• Home
  • News
  • Fortune 500
  • Tech
  • Finance
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
Techdata protection

Here Come the World’s Toughest Privacy Laws

By
David Meyer
David Meyer
Down Arrow Button Icon
By
David Meyer
David Meyer
Down Arrow Button Icon
April 14, 2016, 9:58 AM ET
EU justice commissioner Vera Jourova
EU justice commissioner Vera Jourova

Finally, after four years of negotiations and formalities, the European Union will have its tough new privacy rules, replacing two-decades-old legislation that was much more open to interpretation by individual countries.

Europeans will be able to tell companies to stop profiling them, they’ll have much greater control over what happens to their data, and they’ll find it easier to launch complaints about the misuse of their information. What’s more, the companies on the receiving end of those complaints face serious fines if they don’t toe the line.

All this is in the General Data Protection Regulation (GDPR), which gained the final approval of the European Parliament on Thursday. It will soon be officially published, becoming law 20 days later. Member states then have two years in which to start following the rules by building them into their national laws.

Get Data Sheet, Fortune’s technology newsletter.

“Today’s vote marks a historic achievement,” said the EU’s justice chief, Věra Jourová. “Our work in creating first-rate data protection rules providing for the world’s highest standard of protection is complete.”

The biggest deal here, in financial terms, is that companies face fines of up to 4% of their global turnover if they flagrantly break the rules. The era in which the likes of Google (GOOGL) can flout local privacy laws and shrug off the small-change fines is drawing to a close.

People will have the right to transfer their data from one service provider to another—between web mail providers, for example, or between social networks. Privacy terms and conditions will need to be in clear and understandable language.

Individuals will also have a right to know if their data has been hacked, and there’s a big change in liability too.

Take the example of a retailer outsourcing its database functions to a cloud provider. Currently, if there’s a data breach then it’s the retailer that’s liable for damages. Once the GDPR comes into force through national laws, that liability will be shared between the retailer and the cloud provider (or, in jargon-ese, the “controller” and the “processor” of the data).

Individuals will now be able to tell companies to stop using their personal data once they close their accounts—an extension of the so-called “right to be forgotten” that already exists in the current rules—and will also be able to make marketing companies stop compiling profiles of them based on their personal data.

For more on privacy, watch:

EU countries will have to set an age of consent for signing up to services such as Facebook (FB) and Instagram—anywhere between 13 and 16 years of age.

If people want to complain about a company violating their data-protection rights, they will be able to do so in their home country, even if the company in question is based in another EU country. In cases where different countries’ authorities disagree about what to do, a new European Data Protection Board will help adjudicate.

This will make it much easier for people to complain. Along with the other rules in this tough new package (and those in the new EU-U.S. Privacy Shield deal, if it ever becomes reality), Silicon Valley will need to be on its best behavior.

About the Author
By David Meyer
LinkedIn icon
See full bioRight Arrow Button Icon

Latest in Tech

Big TechSpotify
Spotify users lamented Wrapped in 2024. This year, the company brought back an old favorite and made it less about AI
By Dave Lozo and Morning BrewDecember 4, 2025
7 hours ago
InnovationVenture Capital
This Khosla Ventures–backed startup is using AI to personalize cancer care
By Allie GarfinkleDecember 4, 2025
11 hours ago
AIEye on AI
Companies are increasingly falling victim to AI impersonation scams. This startup just raised $28M to stop deepfakes in real time
By Sharon GoldmanDecember 4, 2025
11 hours ago
Jensen Huang
SuccessBillionaires
Nvidia CEO Jensen Huang admits he works 7 days a week, including holidays, in a constant ‘state of anxiety’ out of fear of going bankrupt
By Jessica CoacciDecember 4, 2025
11 hours ago
Ted Pick
BankingData centers
Morgan Stanley considers offloading some of its data-center exposure
By Esteban Duarte, Paula Seligson, Davide Scigliuzzo and BloombergDecember 4, 2025
11 hours ago
Zuckerberg
EnergyMeta
Meta’s Zuckerberg plans deep cuts for metaverse efforts
By Kurt Wagner and BloombergDecember 4, 2025
12 hours ago

Most Popular

placeholder alt text
Economy
Two months into the new fiscal year and the U.S. government is already spending more than $10 billion a week servicing national debt
By Eleanor PringleDecember 4, 2025
16 hours ago
placeholder alt text
Success
‘Godfather of AI’ says Bill Gates and Elon Musk are right about the future of work—but he predicts mass unemployment is on its way
By Preston ForeDecember 4, 2025
12 hours ago
placeholder alt text
North America
Jeff Bezos and Lauren Sánchez Bezos commit $102.5 million to organizations combating homelessness across the U.S.: ‘This is just the beginning’
By Sydney LakeDecember 2, 2025
3 days ago
placeholder alt text
Success
Nearly 4 million new manufacturing jobs are coming to America as boomers retire—but it's the one trade job Gen Z doesn't want
By Emma BurleighDecember 4, 2025
12 hours ago
placeholder alt text
Success
Nvidia CEO Jensen Huang admits he works 7 days a week, including holidays, in a constant 'state of anxiety' out of fear of going bankrupt
By Jessica CoacciDecember 4, 2025
11 hours ago
placeholder alt text
Health
Bill Gates decries ‘significant reversal in child deaths’ as nearly 5 million kids will die before they turn 5 this year
By Nick LichtenbergDecember 4, 2025
23 hours ago
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.