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Canberra unveils draft law requiring algorithm opt-out via pop-up
Australia's draft Digital Duty of Care Bill threatens fines up to A$109 million if platforms fail to offer the choice, and it defines the alternative as friends and follows, so whether the opt-out holds depends on how good that feed turns out to be.
The Product Desk · Product desk
What happened
- Australia's draft Bill, unveiled on Sept 8, would require platforms including Facebook, Instagram and TikTok to offer an algorithm opt-out in a pop-up message, with fines up to A$109 million for non-compliance.
- The draft defines the opted-out experience narrowly: users who take it will see content from friends and the people they follow, and nothing served to them by recommendation.
- The same draft Digital Duty of Care Bill obliges operators of AI chatbots, search engines and apps to protect under-18s, with Anika Wells citing a chatbot coaching girls to survive on 600 calories a day.
- The Bill now goes to consultation, and follows Australia's December 2025 ban on under-16 social media accounts, which countries including Indonesia and Malaysia have since copied.
Compiled by The Product DeskSomething wrong?How this is made
Why it matters
- constraint Because the enforceable object is a screen rather than a standard of care, the people who have to answer for this in Australia are design and growth teams, not the policy function that usually drafts duty-of-care language.
- decision Every platform in scope has to decide whether to fund the follows-only feed as a product someone would stay in, or ship the prompt and let a thin feed walk users back to the algorithm on its own.
- exposure Ferdinands puts advertising revenue on the line: the recommender exists to maximise time on platform, so a cohort that stays opted out is a cohort spending less of it.
- contradiction Hoda expects default-setting inertia to keep most users where they are while Ferdinands expects broad uptake, and the two readings imply very different revenue hits and very different compliance budgets.
The pop-up is the entire surface this scheme rests on, and most of the people it reaches have never opened a feed setting. Rashina Hoda, a software engineering professor at Monash University, told The Straits Times the laws were "much required" and "if anything, a little late", while doubting how many people will use the control, because social media has trained an inertia that leaves users as passive consumers of endless feeds [9].
What the draft as reported fixes is the surface, the penalty and the definition of the non-algorithmic state [2][3][4]. What it does not fix is how often the prompt appears or which button sits under the thumb, and that is exactly where the European version ended up: the EU required an opt-out feature in 2023, and analysts told the paper platforms responded by making the option difficult to find [10][11]. Since the Australian draft follows the December 2025 under-16 ban, the earliest the Sept 8 unveiling can sit is 2026, which puts the specific instruction at least three years behind the general one [16]. A pop-up is harder to bury than a setting four taps deep, though a dismissable modal with the personalised option pre-highlighted still clears the bar as written.
The harder problem sits behind the choice. Opting out means a feed of the friends and accounts you already follow [4]. For an account with forty follows, half of them dormant, that feed is finished by dinner. Compliance will ship the modal: the A$109 million fine is tied to offering the choice at all, and shipping the modal satisfies that requirement regardless of whether the alternative is worth using [3]. Nobody's quarterly goal covers restocking a follows-only feed.
Which makes opt-out rate the wrong number to report to a board. Opt-out rate tells you how the prompt was worded and where the buttons sat; it does not tell you whether the law changed anything. The number that would show that is how many of those users are still opted out after 30 days, and how much they actually read while they are. Ellese Ferdinands, a social media specialist at the University of Sydney, expects broad uptake, cites the "scroll-free Sundays" habit, and expects people who opt out to spend less time in the app and platform revenue to fall over the long term [12][13]. She also expects platforms to try to circumvent the measure, and supports it anyway on the grounds that "we have to start somewhere" [12].
For anyone whose roadmap has just acquired a consent surface, the grid worth drawing puts the prompt on one axis (shown once at login, or resurfaced whenever the setting quietly reverts) and the fallback on the other (shipped as-is, or actively stocked from the accounts the user already follows). Only the resurfaced-and-stocked cell produces someone still opted out a month later. The shown-once-and-thin cell produces a screenshot for the regulator and a dip in feed hours that reverses by week three. On the evidence so far, the pop-up is the part an Australian regulator can check in a screenshot, and the second week of a follows-only feed is the part that decides whether Anthony Albanese's "empower people" framing describes anything users keep [14].
What to watch
- Whether the consultation text specifies prompt frequency, wording and default button state, or leaves those to platforms as the EU version did.
- Whether any platform discloses opt-out uptake, and whether the opted-out cohort is still opted out a month later.
- Albanese's UN address in New York, and the US response given the questions already put to him about American tech profits.