Substantial parts of Google and Facebook’s business will be disrupted by the EU’s new GDPR data protection rules that are due to apply in May 2018, according to Dr Johnny Ryan PageFair, a company that specialises in helping publishers monetise their inventory in the face of ad-blocking.
Under the new rules, both Google and Facebook will be unable to use the personal data they hold for advertising purposes without user permission. Ryan says this presents an “acute challenge” as they cannot use a service-wide opt-in for everything, in spite of the fact that many commentators have suggested otherwise. Nor will they be able to deny access to their services to users who refuse to opt-in to tracking.
When a person uses Google or Facebook.com, they willingly discloses personal data. Both companies have the right to process these data to provide their services when one asks them to. However, the application of the GDPR will prevent them from using these personal data for any further purpose unless the user permits.
However, it depends what the data will be used for. As Ryan notes, “it will be necessary to ask for consent, or present an opt-out choice, at different times, and for different things. This creates varying levels of risk.”
To explain the varying degrees of exposure to risk, PageFair have devised “The GDPR Scale”:
Google has a Large Number of Products Exposed to GDPR
PageFair’s estimate of Google, when applied to the GDPR scale, shows a significant range of products at four on the scale. However, some part of that set of products can be modified, which would lower their score from four to one, which would put them out of the scope of the regulation.
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