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DIGITAL EUROPE
Data Act
The Data Act Regulation shall apply from 12 September 2025 (see art. 50 for other deadlines)
The EU Data Act is part of the broader EU Data Strategy, which aims to create a single market for data within the EU. The Act is expected to be a key piece of legislation that will remove barriers to the free flow of data and facilitate access to data in a secure and trusted manner.
One of the main objectives of the Data Act is to promote data sharing across borders and between sectors. To achieve this, the Act proposes the development of common European data spaces in strategic sectors such as health, energy, and mobility. These data spaces would facilitate the exchange of data and ensure that data is accessible to those who need it while protecting privacy and security. The Act would also establish clear rules for the use of data, including rules for data protection and data ownership. It would encourage the development of data intermediaries that could help connect data users with data providers while ensuring that data is used in a responsible and ethical manner. While the Data Act clarifies who can create value from data and under which conditions, Data Governance Regulation (DGA) creates the processes and structures to facilitate data. The DGA also includes provisions for the enforcement of the new rules, including the establishment of new mechanisms for cooperation between EU member states and the development of sanctions for non-compliance.
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The Data Act places obligations on manufacturers and service providers to allow users, whether companies or individuals, to access and reuse data generated by their products or services. This encompasses a wide range of products from coffee machines to wind turbines. Additionally, it permits users to share this data with third parties, such as sharing vehicle data with mechanics or insurance companies.
Key Objectives of the Data Act
The Act also aims to facilitate switching between data processing service providers and establishes safeguards against unlawful data transfers. It promotes the development of interoperability standards for data reuse across sectors.
Main Elements of the Data Act
Governance Model and Next Steps
The Regulation allows member states flexibility in implementation and enforcement, with a coordinating authority in each state acting as a 'data coordinator'.
Key Objectives of the Data Act
- Fair Value Allocation from Data: Ensuring fairness in how data value is distributed among digital environment actors.
- Stimulating Competitive Data Market: Encouraging competition in the data market.
- Data-Driven Innovation: Opening opportunities for innovation based on data.
- Data Accessibility: Making data more accessible to all.
The Act also aims to facilitate switching between data processing service providers and establishes safeguards against unlawful data transfers. It promotes the development of interoperability standards for data reuse across sectors.
Main Elements of the Data Act
- Scope: Users of connected devices will have access to data generated by their use, with a focus on the functionalities of the data rather than the products.
- Protection of Trade Secrets: Ensures adequate protection of trade secrets and intellectual property, with mechanisms for dispute resolution.
- Fair Data Sharing and Compensation: Addresses contractual imbalances in data sharing contracts and offers guidance on fair compensation for businesses sharing data.
- Public Sector Data Access: Allows public sector bodies to access and use private sector data in exceptional circumstances, like natural disasters.
- Consumer Benefits: Facilitates easier migration between cloud providers and introduces interoperability standards for data sharing.
Governance Model and Next Steps
The Regulation allows member states flexibility in implementation and enforcement, with a coordinating authority in each state acting as a 'data coordinator'.