Proposed EU Rules Could Allow Blanket Use of Personal Data for AI Training

• A new proposal from the Irish presidency could classify the use of personal data for AI training as a "legitimate interest" by default.
• Privacy advocacy group noyb warns this amounts to "digital expropriation" and could fundamentally undermine the GDPR.
• The proposal is part of a broader European Commission agenda aimed at deregulation and simplifying data-related laws.

The "Article 88bis" Proposal

• The policy would exempt tech companies from obtaining informed consent from users before utilizing their data for AI model development.
• Max Schrems of noyb argues that this grants special privileges to high-risk technologies, potentially allowing for unlimited data use without considering the specific purpose.
• Critics note that the broad scope could legalize the use of personal data for controversial AI applications, including disinformation tools or weaponized systems.

Context and Opposition

• Powerful EU member states, including Germany, have advocated for the rule, citing the need to support European AI companies.
• The "Data Omnibus" bill also includes potential changes to the definition of personal data, which privacy experts fear could remove invasive online tracking from the scope of the GDPR.
• Academic experts, such as Professor Paulina Jo Pesch, have highlighted the lack of transparency in AI data processing, noting that users are currently unable to track where or how their information is used within these systems.