EU's New Digital Package Proposal Promises Red Tape Cuts but Guts GDPR Privacy Rights

Curated from Deeplinks — Here’s what matters right now:

The European Commission (EC) is considering a “Digital Omnibus” package that would substantially rewrite EU privacy law, particularly the landmark General Data Protection Regulation (GDPR). It’s not a done deal, and it shouldn’t be. The GDPR is the most comprehensive model for privacy legislation around the world. While it is far from perfect and suffers from uneven enforcement, complexities and certain administrative burdens, the omnibus package is full of bad and confusing ideas that, on balance, will significantly weaken privacy protections for users in the name of cutting red tape. It contains at least one good idea: improving consent rules so users can automatically set consent preferences that will apply across all sites. But much as we love limiting cookie fatigue, it’s not worth the price users will pay if the rest of the proposal is adopted. The EC needs to go back to the drawing board if it wants to achieve the goal of simplifying EU regulations without gutting user privacy. Let’s break it down. Changing What Constitutes Personal Data The digital package is part of a larger Simplification Agenda to reduce compliance costs and administrative burdens for businesses, echoing the Draghi Report’s call to boost productivity and support innovation. Businesses have been complaining about GDPR red tape since its inception, and new rules are supposed to make compliance easier and turbocharge the development of AI in the EU. Simplification is framed as a precondition for firms to scale up in the EU, ironically targeting laws that were also argued to promote innovation in Europe. It might also stave off tariffs the U.S. has threatened to levy, thanks in part to heavy lobbying from Meta and tech lobbying groups. The most striking proposal seeks to narrow the definition of personal data, the very basis of the GDPR. Today, information counts as personal data if someone can reasonably identify a person from it, whether directly or by combining it with other information. The proposal jettisons this relatively simple test in favor of a variable one: whether data is “personal” depends on what a specific entity says it can reasonably do or is likely to do with it. This selectively restates part of a recent ruling by the EU Court of Justice but ignores the multiple other cases that have considered the issue. This structural move toward entity specific standards will create massive legal and practical confusion, as the same data could be treated as personal for some actors but not for others. It also creates a path for companies to avoid established GDPR obligations via operational restructuring to separate identifiers from other information—a change in paperwork rather than in actual identifiability. What’s more, it will be up to the Commission, a political executive body, to define what counts as unidentifiable pseudonymized data for certain entities. Privileging AI In the name of facilitating AI innovation, which often relies on large datasets in which se

Next step: Keep your day-to-day compliant and secure—find privacy-forward devices that help you stay protected.

Original reporting: Deeplinks

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