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2020 | OriginalPaper | Buchkapitel

Privacy as Enabler of Innovation

verfasst von : Daniel Bachlechner, Marc van Lieshout, Tjerk Timan

Erschienen in: Privacy and Identity Management. Data for Better Living: AI and Privacy

Verlag: Springer International Publishing

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Abstract

Privacy has long been perceived as a hindrance to innovation. It has been considered to raise costs for data governance without providing real benefits. However, the attitude of various stakeholders towards the relationship between privacy and innovation has started to change. Privacy is increasingly embraced as an enabler of innovation, given that consumer trust is central for realising businesses with data-driven products and services. In addition to building trust by demonstrating accountability in the processing of personal data, companies are increasingly using tools to protect privacy, for example in the context of data storage and archiving. More and more companies are realising that they can benefit from a proactive approach to data protection. A growing number of tools for privacy protection, and the emergence of products and services that are inherently privacy friendly indicate that the market is about to change. In this paper, we first outline what “privacy as enabler of innovation” means and then present evidence for this position. Key challenges that need to be overcome on the way towards successful privacy markets include the lack of profitability of privacy-friendly offerings, conflicts with new and existing business models, low value attached to privacy by individuals, latent cultural specificities, skill gaps and regulatory loopholes.

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Fußnoten
1
Article 3 deals with the territorial scope of the GDPR. Contrary to its predecessor, Directive 95/46/EC, the GDPR is enforced as is it is in all EU Member States, thus enabling the indication of a territorial scope (which was absent in the previous Directive).
 
2
Examples are the Data Protection Bill of Kenya (http://​www.​ict.​go.​ke/​wp-content/​uploads/​2016/​04/​Kenya-Data-Protection-Bill-2018-14-08-2018.​pdf; last accessed: 31/10/2019) and the Californian Consumer Privacy Act. The Kenyan Data Protection Bill is not yet accepted. The Californian Consumer Act has been passed in June 2018 [9].
 
3
The phrase “data protection” may cause confusion, since it is not so much the data that needs protection but rather the person to whom these data refer. Because the term has become rather established, we will use it as well, keeping in mind that it should be read differently (namely: the protection of persons with respect to the processing of their data).
 
4
The Cambridge Analytica case is an illustrative example. Having published original work that demonstrates the potential impact of analysing “Likes” at Facebook, Cambridge Analytica became an enemy of its own business approach when using its knowledge to nudge voters in the USA during the last presidential elections in a specific direction [15]. Cadwalladr also investigated Cambridge Analytica [16].
 
5
The argument that “privacy is dead” is recurring throughout the last decades, often followed by the introduction of a novel ICT paradigm. In that sense, public perception of privacy follows a wave-pattern, not dissimilar (and perhaps the inverse of) the Gartner innovation hype cycle.
 
6
The stipulations of the EDPB concerning data protection by design and by default (https://​edpb.​europa.​eu/​our-work-tools/​public-consultations-art-704/​2019/​guidelines-42019-article-25-data-protection-design_​en; last accessed: 29/11/2019) are in line with international developments taking place in standardisation organisations such as ISO. Work on privacy management issues is performed by ISO/IEC JTC 1/SC 27/WG 5. Other organisations, such as the International Privacy Engineering Network, which has been established by the European Data Protection Supervisor, are also working on templates and guidelines to help organisations in practical tooling for integrating data protection by design and by default (https://​edps.​europa.​eu/​data-protection/​our-work/​subjects/​ipen_​en; last accessed: 23/10/2019). They all contribute to the substantive kernel of what should be considered legitimate implementations of data protection by design and by default.
 
7
End of October 2019, another announcement was made by Very Good Security, a US-based company, that was able to raise 35 million US dollars for developing tools and services that help protecting consumer privacy [28].
 
8
Financieel Dagblad, “Medisch onderzoek in het gedrang door strenge privacyregels”, 23/09/2019. In response, the Minister of Health released a letter indicating the opportunities that researchers may refer to in having health data processed for research purposes. Minister VWS. “Reactie Artikel FD over secundair gebruik data.” 1587082-195476-DICIO. 04/10/2019.
 
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Metadaten
Titel
Privacy as Enabler of Innovation
verfasst von
Daniel Bachlechner
Marc van Lieshout
Tjerk Timan
Copyright-Jahr
2020
DOI
https://doi.org/10.1007/978-3-030-42504-3_1