**Digital Services like Google Wallet Targeted**
*Uncertainty Over Continuity in Trump’s Second Term*
The U.S. government is considering placing Google under federal oversight similar to that of a bank, and Google is strongly opposing the move.
The Washington Post (WP) reported on the 14th (local time), citing informed sources, that the U.S. Consumer Financial Protection Bureau (CFPB) is considering applying regular supervision and inspections akin to those imposed on banks to Google. Google has strongly opposed this plan through private meetings over several months. The CFPB, established after the 2008 financial crisis to protect consumers from unfair practices by financial institutions, holds extensive supervisory authority over banks and other financial firms.
Although it’s not specifically known which of Google’s products the CFPB is targeting, it’s believed that digital payments are the focus. Rohit Chopra, director of the CFPB, has been considering strengthening supervision over the digital payment industry, including companies like Apple, Amazon, and Venmo, since taking office. Google offers the “Google Wallet” service, which allows users to store credit cards digitally and make payments via mobile phones. In recent years, the CFPB received hundreds of customer complaints regarding unauthorized payment issues related to Google’s digital services. The WP noted that the big tech industry is particularly concerned about the CFPB’s potential to closely investigate not only financial services but also the companies’ entire business operations.
The U.S. government has been intensifying crackdowns on major tech platforms and services. Last month, Apple and Goldman Sachs were fined $89 million for allegedly illegally evading customer obligations in their joint credit card business. However, if President-elect Donald Trump returns to the White House and changes the CFPB’s appointments, such enforcement measures may be challenging to continue. Given Trump’s past pro-market promises, there is widespread speculation that aggressive supervisory actions by the CFPB will be significantly relaxed under the next administration.