This is a new firm step for the European Commission in enabling its data strategy with the aim of meeting 2030 Digital decade objectives.
New rules enable access and use of EU-generated data across sectors with a clear goal to ease the sharing of data, particularly industrial data. Technological advances have surged in today’s era leading to a fast proliferation of connected devices. This environment generates an increasing amount of data that holds vast potential for future innovation and competitiveness of the EU.
The latest regulations allow users of connected devices to access and share the data produced by these devices with third parties. For example, this regulation would allow owners of connected cars to request and share manufacturer data with the repair service of their choice. This approach will empower consumers but still protect manufacturers’ trade secrets. Additionally, the regulation will open access to public sector bodies, allowing them to access and use data held by the private sector to aid in responding to public emergencies (floods, wildfires, etc.).
The Data Act also safeguards small and medium-sized enterprises (SMEs), by preventing the imposition of unfair contractual terms in data-sharing agreements by stronger companies. Additionally, customers will be able to switch seamlessly (and eventually free of charge) between different cloud providers. That way EU cloud market would be more competitive and open new opportunities for the companies. This will reduce costs for businesses and administrations when they move their data and applications to a different cloud provider. Lastly, with the new regulation, the EU data environment will be better protected against unlawful requests by third-country authorities to transfer or access non-personal data held in the EU.
Overall the Data Act will provide a fair digital environment and stimulate future innovation by unlocking industrial data, and by providing legal clarity as regards the use of data. Thierry Breton, serving as Commissioner for Internal Market, remarked: “The entry into force of the Data Act is a key milestone in our efforts to shape the digital space. It will foster a thriving EU data economy that is innovative and open – to our conditions. European citizens and businesses will benefit from the wealth of 2 industrial data that becomes available, triggering new data-driven applications, notably in the field of artificial intelligence.”
After the adoption of the Data Act, it will become applicable in 20 months on 11th September 2025.