The European Union today proposed an interesting addition to the rapidly updating Digital Rulebook. The data law is already compliant with an ambitious digital policy framework aimed at providing clarity and fairness in the exchange of data generated by network devices (mainly for industrial use).
This is not the last word, as the Commission is working on sector-specific regulations contained in the data law.
However, EU parliamentarians today said they intend to maintain data protection legislation for the long term.
we wanted to make sure this was horizontal text because it had to be long-term, visible, and clear in the long run.
The Data Act “addresses legal, economic and technical issues that lead to underuse of data,” the Commission said on harmonious rules for fair access and use of data, the law, stated and suggested in the press release, “is in line with EU regulations and values by creating a single market that allows data to flow freely into the interests of companies within the EU and between sectors.” Unleash the economic and social potential of data and technology accross Researchers, government and society.
This also applies to all sensors that automatically record information from the environment. Much of this data is non-personal data and is rarely used today. Leveraging such data offers a variety of opportunities for new products, new services, or advanced research. But to do that, you need to define who manages such data and who can use it for what purposes. ”
Our data strategy is to use such data productively for the benefit of businesses and society. The green transition will only succeed if energy efficiency is improved. You can do this by using the data. Imagine how efficient it would be to analyze traffic data to improve public transport and predict traffic congestion.
To make this possible, we are working on the remaining barriers to data sharing. Data protection legislation defines who can use which data under what conditions. In the distribution of added value to data. We want to ensure fairness.
Breton said that data law is a “cross-cutting, horizontal nature that defines rules” and is also a “basic toolbox”, similar to the Commission’s content-focused proposal for digital services law. Known, but for certain sectors such as connected cars, he added that it is built with more specific rules.
The Commission has a few different aims for the Data Act — here’s a quick overview:
First, the Internet of Things (IoT), which is densely populated with sensors, has market power in the digital domain by allowing consumers who own so-called “smart” devices to access the data generated by their use. To avoid further concentration. Instruct the manufacturer to make the data available in real time to third parties who want to use (non-conflicting) services.
The Commission hopes this will empower consumers and promote innovations such as aftermarket repairs and predictive maintenance.
It kicked off an research of the IoT zone lower back in July 2020 — pronouncing on the time that it became worried approximately the dangers to opposition and open markets connected to the information series abilities of related devices.
Data protection legislation appears to be an important element of the EU’s response to this threat. Also at a press conference, the Commission confirmed that tech giants, who are considered “gatekeepers” under the Digital Markets Act’s competitive reform proposal, cannot use data law to obtain data from third-party companies. In short, there is a risk of further strengthening market power).
Second, the Commission is concerned about the abusive contract terms imposed on SMEs by more powerful platforms and market participants to essentially extract the most valuable data of less powerful companies. -Therefore, the Data Act introduces a “fairness test” to the goals of previous SMEs to protect against unfair contract terms.
The law establishes a list of unilaterally imposed terms and conditions that are considered unfair or suspected-such as provisions that the company can unilaterally interpret the terms and conditions-and those that fail the test Not tied to small businesses.
The Commission also states that it also develops and recommends non-binding model contract terms. These standard provisions help SMEs negotiate “more equitable and balanced data sharing agreements with companies that enjoy very strong bargaining positions.”
Several major competition complaints have been filed against tech giants in the EU regarding their access to third-party data, such as the investigation into Amazon’s use of human data sale, and these investigations may affect what the Commission is proposing here in relation to fixed-term contracts.
Third, the Data Act aims to lock down cloud services by proposing new rules to allow customers to efficiently switch between different cloud data processing service providers – in combination with safeguards against illegal data transmission, according to the Commission.
Barriers to change are a major and longstanding complaint in the digital market – where network effects can be further exploited by frictionless vendor forfeiture tactics or even stiff barrier to data portability, allowing the supplier to maintain its former market power.
EU lawmakers say they want to make it easier for businesses and consumers to use cloud and edge service providers in moving their data and applications – for whether it’s a private photo archive or an entire commercial regulatory agency – from one vendor to another at no cost.
To that end, the Data Act proposes new contractual obligations to cloud providers and a new standardization framework for data and cloud interoperability. Fourth, the Commission wants regulations that provide clear rules for scenarios in which government / public sector organizations may access IoT data (for example, public emergencies).
The coronavirus crisis is clearly drawing attention in this area, helping policymakers assess how people respond to restricted movements and help model alternatives to how pandemics spread. Access to commercial mobility data (such as mobile phones) is essential for this.
The data law is very broad and applies to data generated throughout the EU in all business sectors. The Commission focuses on whispering to facilitate machine / industry data sharing, but can generate a lot of personal data from connected devices (eg smartwatches and fitness bands, etc.). )-However, sharing of personal data must comply with the existing EU data protection framework, the GDPR. Therefore, there are legal safeguards to protect your privacy.
The Data Act removes barriers to access to data from both private and public institutions and encourages investment in data generation by managing the creator’s data in a balanced manner.
It will unlock the price of information generated via way of means of linked items in Europe, one of the key regions for innovation withinside the coming decades. It will make clear who can create price from such information . It will make sure equity withinside the allocation of information price some of the actors withinside the information financial system and of their contracts even as respecting the valid hobbies of agencies and people that put money into information merchandise and services. The new regulations will empower purchasers and agencies via way of means of giving them a say on what may be accomplished with the information generated via way of means of their linked merchandise.
For example, previous EU proposals to establish a framework for regulating and encouraging industrial data sharing by setting rules for data intermediaries (also known as the Data Governance Act (DGA)) have already been implemented .The Commission states that the data law fits into that framework and helps generate data flows to intermediaries. We hope this will drive data-driven innovation across the block as part of the comprehensive goal of promoting digital transformation as a strategy to revitalize the economy.
As it says that the the new rules of making more data available for reuse are expected to create €270BN of additional GDP by 2028.
The Commission also argues that better access to better real-time sensor data is important for achieving the block’s climate goals and reducing carbon emissions-the 2050 “Net Zero” goal. To achieve.
The data law proposal requires the support of EU co-members before it is adopted and becomes a regional law. However, the relatively fast pace of adoption of DGA suggests that the Commission’s data strategy has gained widespread support.
But it remains to be seen whether this proposal will attract the enthusiastic lobbying that other parts of the EU’s digital policy have attracted in recent years. But it remains to be seen whether this proposal will attract the enthusiastic lobbying that other parts of the EU’s digital policy have attracted in recent years.
When implemented well, data methods certainly seem to have the potential to benefit both consumers and startups.
