A trio of US Democrats have penned a letter to the US Federal Trade Commission (FTC) urging the agency to address the potential risk of neural data misuse amid the “rapid” development and commercialisation of brain-computer interface (BCI) technologies.

Spearheaded by Democratic leader Chuck Schumer, the letter to FTC chair Andrew Ferguson stated that neural data is “extremely sensitive” and can, unlike other personal data, reveal mental health conditions, emotional states, and cognitive patterns, even when anonymised – realities that make the data ‘strategically sensitive’.

While acknowledging that BCI technology holds great potential in medical applications, the letter went on to point out that a indicated that a “vast majority” of neurotech companies collect users’ brain data with “few limits, vague policies, and reserve sweeping rights to share it” without an individual’s clear knowledge or consent.

“Americans’ neural data must not be repurposed or transferred, without fully informed, opt-in consent,” the letter read.

“If an individual uses a BCI device for medical or cognitive support, they should not later learn their brain signals were trained on an AI system or were sold to third parties.

“And we must ensure that Americans’ neural data is never transferred to foreign adversaries.”

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

To address these points, the senators have called on the FTC to take steps including to clarify how existing FTC privacy standards apply to neural data, including whether companies’ current disclosures meet all the applicable “clear and conspicuous” requirements, and to investigate whether neurotechnology companies are engaging in ‘unfair or deceptive’ acts or practices related to neural data that may constitute a violation of the FTC Act. 

BCI devices are designed to allow humans to communicate with and control external devices using brain signals, with the technology being explored across areas such as mitigating the symptoms of Parkinson’s and Alzheimer’s disease or alleviating depression.

However, Neuralink has made the biggest waves in the space to date with a BCI that provides paralysed people the ability to control external secondary devices through thoughts. In January 2024, the company, which is owned by billionaire businessman Elon Musk, implanted the first patient with its BCI after an investigational device exemption (IDE) was awarded by the US Food and Drug Administration (FDA) in May 2023.

Other companies developing BCI systems include ONWARD Medical with a BCI for spinal cord injury treatment; and Motif Neurotech, which recently won a funding grant from the UK Government’s Advanced Research and Invention Agency (ARIA) to advance the development of its BCI for cognitive and psychiatric conditions.