US Government Buying Americans' Data Without Warrants Through Data Broker Loophole

Your Data Is Everywhere. The Government Is Buying It Without a Warrant.

A data broker industry buys vast quantities of electronic information from cell phone apps and web browsers, selling it not just to advertisers but also to police departments and federal agencies. This allows the government to access intimate details about Americans without a warrant through what privacy advocates call a loophole in the Fourth Amendment.

The Data Broker Loophole

After a 2015 change to the law, federal agencies are not supposed to collect data on US citizens in bulk. But they found a workaround: simply buying the data instead of requesting a warrant. ICE, FBI, and other agencies purchase bulk cell phone location data commercially.

Congressional Action Coming

Congress is expected to take up reauthorization of Section 702 of the Foreign Intelligence Surveillance Act, which expires on April 20. Some 130 civil society organizations have signed a letter urging Congress to close the data broker loophole in the reauthorization, citing "unprecedented expansion of warrantless mass surveillance" and the potential to "supercharge AI-powered surveillance."

FBI's Position

At a Senate hearing, Sen. Ron Wyden asked FBI director Kash Patel if he would commit to not buying Americans' location data. Patel declined, saying the FBI "uses all tools" and "we do purchase commercially available information that's consistent with the Constitution and the laws." In 2023, former FBI director Christopher Wray had indicated the agency backed away from using location data.

The AI Dimension

Anthropic CEO Dario Amodei has warned that data the government can purchase without a warrant could be used to power AI surveillance tools, making the data even more powerful. The Electronic Frontier Foundation notes that while location records from brokers are typically unlinked to a device owner's name, tools exist that help law enforcement track where a device goes, where it spends every night, and where it goes during working hours.

Why This Matters

The intersection of commercial data collection, government surveillance, and AI represents one of the most significant privacy challenges of the 2020s. As AI makes it easier to analyze massive datasets, the data broker loophole becomes increasingly dangerous.