What comes to your mind when an app asks the permission to access the data on your mobile? Whenever people tend to share data with an app/service provider, trust lets them share their personal data with a third party. When the trust is broken, there is need to build laws for protection of data privacy. Privacy of the personal data is one of the basic rights.
May 25, 2018 was the deadline for EU(European Union) countries to implement GDPR(General Data Protection Regulation). This implementation would definitely benefit the users but it would have great impact on the business as well.
According to recent Gartner report, many companies are not aware of the GDPR compliance processes. Transparent data processing with a specific aim is important in GDPR implementation.
AI and big data analytics drive crucial business for global startups. Companies are playing with data to drive their business. The main impact of GDPR would be on the process of collecting, storing and protecting the data. The ultimate ownership of the personal data belongs to the individual. An individual is given right to know, access, rectify, erase, restrict the processing of the data, to protest the misuse of the personal data and right for portability of the personal data.
In Startups Club view, GDPR compliance is an opportunity. GDPR compliance implementation is going to create a ton of opportunities in cyber security and data protection space. Startups working in advertising, fintech, healthcare and ecommerce space are going to be affected the most. A lot of personal data of the user is shared while advertising. Consent is needed by the user for ethically sharing the data.
Startups wondering about GDPR compliance services should consider these for smoother GDPR compliance implementation. It has created an opportunity for companies working on marketing platforms. They have launched ‘Consent management Platforms’ for advertisers, publishers and direct marketers. These consent management platforms are going to be used by different companies for managing online promotional activities. E-commerce platforms are also utilizing consent management platforms for better management of customer data collected in the transactions.
By complying with GDPR, startups can build a robust customer base based on trust. Startups can win customers’ heart by putting user’s experience ahead of everything in digital space. This will in turn help making users more receptive to the insights in the digital space.
Data protection officers would be in demand. People having expertise in cyber security space can further enhance skills in GDPR data protection space. Startups working in legal and compliance services domain can further extend their services as ‘GDPR compliance services’. As startups working with European customers would also have to comply with GDPR, this creates a huge opportunity for the legal startups.
Everybody likes to live in a free environment. Innovation works best in regulation free environment. Fintech startups fear, innovation will have limitations under GDPR regulation. Fintech startups tend to use biometric data for authentication. Startups have to be careful while processing user’s data through payment gateways. Data controllers and processors will help in ethical processing of data. The data processing is necessary for protecting confidentiality interest of the user. Fintech startups can also take this as an opportunity. Building trust in financial matters is extremely important. Trust will eventually help in driving more business. GDPR compliance will add more features to existing PCI(Payment Card Industry) data security standards.
Healthcare has sensitive patient data. Healthcare startups processing user data such as biometric data, patient images, blood reports etc. need patient’s consent for processing the data. GDPR will be an extension to existing user’s data protection by HIPAA(Health Insurance Portability And Accountability Act)
GDPR can help improve healthcare data interoperability. Data portability tools will allow users to move their data easily from one service provider to other. This is also an opportunity to develop better healthcare data models leading to robust healthcare management systems.
Do you have any other innovative ideas about GDPR to be shared?