US tech giants coming under increasing pressure on data in EU

The findings by French authorities that a company’s use of Google Analytics constitutes a breach of GDPR will send shivers down the spine of any marketer today. 

The basis for the decision is that since the suspension of the EU/US shield on data transfers, itself based on concerns that the US does not offer equivalent protections on data and it’s acquisition by intelligence services. 

It raises a few questions: will tech giants like Google and Facebook take the hit of storing data originating in the EU within the bloc? Is there any real risk that these companies will effectively turn their backs on the European markets?

The U.K. has not yet reached an adequacy decision in relation to the US though the jurisdiction is earmarked as a priority jurisdiction for a decision. The infographic below illustrates the data adequacy map for the U.K.  

https://www.gov.uk/government/publications/uk-approach-to-international-data-transfers/international-data-transfers-building-trust-delivering-growth-and-firing-up-innovation

With the issue of data transfers also the subject of Meta’s (Facebook) concern, the development of this situation will be one to watch closely for companies operating in the EU. Will the U.K. move quickly to recognise the US as an adequate jurisdiction for such transfers as part/for the sake of a charm offensive in the pursuit of favourable trade arrangements? 

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