the chairman was excellent at advancing competition advocacy. He was insuring the ftc was a voice for free markets and minimal regulation to the extent feasible but that the federal level in the state level. I think is head of the policy you play an Important Role in i think with the acting chairman has been doing is also important in terms of economic liberty to understand the hindrance that licensing requirements can impose. Then taking into the global arena as well. Having the ftc and department of justice together in a leadership role in the International Arena supporting the sound enforcement is critical for American Consumers and companies. What are your views on competition advocacy . In the robust role the ftc is a in that . I dont think i could do better justice to it they what mrs. Wilson just said. Its critical. It has had tremendous effects historically. I would expect that to continue in the future. A number members are concerned about the scope and control a big tech. That the size and power of it is unprecedented. Theres an article recently that pointed out that facebook and google are worth 1. 3 trillion which you could merge the top five advertising companies, the five major media companies, and add also the five major communications company, and you would only get to 90 of what google and facebook are worth. The scope of market power, size and controls unprecedented. How should the commission approach this development which i find unprecedented. I think the commission this reminds me of what people the old joke about when people asked jesse james of why he robbed the banks comments because where the money is. With respect to antitrust. The place most likely to have antitrust problems are places that a market power. Those are the places you want to look the most and are monitoring carefully and paying attention to. And if theres conduct occurring there thats we get the most bang for your buck. I appreciate the opportunity to have a conversation and appreciate you visiting with me in my office yesterday. The member of the committee thats responsible for the funding of the ftc. The ftc allocated 313 million for fy 17 and earlier this week the white house revealed its 19 budget about 3 million more than last years budget request. As congress attempts to appropriate the resources what would you remind me to be prioritizing . If confirmed that i would do relatively quickly is get a handle on the budget and what the resource allocation looks like. Also to reach out to the staff make sure i understand where the commissions money is being spent and how well it is being spent. In terms of the budgetary issues, i dont know enough to tell you that we need more or could do okay with less. My feeling would be to keep the ship steady. The subcommittee that cheers this is funded by chaired by senator capitola. Senator blumenthal is here. He and i have recently submitted a lead letter to the active chairwoman seeking investigation into the fraudulent activities that help plans increase social Media Presence among real users ask unanimous consent to submit this letter. Without objection. I feel strongly the practice needs to be investigated. What are some of the inherent consumer harms of allowing bots to be sold to individuals and Companies Market conditions would you expect . If there is young girl who found her identity being used in such a damaging way. Sales and marketing is more effective with the trust. Because these are undermining trust and how their communicative back and report something concerned about. Deception has specific legal criteria. Will make sure the letters provided to all of you. In the minute remaining the topic of race with you my office and i ask again about the issue of bots, the legislation that was adopted, designed to give our constituents access to quality tickets at face value, it will require enforcement and someone being made an example of. I wonder if any of you have reviewed the current actions of the ftc or have suggestions about what could be done to make sure the bots act is enforced . We are not yet privy to any nonpublic information. If confirmed, we will vigorously enforce the law following the facts where they lead making sure violators are held up as an example. Has run a highlight this senators emphasis or priorities. While you might not be able to answer in detail the questions im asking, i hope youre taking them as something that is valuable to pursue. Thank you to free willingness to pursue Public Service. Thank you all for your time this morning. And congratulations on your nomination. I know you have already been asked and each of you have answered questions relating to the equity facts breach as well as the priority that are to be placed on data breaches in your work. Will not re ask those questions, but i like to use my prerogative to tell you that is also a high priority of mine. I was pleased to hear you agree that this ought to be a high priority of the ftc. Want to begin by asking about travel waiting websites. Number of my constituents barricades have fallen prey to a tainted alcohol problem in mexico. It has resulted in blackouts, reported robberies, sexual assaults, and deaths. Over 142 date that had been identified by some excellent investigative journalism. Mexican authorities have failed to address the issue. The Current State Department protocol for warning american travelers of these stagers in the alternative, many victims have turned to travel radio websites like trip advisor to report their experiences and warn others who might be traveling to the areas. Unfortunately it has been reported that trip advisor has censored or taken down hose that detail these adverse experiences that these type of mexican resorts. This is concerning because trip advisor raises revenue through click based advertising in hotel transactions. They might thus have an incentive to maximize positive reviews and minimize negative reports. In november i wrote to the federal trade commission asking them to review the practices. Id like to ask each of you view it commit to looking into this issue and the impacts of the context of these websites consumers if you are confirmed. I would be happy to. I too would be happy to look into that. Yes, it is scary enough to do with those issues in the country. You can imagine how your constituents would have felt in a foreign country. Yes, and of i can add, there many issues we have seen over the past decade and beyond withers a clear mismatch incentives between consumer and intermediate or. Rescinded in the mortgage crisis in other markets. You are right teresa. In my minute remaining now that you have already been asked specifically about the student debts release scams i wanted just add given your professional history of advocating for student borrowers if you can talk a little bit more about the coordination and how important it is for the ftc to coordinate with the department of education and other agencies to respond to pursue his reprehensible actors mac theres no question that the ftc, and the Education Department have to tackle this together along with state attorneys general. I woul