Earlier quoted context omitted.
Currently, social media users are the goods being sold, so the companies running the networks don’t have much interest in offering tools and algorithms for high quality discussion. With paying customers the situation would be very different. (Not that it’s going to happen – I’m just saying that we already pay a hefty price for the “free” services.)
If I had to test that hypothesis I would consider the comments section on the NYT (a website that requires a subscription to access more than 10 articles a month). Just checking the comments section there shows that people are just as vitriolic there _even_ if they've posted on more than 10 articles that month. I'm comfortable saying that paid networks won't in-and-of-themselves improve conversation.
In other words, while I'm not sure if this will improve discourse, at least it mitigates a little bit of the questionable social media meddling that we've seen of late.
I kind of see jimmaswell's point that there is a risk of creating a "tiered Internet". But I'm not sure it's completely an either/or situation. It sounds like that the bill also emphasizes more transparency on what is being done with the data and who it is sold to. As long as personal data is not shared haphazardly and in a leaky fashion, consumers might be just fine with the bargain they get.
Things like shopper loyalty programs already offer this sort of bargain: in exchange for allowing companies access to more granular shopper information, the shopper gets access to greater discounts. Loyalty programs currently are subject to various consumer protection rules. In contrast, the bargain social media has struck with users (free service in exchange for marketing data) is not well protected.
Personally, I'm fine with a little more transparency and disclosure in this fashion. I don't think this necessarily means the end of free social media per se. (I will say though that this is a sign, one of many, that the days of social media "moving fast and breaking things" is over.)