EU, U.S. approve data privacy rules

BRUSSELS – The European Union and United States made a breakthrough in their yearslong battle over the privacy of data that flows across the Atlantic with a preliminary agreement Friday that paves the way for Europeans’ personal information to be stored in the U.S.

President Joe Biden and European Commission President Ursula von der Leyen announced the deal during Biden’s stop in Brussels while on a European tour amid Russia’s war in Ukraine.

Business groups hailed the announcement, saying it will provide relief to thousands of companies, including tech giants like Google and Facebook, that faced uncertainty over their ability to send data between the U.S. and Europe, which has much stricter regulations on data privacy.

Data may be related to employees or customers and users, and companies use it for all types of online advertising, purchases and communications.

The agreement came hours after EU officials agreed on sweeping new digital rules to rein in the power of big tech companies such as Facebook and Google.

EU sets new digital play book

BRUSSELS – The European Union set the stage for a stepped-up crackdown on big tech companies with an agreement on landmark digital rules to rein in online “gatekeepers” such as Google and Facebook parent Meta.

EU officials agreed late Thursday on wording for the bloc’s Digital Markets Act, part of a long-awaited overhaul of its digital rulebook.

The act, which still needs other approvals, seeks to prevent tech giants from dominating digital markets, with the threat of whopping fines or even the possibility of a company breakup.

For instance, they face tighter restrictions on using people’s data for targeted online ads – a primary source of revenue for Google and Facebook – while different messaging services or social media platforms would be required to work together.

The new rules underscore how Europe has become a global pacesetter in efforts to curb the power of tech companies through an onslaught of antitrust investigations, stringent regulations on data privacy and proposed rules for areas like artificial intelligence.From wire reports