ET5 WebTrading:Getting ready for GDPR – How much of our data do multinational companies have?
Published: 2024-01-26 09:13:57

Welcome to the digital age, where data collection has become a lucrative industry. It's like a gold rush, with thousands of companies mining your data and keeping tabs on your online activities. But it’s not just restricted to the online realm – companies are also collecting data offline through methods like loyalty cards and cell phone WiFi tracking. The truth is, it's almost impossible to know exactly what happens to our data.

Among the prominent players in this industry are Quantium, Acxiom, Corelogic, Experian, and eBureau. According to the FTC, these companies have the ability to gather up to 3,000 data points on every single consumer in the world. The irony is that we, the internet users, are the ones fueling this data flow. We willingly share our personal information without realizing the extent of it or having control over how it's used or even deleted. But it's not just our privacy and freedom that are compromised by these data collection practices. The reliability and accuracy of the data acquired by companies are also questionable, not to mention the cybersecurity risks that come with it.

The Vulnerability of Consumers
To shed light on the extent of data access, Frederike Kaltheuner, a member of the data lobby group Privacy International, took matters into her own hands. She investigated which apps had access to her iPhone data over the past six years by reading privacy policies, contacting app developers, and even dealing with uncooperative companies. It took months of hard work, something most of us wouldn't bother doing. This lack of awareness regarding data sharing is widespread because, let's face it, who has time to read all those privacy policies? According to one estimate, it would take someone 8 hours a day for 76 days to read all the privacy policies we encounter. Ms. Kaltheuner rightly argues that it shouldn't be the responsibility of citizens, but rather companies, to protect our data by default.

Unreliable Data and Cyber Risks
Companies are investing billions of dollars in acquiring this data, but the accuracy of the information is questionable. Data collection algorithms rely on assumptions about consumer behavior, which are far from foolproof. People like Pamela Dixon, executive director of the World Privacy Forum, have found numerous errors in their records maintained by major data companies. And it's not just the data companies and ad agencies we should worry about. Hackers can easily find answers to security questions we've shared publicly, like date of birth or mother's maiden name. With just a few pieces of information, they can create an accurate profile for identity theft.

Taking Control of Our Private Information
There are numerous ways we can regain control over our data. On an individual level, we can limit our data sharing by using ad blockers, VPNs, changing browser settings, browsing incognito, and blocking cookies. The General Data Protection Regulation (GDPR) aims to shift the responsibility of protecting consumer data from individuals to companies who profit from it. Under the GDPR, companies that want to collect data on European citizens must inform those individuals and obtain consent. St John Deakins, CEO of marketing company CitizenMe, takes it a step further by suggesting that individuals should have the opportunity to directly control and monetize their data. Through apps, users can voluntarily and anonymously share data about themselves, which can then be purchased by companies seeking accurate marketing information. Deakins believes this approach can outperform even the largest data brokers, providing a more transparent data market.

In conclusion, our data is out there, floating around in the digital sea, collected by countless multinational companies. But with initiatives like GDPR and innovative ideas for data control and monetization, we can reclaim our privacy and have a say in how our personal information is used. The era of being passive data subjects is coming to an end, and it's time to take control.