Leaked EU Proposal Could Broadly Authorize Personal-Data Use for AI

Summary

A leaked document linked to the Irish EU Council Presidency proposes that processing personal data “in the context of AI” should generally be lawful. Privacy group noyb says the proposal, now being discussed in the Council, could let AI companies use personal data collected over decades without obtaining consent, including data from people who have never used their services. The proposal would treat an overriding legitimate interest as automatic for training or using AI systems, according to the article. noyb argues that the provision would legalize processing based on the technology used rather than the specific purpose, potentially covering applications such as personalized advertising, manipulation, disinformation, nude-image generation and autonomous weapons. The article also describes proposed changes that could narrow the definition of personal data through broader treatment of pseudonyms, make the applicability of the GDPR depend partly on companies’ internal knowledge and capabilities, and limit data-subject rights when companies deem requests abusive. noyb says these measures could make enforcement slower and more difficult. The organization further warns that the changes would primarily benefit large US and Chinese technology companies with extensive data and capital, while data held by EU companies could flow to providers outside the EU. The proposal is presented as part of the Digital Omnibus process, which the European Commission had described as a limited simplification that would preserve a high level of protection. The article says the process used a fast-track route without a fundamental-rights assessment or direct involvement of the European data-protection expert group. The European Parliament is described as divided, while the Court of Justice of the European Union is identified as a possible venue for challenges if the legislation advances. These are proposals under discussion, not enacted rules, and the article’s strongest conclusions are statements by noyb and its chair Max Schrems.