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‘Tough Sell’

Groups Don’t Expect Internet Association Replacement

Don’t expect the tech industry to replace the Internet Association, due to a lack of justification for the investment and to duplicative associations, tech officials told us in interviews. IA shuttered at the end of 2021 (see 2112150026).

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The Computer and Communications Industry Association values the shared work it did with IA over the past nine years, but replacing it with a “new association would be a tough sell when there are many capable organizations advocating” on policy issues covered by IA, said CCIA President Matt Schruers. “Had the IA model justified the investment, its member companies would have found a way to continue funding it.”

It’s unfortunate the industry lost a “fighter,” but other associations can shoulder advocacy, said NetChoice Vice President Carl Szabo. IA leaves no “void,” he said: “We continue to fight just as hard as we did two months ago.”

CTA “worked closely” with IA on shared goals and “thank[s] their team for their pro-innovation advocacy,” said the association in a statement, noting its 1,500 tech members included many IA members. “We encourage clear laws defining acceptable corporate behavior, encourage the gig economy with freedom of contract, defend the First Amendment and online free speech, promote free trade and skilled immigration, fight patent abusers, and avoid asking the government for money for our industry.”

There’s no need to replace IA due to the industry’s evolution over the past decade, said Re:Create Executive Director Joshua Lamel, who was a senior executive at now-defunct TechAmerica. IA was created when tech companies were largely aligned on policy issues, but that alignment has shifted, he said. Lamel cited the continued work of CCIA, NetChoice and CTA as reasons against creating a new association.

IA reported $1.2 million in lobbying expenses for the first three quarters of 2021. CTA reported $2.5 million for the same span. CCIA reported $170,000, and NetChoice reported $100,000.

Microsoft and Uber announced in November they were leaving IA, raising questions about the association’s waning influence. Without Microsoft, the organization didn’t have the resources to continue, said Wayne Brough, R Street Institute policy director-technology and innovation: It shows Big Tech isn’t a “monolith.” Microsoft is separating itself from others under congressional scrutiny, and smaller members have many issues left unaddressed by IA, he said: While the group may have made sense when it started, the industry has matured, and it “may not make sense to have one voice that speaks for tech.”

Given Microsoft’s social networking and search engine endeavors, as well as its shift to a cloud-based model, it’s more aligned with the social media companies than 10 years ago, said Lamel. But there are more diverse viewpoints from the broader tech industry now, he said. It’s “hard to blame” IA executives for the organization’s demise, said Lamel: “It’s part of a broader conversation about industry associations generally” about their role and how they can accomplish their goals.

NetChoice’s role doesn’t change with the dissolution of IA, said Szabo. IA often testified on behalf of the tech industry at high-profile congressional hearings, but so do other associations, he added. Szabo hopes NetChoice will continue to be a “go-to” for industry issues and witness testimony.