ARTICLE
29 October 2024

Digital Regulation And Non-Personal Data - Technology And Innovation Client Update: July To September 2024

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Arthur Cox

Contributor

Arthur Cox is one of Ireland’s leading law firms. For almost 100 years, we have been at the forefront of developments in the legal profession in Ireland. Our practice encompasses all aspects of corporate and business law. The firm has offices in Dublin, Belfast, London, New York and Silicon Valley.
The European Union (Online Dissemination of Terrorist Content) (Designation of Coimisiún na Meán as a Competent Authority) Regulations 2024...
European Union Food, Drugs, Healthcare, Life Sciences

Digital Regulation - Terrorist Content Online

DATE OF UPDATE: 27 September 2024

APPLICABLE DATES:

These Regulations come into operation on 27 September 2024.

LINKS

S.I. No. 487/2024 - European Union (Online Dissemination of Terrorist Content) (Designation of Coimisiún na Meán as a Competent Authority) Regulations 2024 (irishstatutebook.ie)

CURRENT STATUS

The European Union (Online Dissemination of Terrorist Content) (Designation of Coimisiún na Meán as a Competent Authority) Regulations 2024: These regulations empower Coimisiún na Meán ("CnaM") to impose penalties pursuant to Article 18 of Regulation (EU) 2021/784 (Terrorist Content Online Regulation or "TCO").

WHY IS THIS APPLICABLE TO CLIENTS?

The TCO applies to hosting service providers offering services in the Union, insofar as they disseminate information to the public.

NEXT STEPS

The European Union (Online Dissemination of Terrorist Content) (Designation of Coimisiún na Meán as a Competent Authority) Regulations 2024 came into operation in September. These regulations empower Coimisiún na Meán ("CnaM") to impose penalties pursuant to Article 18 of Regulation (EU) 2021/784 ("TCO").

Digital Regulation - Code of Practice on Disinformation

DATE OF UPDATE: September 2024

LINKS

Reports Archive Archive - Transparency Centre (disinfocode.eu)

CURRENT STATUS

The fourth set of reports detailing actions to combat the spread of disinformation online, with a particular focus on the European elections held in June, have been published by signatories to the Code of Practice on Disinformation.

WHY IS THIS APPLICABLE TO CLIENTS?

Reports from signatories to the Code may be of interest to other organisations hosting content online.

NEXT STEPS

Note the publication and review reports where appropriate.

Digital Markets Act ("DMA")

DATE OF UPDATE: 19 September 2024

APPLICABLE DATES:

These proceedings will be concluded by the Commission within 6 months, during which time, the Commission will communicate its preliminary findings to Apple.

LINKS

Commission starts first proceedings to specify Apple's interoperability obligations under the Digital Markets Act - European Commission (europa.eu)

CURRENT STATUS

The European Commission started two specification proceedings to assist Apple in complying with its interoperability obligations under the DMA. Article 6(7) DMA requires gatekeepers to provide free and effective interoperability to third party developers and businesses with hardware and software features controlled by the gatekeeper that are listed in the designation decision pursuant to Article 3(9) DMA.

WHY IS THIS APPLICABLE TO CLIENTS?

The practical application of interoperability obligations under the DMA may be of interest to third party developers and businesses with similar products and services.

NEXT STEPS

Review the findings when published if appropriate to the organisation.

Government Legislation Programme Autumn 2024

DATE OF UPDATE: 18 September 2024

LINKS

gov.ie - Autumn 2024 Government Legislation Programme (www.gov.ie)

CURRENT STATUS

The Government legislative programme for Autumn was published. Bills in the area of digital / data protection that are potentially of interest include:

  • National Cyber Security Bill (transposes NIS 2)
  • Criminal Justice (Protection, Preservation of and Access to Data on Information Systems) Bill (gives effect to a number of the provisions of the Budapest Convention on Cybercrime, the E.U e-Evidence Regulation ((EU) 2021/784) and the E.U. Terrorist Content Online Regulation ((EU) 2021/784))
  • EU Data Bill
  • Regulation of Artificial Intelligence Bill
  • Communications (Retention of Data) Bill

Digital Services Act ("DSA") – CnaM formal review

DATE OF UPDATE: 12 September 2024

APPLICABLE DATES:

Once the information gathering phase is complete, CnaM will engage with the platforms.

LINKS

Coimisiún na Meán opens review of online platforms' compliance with EU Digital Services Act - Coimisiún na Meán (cnam.ie)

CURRENT STATUS

Coimisiún na Meán issued formal requests for information to a range of platforms for further comprehensive detail on their approach to reporting options for illegal content and points of contact for users.

