Digest

Startup Policy: 2020 Year in Review

Startup Policy: 2020 Year in Review

TLDR: Over the course of 2020, policymakers engaged on a variety of critical issues and concerns impacting the nation’s startup community, especially around the COVID-19 pandemic, which upended daily life for millions of Americans. Small businesses and entrepreneurs affected by the pandemic called for Congress to provide nascent companies with the emergency support needed to weather the economic uncertainty. The startup perspective has also been crucial in discussions about the importance of Section 230 for small Internet companies that host user-generated content, changes to a law that provides startups with a balanced framework for addressing allegations of online copyright infringement, policies limiting access to high-skilled talent, and much more. As the end of the year draws near, we wanted to highlight just a few of the policy issues that have affected the startup community in 2020.

Startup News Digest 12/18/20

Startup News Digest 12/18/20

The Big Story: Trump tees up NDAA veto fight over Section 230. President Donald Trump is still threatening to veto the must-pass annual defense authorization bill over his demand to repeal Section 230. Trump and some Republican lawmakers have spent months falsely claiming that the bedrock Internet law allows technology companies to “censor” conservative voices online, despite the fact that changes to the law would likely have an outsized impact on startups and others that rely on Section 230’s liability limitations to host and moderate user content.

Startups Looking to Policymakers to Craft a Roadmap for Recovery

Startups Looking to Policymakers to Craft a Roadmap for Recovery

TLDR: As the year draws to a close, Congress has yet to cross the finish line on another much-needed relief package to provide economic relief for Americans, including small businesses and entrepreneurs. But even as a bipartisan group of policymakers introduces a two-part relief package this week, U.S. entrepreneurs are still eagerly waiting for assistance that will help ensure the long-term survival of the country’s startup ecosystem.

Startup News Digest 12/11/20

Startup News Digest 12/11/20

The Big Story: Congress must act after Privacy Shield rollback leaves startups without certainty. A Senate panel held a hearing this week to examine ways of creating a new transatlantic data transfer pact after Europe’s top court struck down the EU-U.S. Privacy Shield earlier this year. The cross-border data pact allowed U.S. companies to process and store European users’ data in America, and the rollback of the agreement is already having adverse effects for thousands of startups and tech companies.

Digital Services Taxes Will Harm Startups Across the World

Digital Services Taxes Will Harm Startups Across the World

TLDR: As intergovernmental organizations and countries continue to discuss implementing their own digital services tax (DST) frameworks on multinational Internet companies, France has notified large online platforms that they must begin paying the country’s levy this month while Canada recently announced plans to impose its own DST. Although most DSTs under consideration—as well as those that have already been implemented—target large, mostly U.S.-based tech companies, the startup community remains concerned that the burden of the taxes will be passed on to smaller companies and users in the form of increased costs for products and services.

Startup News Digest 12/04/20

Startup News Digest 12/04/20

The Big Story: Courts deal blows to White House policies limiting foreign-born talent. Two court rulings this week struck serious blows to the Trump administration’s efforts to restrict legal immigration and limit U.S. companies’ access to foreign-born talent. But while the incoming Biden administration is likely to reverse course on many of President Donald Trump’s immigration policies, entrepreneurs and U.S. tech companies remain concerned about the White House’s ongoing efforts to clamp down on visa programs for high-skilled workers—like H-1B visas—that are vital to the U.S. tech sector.

Last Minute Moves on Section 230 Would Be Selling Out Startups

Last Minute Moves on Section 230 Would Be Selling Out Startups

TLDR: As the year winds down, Republican policymakers are making multiple eleventh-hour attempts to undermine a foundational Internet law that has drawn the ire of President Donald Trump in the lead up to and aftermath of the 2020 election. This week, the Senate Judiciary Committee is slated to consider a bill to reform Section 230—the law that creates intermediary liability limitations for online services that host user-generated content—and the Trump administration is reportedly threatening to veto the annual defense authorization bill if it does not include Section 230 reforms.

Limiting High-Skilled Visas Hurts U.S. Startups

Limiting High-Skilled Visas Hurts U.S. Startups

TLDR: As the technology industry looks to President-elect Joe Biden to overturn the Trump administration’s immigration policies limiting access to high-skilled foreign talent, startups are continuing to pressure Congress to defend and expand the H-1B visa program. Tech companies rely upon the contributions of high-skilled foreign-born workers to drive innovation, but limiting access to this talent—particularly during the pandemic—could harm the long-term growth of U.S. startups.

Startup News Digest 11/20/20

Startup News Digest 11/20/20

The Big Story: FCC opens up unlicensed spectrum for Wi-Fi. The Federal Communications Commission voted this week to free up spectrum in the 5.9 GHz band for unlicensed use, a move that will add 45 MHz to the 5GHz spectrum band currently used for Wi-Fi networks. The spectrum had been allocated to the U.S. Department of Transportation nearly two decades ago but had been largely unused. The move to open up spectrum in the 5.9 GHz band will increase Internet speeds and connectivity once devices are able to support it, largely because it’s near the portion of the 5GHz band already used for Wi-Fi. And, as FCC Commissioner Mike O’Rielly noted in a statement, “most equipment will be able to take advantage of this spectrum with only a quick software upgrade.”

