[Full disclaimer: Written with ChatGPT. Still interesting ✌️🏻]. The new Data Act is a legislative proposal from the EU aimed at creating a more unified and fair use of data across the EU. For a B2B company in Sweden with a website hosted by a Swedish web agency, it is important to understand how the Data Act affects data storage and data management, both regarding own systems and cooperation with third-party providers such as a web agency. Here are some key aspects to keep in mind:
1. What is the Data Act?
The Data Act is a legislative proposal from the European Commission aimed at regulating data flows and creating transparent data sharing between businesses, consumers, and the public sector. The goal is to increase the use of data in a way that is fair and strengthens competitiveness within the EU. The Data Act affects how data is generated, stored, and shared and also aims to create clearer rights regarding access to and use of data.
2. Data Ownership and Sharing Obligations
An important part of the Data Act concerns who owns the data and how it can be shared:
Access to Data: The Data Act creates rights for users (both businesses and consumers) to access data generated by their use of connected products or services. If your company offers a digital product or service, the customer may have the right to access data generated through their use.
Data Sharing between Businesses (B2B): The Data Act means that companies generating large amounts of data through their products may need to share it with other companies on reasonable and non-discriminatory terms. For a B2B company, this could mean that you need to open up certain data you generate to your business partners or customers.
Protection of Trade Secrets: The Data Act attempts to balance data sharing with the protection of trade secrets. If your company shares data with other companies, you must take reasonable measures to protect sensitive information.
3. Data Storage and Infrastructure
The Data Act also affects how and where data is stored. Here are some aspects to consider:
Choice of Cloud Provider: The Data Act proposes that companies should have the ability to easily switch between different cloud providers without incurring high fees or technical obstacles. If your company uses cloud services for data storage (e.g., AWS, Azure, or Google Cloud), it may be wise to review the agreements to ensure you have the flexibility to change providers if needed.
Data Sovereignty and Data Location: There are also guidelines emphasizing EU data sovereignty. This means that certain types of data may need to be stored within EU borders or at least under EU-compliant conditions to ensure data integrity and protection. If your web agency or any third-party provider stores data outside the EU, this may require special considerations.
Security Requirements and Compliance: Companies must ensure that the technical solutions for data storage meet security requirements to protect personal data and other sensitive information. The web agency must ensure that the website complies with security standards for data protection, especially regarding how customer data is stored and managed.
4. Privacy and GDPR Interaction
Although the Data Act focuses on data sharing and utilization, it is important to also understand how this interacts with GDPR:
Personal Data: All data sharing must still comply with GDPR. If the data being shared contains personal data (e.g., contact information for your customers), you must ensure that data processing is done legally and in accordance with privacy regulations.
The Role of the Web Agency: Since your web agency has access to the website and may be involved in data collection (e.g., via cookies or forms), they need to be informed about and comply with both GDPR and the new guidelines under the Data Act. This also means that you as a company must impose requirements on your providers to ensure they handle data correctly.
5. Preparations and Recommendations
To ensure compliance and take advantage of the Data Act, it is wise to:
Inventory the data you handle: Review what type of data you collect and manage, and which may be covered by the Data Act. Also, assess how this data is shared with other companies or customers.
Collaborate with the web agency: Discuss how data is handled via your website. Ensure that your data storage solutions, cookie management, and other collection processes are optimized to comply with both GDPR and the upcoming requirements of the Data Act.
Develop clear data sharing policies: You may need to update your internal data sharing policies to reflect the requirements of the Data Act and ensure that business partners and customers understand how data will be shared and protected.
Technical Preparation for Cloud Migration: If you use a cloud service, you should review the possibilities of migrating data between providers. This may require ensuring compatibility or standardization of data.
Conclusion
For a B2B company in Sweden with a website hosted by a Swedish web agency, the Data Act presents new opportunities but also challenges regarding data storage and sharing:
- Data Sharing and Ownership Rights: Understand what rights your customers and partners have regarding access to data.
- Data Storage Requirements: Ensure that cloud services and data management systems are compliant with EU requirements and allow for smooth migration.
- The Role of the Web Agency: Work with your web agency to manage data collection, security, and publication in a way that complies with both GDPR and the Data Act.
- GDPR and Security: Continue to have GDPR as a cornerstone in all data processing to avoid conflicts and ensure adequate privacy protection.
Being proactive with preparations and ensuring that partners and systems are updated with these new requirements is key to a smooth transition and to meeting the upcoming requirements.