EU Data Act Comes into Force; Member States Face Challenges

The EU Data Act aims to increase transparency, access, and fair use of data generated by connected devices, including smart cars, household appliances, and industrial equipment. Under this regulation, users should be able to easily obtain the data produced by their devices and, if they wish, share it with third parties.

Despite the importance of this law, reports indicate that some EU member states are not yet fully prepared for its implementation. So far, fewer than half of the members have appointed the responsible supervisory authority or granted it sufficient legal powers. As a result, concerns remain regarding the effective enforcement of the regulation across the Union.

The Data Act obliges manufacturers to design their products so that access to data is easier. However, exceptions are included to protect trade secrets and information security. According to the European Commission, successful implementation of the law requires member states to designate responsible authorities, define enforcement mechanisms, and specify penalties.

Under the law, companies that violate the regulations may face fines of up to €20 million or 4% of their global turnover. This underscores the critical importance of full compliance for businesses operating in the EU market.

Experts believe that implementing the Data Act could enhance competitiveness in Europe’s digital market and create new opportunities for innovation. Nevertheless, until all member states take the necessary steps, challenges will persist in fully achieving the law’s objectives.

Source: Euronews- HB