Google to comply with GDPR regulations
Alphabet’s (GOOGL) Google is reportedly asking its publishers to seek permission on its behalf to collect and use the personal information of European users for ad targeting, according to the new rules in the General Data Protection Regulation (or GDPR).
The GDPR is expected to become part of EU law, and it’s likely to come into force on May 25, 2018.
Under the European Union’s (or EU) upcoming GDPR rules, global companies such as Facebook (FB) and Google will be required to get user consent to obtain their personal information. The EU will also ask companies to be more transparent about the data they collect in order to keep users’ data secure. The companies that don’t abide by the regulations will be fined up to 4% of their annual global revenue.
To become part of the regulation, Google has reportedly announced compliance steps for its ad-technology platforms, and it will be gathering consent directly from users on platforms such as Google.com, Gmail, and YouTube. In the case of third-party websites and apps that use Google’s ad technology to sell ads, Google has directed publishers to take the responsibility to get users’ consent.
Google’s plans come amid heightened issues related to the handling of personal data by tech companies. Facebook’s recent data breach issue has not only hurt users’ confidence in the platform but also raised questions about other social media platforms, such as Twitter (TWTR) and Snap (SNAP).
In January, Deutsche Bank analyst Lloyd Walmsley wrote in a research note that the new European privacy rules could trim Google’s global revenue by two percentage points if 30% of European users were to opt out of data sharing.