Increasingly Robust Digital Competencies and Data Exchange Regulations are Necessary for a Vibrant Digital Revolution in Europe
The European Commission has unveiled a comprehensive strategy aimed at addressing barriers to data usage, such as a lack of technical skills and data silos, as part of its ambition to increase data usage for digital transformation by 2030.
The strategy, which includes policy revision, promoting data literacy, enabling data sharing, and regulatory reform, is designed to foster a more open and responsible data ecosystem across sectors.
Key measures include policy and regulatory updates, the promotion of data literacy and technical skills, encouraging data sharing with safeguards, technical and organizational measures, and transparency and fair competition enforcement.
Policy and regulatory updates will focus on revising existing data governance frameworks like the EU Digital Markets Act (DMA) and the Data Act to reduce restrictive data silos and promote interoperability. The Data Act, for instance, mandates the removal of barriers to switching between data processing services, transparency in contracts, and fairness to prevent lock-in effects.
To promote data literacy and technical skills, the Commission plans to invest in and support educational programs and initiatives aimed at improving digital and data skills within organizations. Enhanced data literacy enables organizations to better leverage data assets and adopt new data-driven technologies.
The Commission also aims to encourage data sharing with safeguards by clarifying and easing legal ambiguities around data sharing, particularly related to personal and business data as regulated under DMA and GDPR. This move is intended to reduce fears over data misuse.
Technical and organizational measures will support interoperable technical standards and organizational best practices to break down data silos. This includes encouraging the use of cloud solutions compliant with EU rules to facilitate secure data flows.
Transparency and fair competition enforcement will be ensured through oversight of dominant platforms under DMA and GDPR to prevent data from being wielded unfairly to disadvantage smaller competitors.
The strategy also addresses concerns about market entry barriers through guidance and non-mandatory standards from the Commission to assist service providers in compliance and switching facilitation.
A recent survey revealed that 71% of respondents said their firm did not have a strong data culture or advanced data skills. To address this, the Commission has proposed a Digital Europe Programme, which will fund specialized programs for advanced digital skills and traineeships in data, AI, cybersecurity, quantum, and supercomputing.
The strategy also includes the Data Governance Act, which aims to establish a governance framework for data-sharing, and the European Health Data Space, which aims to foster data-sharing of health data.
It is worth noting that despite the EU's efforts to encourage data sharing, a significant number of firms still lack the necessary data literacy skills. A 2018 survey found that only 34% of decision makers from large, publicly traded businesses offered data literacy training.
The irony of the situation is that while the EU makes it harder for organizations to share data, it also spends money to encourage them to do so. This paradox was highlighted in a recent Forrester Consulting survey, which found that most businesses struggle to utilize their data.
In conclusion, the European Commission's strategy aims to create a more open and responsible data ecosystem by addressing barriers to data usage, promoting data literacy, enabling data sharing, and implementing regulatory reform. The Commission's efforts are expected to be crucial in fostering an environment where organizations across sectors can share data more freely and responsibly, enhance their in-house skills, and adopt interoperable solutions, supported by clear, coherent, and balanced EU data policies and enforcement practices.
- The strategy for increasing data usage in digital transformation by 2030, proposed by the European Commission, incorporates policy revision, data literacy promotion, data sharing encouragement, regulatory reform, and transparency and fair competition enforcement.
- The Data Act, a part of this strategy, mandates the removal of barriers to switching between data processing services, transparency in contracts, and fairness to prevent lock-in effects.
- To promote data literacy and technical skills, the Commission plans to invest in and support educational programs and initiatives aimed at improving digital and data skills within organizations.
- The Commission also aims to encourage data sharing with safeguards by clarifying and easing legal ambiguities around data sharing, particularly related to personal and business data as regulated under DMA and GDPR.
- Technical and organizational measures will support interoperable technical standards and organizational best practices to break down data silos, including encouraging the use of cloud solutions compliant with EU rules to facilitate secure data flows.
- The Digital Europe Programme, proposed by the Commission, will fund specialized programs for advanced digital skills and traineeships in data, AI, cybersecurity, quantum, and supercomputing to address a lack of strong data culture and advanced data skills in firms.
- Despite the EU's efforts to encourage data sharing, a significant number of firms still lack the necessary data literacy skills, as highlighted in a 2018 survey where only 34% of decision makers from large, publicly traded businesses offered data literacy training.
