EU takes the next step towards a game changing regulation on data
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Previously, we have highlighted the upcoming Data Act (read more here) which constitutes a part of the European Data Strategy.
Data Act will change how and under what conditions data will be shared in almost all industries. 80% of today’s industrial data is said to be under lock and key, and the main objective of the new regulation is to remove obstacles for the circulation of data and to enhance the value-creation of data sharing.
Data Act applies to manufactures, end-users, third parties requesting data access eg. service-providers and providers of data processing services, eg. cloud services. The new regulation contains obligations to share data upon request, to design products so that data generated from the products can be easily and securely accessed and obligations to share data with third parties under fair, reasonable and non-discriminatory conditions.
The regulation aims to optimize the accessibility and use of data within EU. However, complaints have been raised from the industry that policymakers have been moving too fast when drafting the new legislation. Also, the Data Act has received criticism for imposing far-reaching obligations which poses risk to competitiveness.
What happens now?
On the 28th of June 2023, the European Parliament and the Council of the EU reached the political agreement on the European Data Act that was proposed by the Commission in February 2022.
What’s next?
The regulation is expected to enter into force soon and once officially adopted, it will take another 20 months before the regulation is applicable. It seems like 2024 will be the year for all concerned parties to adopt to the new requirements and obligations that the Data Act imposes.
Fondia continues to monitor the developments of the regulation. If you have any questions or thoughts, you are more than welcome to contact us.
You can read more about Data Act, AI Act, Digital Markets Act, Digital Services Act and Fondia’s Data and AI cross-border expertise below.