California’s ambitious effort to curb how trillion-dollar tech companies promote their own products has collapsed after an aggressive lobbying campaign from some of the world’s biggest technology firms.
The BASED Act, introduced by state Senator Scott Wiener as SB 1074, aimed to stop dominant digital platforms from giving unfair preference to their own services while limiting how they use competitor data and restricting barriers around interoperability.
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The proposal directly targeted companies valued at $1 trillion or more, including major players like Apple, Google, Amazon, and others that operate powerful digital ecosystems. If passed, the legislation would have reshaped how these companies manage search rankings, app marketplaces, and consumer data portability in California.
Bloomberg reported that opposition began almost immediately after Wiener introduced the bill in March. Major industry groups, including the California Chamber of Commerce and Chamber of Progress, quickly launched coordinated campaigns arguing the measure would hurt product quality, weaken security, and disrupt consumer experiences.
Intense lobbying overwhelmed supporters
Senator Scott Wiener described the industry’s response as overwhelming.
“They absolutely flooded the Capitol with lobbyists to trash the bill and times to spread misinformation. It was a tidal wave lobbying effort, and we were at a real disadvantage.”
That “tidal wave lobbying effort” ultimately proved effective. Despite early momentum and support from smaller tech companies and startup advocates like Y Combinator, the bill failed in a crucial privacy committee vote.
The defeat highlights how effectively large tech firms continue to protect their business models, especially in California, where new regulations often shape broader national standards. The BASED Act mirrored parts of Europe’s aggressive antitrust framework, which major technology companies have fought for years due to its potential financial impact.
While the bill is dead for now, Wiener has made clear this fight is not over. His “stay tuned” message suggests California’s battle over tech self-preferencing and platform dominance is far from finished.
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