Despite Big Tech Focus, Startups Stand to Lose in 230 Debate

Despite Big Tech Focus, Startups Stand to Lose in 230 Debate

TLDR: A Senate panel is holding a hearing this morning with the CEOs of Facebook and Twitter to discuss Section 230 and allegations of political bias in the context of the 2020 presidential election. Although policymakers are continuing to scrutinize Section 230 because of supposed censorship by the largest tech companies, any changes to the law would have an outsized impact on U.S. startups that rely on the bedrock Internet law in order to host and moderate user content without the fear of potentially crippling lawsuits.

Startup News Digest 11/13/20

Startup News Digest 11/13/20

The Big Story: Recognizing the contributions of veteran entrepreneurs. Each year, almost 200,000 service members transition to civilian life. Armed with leadership skills, technical knowledge, and problem-solving capabilities, many of these veterans choose to launch their own startups and small businesses as a way of using their military experience to further serve the public good. In fact, the U.S. Small Business Administration has found that veterans “are at least 45 percent more likely than those with no active duty military experience to be self-employed.” With more than 2.5 million U.S. businesses owned by veterans—approximately 9.1 percent of the nation’s private sector companies—it is especially critical that these entrepreneurs and founders receive the attention and support that they need to thrive. As we reflect on Veterans Day and the contributions of those who have served our country, Engine wanted to take the opportunity to also celebrate just some of the contributions of veteran-led startups across the United States.

Congress Turns Attention Back to COVID Relief During Lame-Duck Session

Congress Turns Attention Back to COVID Relief During Lame-Duck Session

TLDR: As Congress returns to work following President-elect Joe Biden’s victory last week, policymakers may finally be turning their attention back to providing economic relief to Americans affected by the coronavirus pandemic. Small businesses and U.S. workers have already waited months for policymakers to offer a viable stimulus package, and it’s well past time for lawmakers to unite behind a proposal that provides long-term support for the nation’s startup ecosystem.

Startups, Not Big Tech, Benefit the Most from Section 230

Startups, Not Big Tech, Benefit the Most from Section 230

TLDR: A Senate panel is preparing to hold a hearing tomorrow with the CEOs of Facebook, Google, and Twitter to discuss Section 230 and allegations of political bias by big tech firms. Although Section 230 has drawn scrutiny from policymakers because of the actions of large Internet companies, the law allows platforms of all sizes to host user content and engage in content moderation without the fear of potentially crippling lawsuits. Any changes to the law will have an outsized impact on the U.S. startup ecosystem.

Startup News Digest 10/23/20

Startup News Digest 10/23/20

The Big Story: COVID relief talks stall as startups still wait for support. The Trump administration and Congress are continuing to discuss the framework of a bipartisan coronavirus relief package to support struggling small businesses and Americans, although the lack of progress on an agreement means that a stimulus deal is unlikely until after the presidential election on Nov. 3rd. With startups and small businesses in need of economic support to weather the pandemic’s economic uncertainty, entrepreneurs are calling for policymakers to provide more-targeted relief proposals in the much-needed stimulus package being discussed.

White House Efforts To Undermine Visa Programs Will Harm Startup and Tech Innovation

White House Efforts To Undermine Visa Programs Will Harm Startup and Tech Innovation

TLDR: The U.S. tech industry and startup ecosystem rely upon the important contributions of high-skilled foreign talent to drive innovation and economic growth. But the Trump administration’s efforts to undermine the country’s visa programs by suspending work visas for immigrants and attempting to narrow eligibility for H-1B visas will harm domestic innovation and drive qualified talent to other countries.

Startup News Digest 10/16/20

Startup News Digest 10/16/20

The Big Story: Spotlight on content moderation ahead of election. With the presidential election weeks away, and Americans increasingly relying on Internet services amid the ongoing coronavirus pandemic, digital platforms are working overtime to identify and moderate user-generated content that could cause real-world problems. But policymakers are turning up the heat on the already difficult and contentious issue of content moderation, with platforms’ efforts to combat the spread of conspiracy theories and misinformation leading to partisan pushback and claims of supposed censorship.

Startups Need Lawmakers to Find a Roadmap for Recovery

Startups Need Lawmakers to Find a Roadmap for Recovery

TLDR: U.S. startups are in need of further economic relief to support their business operations amid the coronavirus pandemic. In a recent survey conducted by Engine, a majority of respondents who received federal assistance said the financial support they obtained was insufficient, and entrepreneurs voiced support for a variety of more-targeted policy proposals—such as equity investments, forgivable loans, a startup fund, tax credits, and grants—that could help provide them with the assistance they need during this difficult time.