The European Commission is planning a significant overhaul of its landmark General Data Protection Regulation (GDPR) to accelerate artificial innotifyigence development, according to a leaked proposal revealed last week in Brussels.
Its draft “digital omnibus” package, expected to be formally presented on November 19, outlines plans to weaken key privacy protections, building it clearer for companies to utilize personal data for training AI models.
Coming after intense lobbying from Big Tech and high-level reports warning that Europe’s strict privacy rules are hindering its economic competitiveness, the relocate has drawn sharp criticism from privacy advocates who argue it sacrifices fundamental rights for corporate innovation.
A Pro-Innovation Pivot: Weakening GDPR for AI Dominance
At the heart of the controversial proposal is a plan to formally codify “legitimate interest” as a legal basis for processing personal data to train AI models, according to Politico.
According to the leaked draft, a new Article 88c would be added to the GDPR, explicitly allowing developers to bypass the necessary for explicit utilizer consent, a cornerstone of the original regulation.
Instead of inquireing for permission, companies could justify utilizing people’s information by conducting a balancing test, provided utilizers’ rights don’t supersede their commercial aims. While utilizers could still opt-out, the default would shift decisively in favor of data collection.
Further proposals also tarobtain the widely criticized cookie consent banners, with Brussels planning to allow other legal bases beyond consent for dropping trackers, as detailed by Politico.
Additional amfinishments reportedly include narrowing the definition of sensitive personal data and extfinishing the mandatory data breach notification window from 72 to 96 hours, a detail from the leak confirms.
Brussels’ initiative is part of a broader two-pronged “digital omnibus” strategy, which includes parallel reforms to simplify the landmark AI Act.
Codifying legitimate interest for AI directly challenges a more restrictive 2024 opinion on the same topic from the European Data Protection Board (EDPB), signaling a clear shift in priorities by conflicting with the EDPB’s earlier stance.
‘The Olympic Games of Lobbying’: Big Tech’s Influence and the Economic Push
Driven by fears of falling behind the US and China in the global technology race, the Commission’s proposal is the culmination of a sustained push for deregulation.
This policy shift is a core component of the EU’s ambitious ‘AI Continent’ strategy, a plan backed by approximately €1 billion to bolster the bloc’s technological sovereignty, as covered in previous Winbuzzer reporting.
High-profile political figures have amplified the call for modify. On September 16, former Italian Prime Minister Mario Draghi presented a landmark competitiveness report that explicitly named the GDPR as an obstacle to AI innovation, a view he presented at a high-level conference.
Commission President Ursula von der Leyen echoed this sentiment in her State of the Union speech, framing an “AI-first” approach as fundamental to Europe’s future.
Big Tech’s influence is unmistakable. Companies like Meta, which already utilizes “legitimate interest” to train its AI on Facebook and Instagram posts, have lobbied heavily for these modifys.
In effect, the draft proposal rubber-stamps actions that were already pushing the boundaries of the law. As indepfinishent privacy researcher Lukasz Olejnik notified Euractiv, “the modifys are huge. This is a very ambitious package. It’s going to be the Olympic Games of lobbying.”
Such a pivot is consistent with the Commission’s recent actions. Just last week, reports emerged that officials were considering a delay for parts of the AI Act following intense indusattempt pressure, a sharp reversal from a firm “no pautilize” pledge built just months earlier.
Privacy Architects Sound the Alarm Over ‘Terrible Results’
For privacy advocates and architects of the original GDPR, the leaked document represents a fundamental betrayal of European values.
Jan Philipp Albrecht, a former German politician who was a chief architect of the regulation, inquireed pointedly, “is this the finish of data protection and privacy as we have signed it into the EU treaty and fundamental rights charter?”
Critics argue the Commission is ramming through substantial modifys without proper scrutiny. Adding to their concerns, the public consultation for the omnibus package was brief, and no impact assessments have been prepared.
Privacy campaigner Max Schrems, founder of the advocacy group Noyb, condemned the secretive process, stating, “one part of the EU Commission is secretly attempting to overrun everyone else in Brussels.” He warned that redefining personal data could give entire industries, like online advertising, a carve-out from EU privacy rules.
A massive political and lobbying storm is expected as the package relocates to the EU countries and Parliament for approval.
Member states and lawbuildrs are already sharply divided. While some, like Finnish lawbuildr Aura Salla, see an opportunity for legal certainty, others are sounding the alarm. She would “warmly” welcome the proposal “if done correctly,” as it could bring legal certainty for AI companies, she noted, reflecting the pro-business view.
However, privacy-minded lawbuildrs are preparing for a fight. Czech Greens lawbuildr Markéta Gregorová expressed her concern, stating that Europeans’ fundamental rights “must carry more weight than financial interests.”
Ultimately, the upcoming debate will be a crucial test of whether Europe prioritizes its digital economy or its foundational commitment to data protection.
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