WHY IS THIS APPLICABLE TO CLIENTS?

The initiative by CnaM illustrates the focus on the regulation of platforms by the EU and Ireland.

Data Act

DATE OF UPDATE: 6 September 2024

APPLICABLE DATES:

The Data Act will become applicable on 12 September 2025.

LINKS

Commission publishes Frequently Asked Questions about the Data Act | Shaping Europe's digital future (europa.eu)

Data Act Video Series - Arthur Cox LLP

CURRENT STATUS

The Commission has released a new FAQ on Regulation (EU) 2023/2854 of the European Parliament and of the Council of 13 December 2023 on harmonised rules on fair access to and use of data and amending Regulation (EU) 2017/2394 and Directive (EU) 2020/1828 (Data Act) ("Data Act").

WHY IS THIS APPLICABLE TO CLIENTS?

The Data Act will have broad applicability.

NEXT STEPS

Review the FAQ

Choice of international jurisdiction - Provision of software online - CJEU Opinion in C-526/23

DATE OF UPDATE: 5 September 2024

LINKS

CURIA - Documents (europa.eu)

CURRENT STATUS

VariusSystems: AG Richard De La Tour has delivered an opinion on place of performance of online provision of software under Recast Brussels Regulation (Regulation (EU) No 1215/2012). The AG proposes that the CJEU should interpret Article 7(1) to mean that the place of performance of the online provision of software is, in the absence of contractual provisions permitting that place to be determined, the place in which the customer uses that software.

WHY IS THIS APPLICABLE TO CLIENTS?

The case demonstrates the importance of including appropriate choice of jurisdiction and applicable law clauses in contracts for clarity and efficiency.

Content Regulation – Online Safety Code

DATE OF UPDATE: 29 August 2024

APPLICABLE DATES:

xxx

LINKS

Statement on the Online Safety Code - Coimisiún na Meán (cnam.ie)

Coimisiún na Meán | Publications (cnam.ie)

CURRENT STATUS

Coimisiún na Meán ("CnaM") has issued a statement welcoming the conclusion of the Technical Regulations Information System process in relation to the Online Safety Code. CnaM notes that no comments on the Online Safety Code were received from the European Commission or other EU member states and confirms its intention to adopt and apply the Online Safety Code to video-sharing platform services based in Ireland later in the Autumn.

WHY IS THIS APPLICABLE TO CLIENTS?

Pursuant to Section 139K of the Broadcasting Act 2009, as amended by the Online Safety and Media Regulation Act 2022, CnaM may make codes to be applied to designated online services.

Non-personal data: China

DATE OF UPDATE: 27 August 2024

APPLICABLE DATES:

xxx

LINKS

EU and China launch Cross-Border Data Flow Communication Mechanism - European Commission (europa.eu)

CURRENT STATUS

The EU and China launched the first discussions under the new Cross-Border Data Flow Communication Mechanism. In recent years, European businesses in China have faced increasing uncertainty and difficulties in exporting data from China. They have been specifically concerned about the systematic application of security approvals to exports of all 'important data', following the 2022 adoption of the law on Measures for Data Export Security Assessment.

WHY IS THIS APPLICABLE TO CLIENTS?

The mechanism will focus on practical solutions to address problems European companies face in China regarding cross-border flows of non-personal data. Cross-border data flows are key for research and development activities, and essential for business to thrive.

DSA - RFI

DATE OF UPDATE: 16 August 2024

APPLICABLE DATES:

6 September 2024

LINKS

Daily News 16 / 08 / 2024 (europa.eu)

Digital Services Act: Observations from the first year of digital services regulation - Arthur Cox LLP

CURRENT STATUS

The European Commission sent Meta a request for information ("RFI") under the DSA. Following the discontinuation of CrowdTangle on 14 August 2024, the Commission is requesting Meta to provide more information on the measures it has taken to comply with its obligations to give researchers access to data that is publicly accessible on the online interface of Facebook and Instagram, as required by the DSA, and on its plans to update its election and civic discourse monitoring functionalities.

WHY IS THIS APPLICABLE TO CLIENTS?

This RFI illustrates the ongoing efforts the Commission is going to, to ensure compliance with the DSA and regulation of online intermediaries.

DSA - Guidelines on protection of minors online

DATE OF UPDATE: 31 July 2024

APPLICABLE DATES:

The call for evidence remained open until 30 September 2024.

The Commission intends to adopt these guidelines in the first half of 2025.

