Massachusetts Small Businesses Warn State Privacy Legislation Could Affect Competition, Consumer Choice, and Innovation

Internet for Growth coalition says legislation before State House leaders could shape online discovery, free digital services, and Massachusetts' digital economy.

WASHINGTON and BOSTON, July 15, 2026 /PRNewswire/ -- Massachusetts small businesses are urging State House leaders to protect consumer privacy while preserving the competition, consumer choice, affordability, and innovation that have become essential to the Commonwealth's economy.

The coalition letter, submitted this week by Massachusetts members of Internet for Growth—a nationwide coalition of small businesses, entrepreneurs, creators, and community organizations—comes as State House leaders reconcile competing House and Senate consumer privacy bills. Coalition members say Massachusetts risks becoming a national outlier by adopting overly restrictive privacy provisions that could reduce competition, limit consumer choice, increase costs, and make online services less useful for businesses and consumers alike.

"As the conference committee completes its work, I hope lawmakers remember that consumer privacy and small-business success are not competing goals," said Carlos Vargas, whose family-owned insurance agency has helped Greater Boston families and local businesses navigate everything from auto and homeowners coverage to business insurance for decades. "Massachusetts can strengthen both by protecting personal information while preserving the competition, consumer choice, affordability, and innovation that help consumers discover trusted local businesses, make informed decisions, and support the communities they call home."

Consumers rarely begin shopping knowing exactly what they want. They research, compare options, read reviews, and discover businesses before making a decision. Coalition members say privacy laws should protect personal information without making it harder for people to discover products and services or for local businesses to introduce themselves in responsible, transparent ways. They warn that some of the proposals under consideration could make online experiences less useful and less personalized while reducing competition, limiting consumer choice, and undermining the free and low-cost digital services supported by advertising.

"Consumers may also be surprised by some of the tradeoffs created by overly rigid rules," said Mark Doherty, owner of Dynamik Sports, a family-owned sporting goods retailer in Reading that has served local teams, schools, and families for more than four decades. "People have grown accustomed to personalized recommendations, relevant local advertising, easier online shopping experiences, and free or low-cost digital services supported by advertising. Some of those experiences could become less useful, less personalized, and more expensive."

Internet for Growth's national voter research suggests these concerns extend well beyond the business community. The survey found that 94% of voters say digital tools are vital to small-business survival, 91% say personalized advertising helps them discover local businesses they like, and 90% believe nearly every business depends on digital tools to succeed. Majorities also said policies making digital advertising more expensive or less effective would ultimately increase costs for consumers and small businesses alike.

In a digital, data-driven economy, privacy policy is also economic policy. The decisions lawmakers make today will help determine how consumers discover products and services, whether entrepreneurs can compete on a level playing field, and whether Massachusetts remains a leader in innovation, investment, and opportunity. Coalition members urged legislators to strengthen consumer trust while preserving the competition, consumer choice, affordability, and digital tools that have helped make the Commonwealth one of the nation's leading innovation economies.

About Internet for Growth
Internet for Growth is a nationwide coalition of small businesses, entrepreneurs, creators, and digital professionals advocating to keep the internet open, affordable, and ad-supported. The coalition highlights how digital advertising, media, and marketing fuel local economies, jobs, and innovation. By amplifying the voices of small businesses and creators, Internet for Growth works to preserve the data-driven tools that help millions of businesses reach customers, compete online, and power growth in every state and community.

SOURCE Internet for Growth