Executive Viewpoint 2017 Prediction: Actiance – The Year Enterprises Embrace Privacy by Design
In 2016, we saw an increased focus on data privacy from consumers, enterprises and governments. There is no doubt that this momentum will continue into 2017 – changing the game for cloud service providers and their approach to data privacy.
What the GDPR Means for Enterprises in 2017
Last year’s increased focus on data privacy culminated with the passing of the GDPR, which represented one of the most comprehensive and sophisticated set of standards related to privacy put forth to date. The GDPR, which comes into effect in 2018, has far-reaching implications that extend far beyond the EU, and it is likely that this legislation could set the precedent for future privacy mandates put forth in other regions.
The GDPR establishes that any firm that holds or processes data of EU citizens – including cloud providers – must abide by a set of requirements to ensure that data privacy is adequately protected. The consequences of violations are stern – to the tune of 2 percent of annual revenue for the first offense.
However, most organizations currently lack the proper technology in place to understand where the data resides and the potential risks it is exposed to. To make matters more complicated, most business have antiquated systems in place to protect data that don’t offer the level of protection required in today’s climate, forcing enterprise to reconsider technology investments.
Enter Privacy by Design
What is most significant about the GDPR is that it has spurred is the concept of Privacy by Design. The GDPR states that anyone possessing EU citizen data should have data privacy built into on-going cloud service operations, management, and security protocols. For the cloud services market, this elevates the importance of data privacy as a critical element to consider when selecting one cloud service over another.
Over the coming months this focus on data security and protection will continue as people put a higher premium on data privacy. As the industry becomes more vigilant about personal data, software vendors and enterprises in the EU and beyond must embrace privacy by design. They must ensure that their entire organization and the vendors they rely on are built to meet an increasingly complex set of data protection requirements.