Do high regulations penalises innovation?
The most complex challenge every Individual, Corporate entity, government facing in the 21st century is cybersecurity. This trend is invariably going to continue in the coming future. To make this redundant and to fight the blitz of cyberattacks and enhance the security arena for an efficient business environment, governments all over the world, introducing strict Data protection regulations. It is indeed a humongous task to constitute an effective policy framework to make data protection, especially personal data protection safe and secure through upholding the fundamental right to privacy. Nonetheless in this scenario of fast-paced growth in innovation and technology all over the globe, it is certainly an uneasy task to regulate information technology and Digital communication. Every data regulation framework should emphasise data protection without hindering the space for innovations. So, this article discusses how some popular Data Protection regulation frameworks engage with innovation and technology advancements.
1. EU's GDPR:
EU’s GDPR compliance entails better organisational management of data and disclosure of information, efficient management of data processing and collection. Data protection by design has been a legal obligation since the GDPR came into effect in 2018. It means selecting, deploying, configuring and maintaining the appropriate technological measures and techniques to implement data protection within the formation of design. Accordingly, getting compliance with EU’s GDPR requires engagement with rules, greater staff management, the introduction of data protection offices, improved data protection management. With these, some entities may feel the pressure of regulations thus leading to low innovations. Some common perceptions among the corporate entities are
Compliances leads to high costs
Raising entry barriers reducing competition and incentives for innovation