In a concerted effort to confront the psychological and regulatory challenges of today’s digital ecosystem, the Federal Trade Commission (FTC) held a landmark public workshop titled “The Attention Economy” on June 4, 2025. Hosted at the FTC’s Constitution Center in Washington, D.C., the event drew experts from academia, government, and the private sector to examine how modern digital platforms are engineered to capture and monetize user attention—often at the cost of consumer well-being.
Exploring the Economics of Engagement
The workshop focused on the growing concern that digital platforms—ranging from social media to streaming services and mobile applications—are designed to maximize user engagement using behavioral nudges and persuasive interface designs. These so-called “dark patterns,” such as infinite scroll, autoplay, and misleading opt-out mechanisms, have increasingly come under regulatory scrutiny.
FTC Chair Lina Khan opened the session by emphasizing the Commission’s role in ensuring that consumer protection laws keep pace with technological change. “As companies compete to capture human attention, we must ensure that digital spaces are not only innovative but also fair and transparent,” Khan said.
Impacts on Consumer Autonomy and Mental Health
Panel discussions explored the deeper implications of constant digital stimulation on users’ autonomy and mental health. Participants included psychologists, consumer advocates, and technology ethicists who discussed research linking excessive screen time and social media use to rising rates of anxiety, depression, and reduced cognitive capacity.
Dr. Adam Alter, a professor at NYU and author of Irresistible: The Rise of Addictive Technology, highlighted how many design strategies mimic gambling dynamics to keep users engaged. “These platforms are not neutral. They’re crafted to exploit our psychological vulnerabilities,” he stated during a session on behavioral manipulation.
Data Privacy and Youth Exposure
Another key area of concern was how digital engagement strategies affect children and teens, who are particularly susceptible to persuasive technology. Several advocates pressed for stronger restrictions on data collection from minors and clearer labeling of manipulative design practices.
FTC Commissioner Rebecca Kelly Slaughter underscored the urgency of protecting younger audiences. “Children deserve to grow up in a digital environment that respects their rights and doesn’t prey on their inexperience,” she said. Panelists also touched on the inadequacy of current data privacy laws in safeguarding users from the long-term consequences of excessive data profiling and algorithmic targeting.
Promoting Transparency and Accountability
Throughout the workshop, attendees discussed various policy tools the FTC might employ to combat harmful engagement tactics. Proposals included mandating clearer user interfaces, requiring default settings that minimize behavioral manipulation, and increasing penalties for companies that fail to obtain meaningful user consent.
The Commission also encouraged public comment and suggested that more rulemaking or enforcement actions could be forthcoming. Legal scholars noted the potential role of the FTC’s existing authority under Section 5 of the FTC Act, which prohibits unfair or deceptive practices, as a foundation for future action.
A Step Toward Regulation in the Digital Age
This workshop marks a continuation of the FTC’s broader campaign to investigate and regulate the digital marketplace. In recent years, the Commission has scrutinized high-profile companies for deceptive data practices and has pushed back against monopolistic behaviors in the tech sector. “The Attention Economy” workshop signals that engagement design—previously viewed as a business strategy—is now also being framed as a public policy concern.
The event concluded with a call for greater industry accountability and stronger consumer protections. As digital experiences become ever more intertwined with daily life, the FTC aims to ensure that innovation does not come at the expense of user rights and mental well-being.
