Friday, President Joe Biden signed an executive order that establishes a new privacy framework for data exchanged between Europe and the U.S.
- Secure data between Europe and the U.S. is a vital element of international business exchanges. Two previous agreements between Biden and the European Commission failed after being struck down in European courts.
- Whether or not these data transfers are legal has been in question for years.
- The new executive order more carefully considered privacy and personal liberty while adding protection for U.S. intelligence and privacy regulations on data collection.
Why it’s news
While the new deal could potentially be challenged again, the White House seems confident that the new agreement will hold.
After the previous agreements were thrown out in European court, U.S. and European businesses that have overseas customers have been caught in limbo, awaiting a decision.
The agreement also creates an avenue for non-U.S. citizens to issue complaints if they believe their private information has been collected by U.S. intelligence agencies improperly.
Non-U.S. citizens will file their complaints with the Office of the Director of National Intelligence. From there, the complaint will be brought to the Justice Department.
“This is a culmination of our joint efforts to restore trust and stability to transatlantic data flows, and is a testament to the enduring strength of the U.S.-EU relationship and our shared values,” Commerce Secretary Gina Raimondo told reporters. “By ensuring a durable and reliable legal basis for transatlantic data flows, We’ve paved the way for a more inclusive digital economy that will benefit American consumers and small businesses alike.”