February 24, 2022

A legislation draft from the European Commission will help prevent the illegal use of EU data by non-EU governments.

The draft rule, known as the Data Act, will help outline rights and obligations that come with using EU consumer and corporate data.

The data Act sets contractual requirements and interoperability standards for cloud and edge services, making it easier for companies to move to a rival and use data between sectors.

“We want to ensure greater fairness in the allocation of value created by data. We are buying more and more products that generate data from smartwatches to connected cars and currently it’s mainly the manufacturer of these products who holds and uses the data,” said EU chief Margrethe Vestager.

The Data Act is part of a series of rules to be introduced by the EU to limit the power of large technology companies, create a level playing field and ensure the security of user data.

Vestager pointed out that the new rules will release a large amount of data for use.

For more information, read the original story in Reuters.