LINKS

Commission launches call for evidence for guidelines on protection of minors online under the Digital Services Act | Shaping Europe's digital future (europa.eu)

CURRENT STATUS

The European Commission opened a call for evidence in relation to its proposed guidelines to help providers of online platforms apply a high level of privacy, safety and security as part of their service for minors.

The Commission proposes that the guidelines take a risk-based approach to online harm, that would include child specific impact assessments structured around the '5C' typology of risks, namely risks to minors from content, conduct, contact and consumers as well as cross-cutting risks.

WHY IS THIS APPLICABLE TO CLIENTS?

It is intended that the guidelines will apply to all online platforms, including those that are aimed at adults but that still have underage users due to inadequate or non-existent age-verification tools.

DMA – Designation decision upheld

DATE OF UPDATE: 17 July 2024

APPLICABLE DATES:

xxx

LINKS

Digital Markets Act: The General Court dismisses the action brought by Bytedance (TikTok) against the decision of the Commission designating it as a gatekeeper (europa.eu)

CURRENT STATUS

The General Court dismisses the action brought by Bytedance (TikTok) against the decision of the Commission designating it as a gatekeeper.

WHY IS THIS APPLICABLE TO CLIENTS?

The outcome of the action will be of interest to other core platform services designated under the DMA as well as their competitors.

DSA – Public repository of advertisers - Order of the General Court

DATE OF UPDATE: 12 July 2024

LINKS

CURIA - Documents (europa.eu)

CURRENT STATUS

WebGroup Czech Republic, a.s. sought a suspension of the operation of the Commission's decision designating XVideos as a VLOP in so far as that decision imposes an obligation to make publicly available the repository of advertisers under Article 39 DSA. WebGroup Czech Republic, a.s. relied on Article 7 of the Charter of Fundamental Rights of the European Union only in support of its arguments based on the need to preserve the confidentiality of its business secrets. The Court dismissed the application, referring throughout the decision to the decision in Commission v Amazon Services Europe, C639/23.

WHY IS THIS APPLICABLE TO CLIENTS?

In the decision, following case C-639/23, emphasis is placed on the fact the DSA is a central element of the policy developed by the EU legislature in the digital sector, and pursues objectives of great importance. The President notes that not applying certain obligations laid down by the DSA will lead to a delay, potentially for several years, in the full achievement of the DSA's objectives.

DSA - Enforcement

DATE OF UPDATE: 5 July 2024

APPLICABLE DATES:

Amazon was required to provide the requested information by 26 July 2024.

LINKS

Commission requests information to Amazon under the Digital Services Act | Shaping Europe's digital future (europa.eu)

CURRENT STATUS

The Commission sent Amazon a request for information on the measures the platform has taken to comply with the DSA obligations related to the transparency of recommender systems and their parameters, as well as to the provisions on maintaining an ad repository and its risk assessment report.

WHY IS THIS APPLICABLE TO CLIENTS?

As the Commission continues to exercise its investigative powers under the DSA to verify platforms' compliance with the legislation, the outcome of these investigations will be relevant to all VLOPs.

DSA – Public repository of advertisers - Order of the General Court

DATE OF UPDATE: 2 July 2024

LINKS

CURIA - Documents (europa.eu)

CURRENT STATUS

At the same time as it applied for a suspension of Commission's decision to designate it as a VLOP, Aylo Freesites LTD's also applied to the European General Court for an order to suspend the application of the requirement under Article 39 DSA to make an advertisement repository publicly available. In rejecting the application, the Court weighed up the interests of the applicant, performers and other natural persons and concluded that the suspension would be liable to alter the competitive situation in the digital sector. The President of the General Court referred to the decision in Commission v Amazon Services Europe, C639/23.

WHY IS THIS APPLICABLE TO CLIENTS?

In the decision, following case C-639/23, emphasis is placed on the fact the DSA is a central element of the policy developed by the EU legislature in the digital sector, and pursues objectives of great importance. The President notes that not applying certain obligations laid down by the DSA will lead to a delay, potentially for several years, in the full achievement of the DSA's objectives.

DMA – Enforcement

DATE OF UPDATE: 1 July 2024

APPLICABLE DATES:

The Commission will conclude its investigation within 12 months from the opening of proceedings on 25 March 2024.

LINKS

Digital Markets Act (europa.eu)

CURRENT STATUS

The Commission informed Meta of its preliminary findings that its "pay or consent" advertising model fails to comply with the DMA.

WHY IS THIS APPLICABLE TO CLIENTS?

The implementation of a 'pay or consent' model may be of interest to a range of online intermediaries that process subscriber personal data.

This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.

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