Digital Omnibus and GDPR: EU Commission Announcement — Transcript

The Commission is putting forward today a package of measures with a very clear goal: to give a boost to the EU's competitiveness from factories to startups. The digital package is the EU's answer to calls to reduce burdens on our businesses. We are doing so through three areas of action here.

through three areas of action here. Firstly, I'm presenting the data union strategy to fuel the digital economy which is essential resource high quality data for development on AI. And secondly, we also proposing European business wallets which offer a digital

Firstly, I'm presenting the data union strategy to fuel the digital economy, which is an essential resource: high-quality data for development on AI. And secondly, we are also proposing European business wallets, which offer a digital solution for businesses to interact effortlessly with authorities and also other businesses across the European Union.

And finally, we have here our first digital omnibus. It simplifies digital rules in the areas of artificial intelligence, cyber security and data.

And finally, we have here our first digital omnibus. It simplifies digital rules in the areas of artificial intelligence, cybersecurity, and data.

and to remain faithful for its core values. We have identified these measures as the most urgent now following our discussions with the European businesses including SMMES, civil society and beyond.

Commissioner Donovskis will shortly continue by telling you more about the joint simplification agenda of this Commission, and Commissioner Mccra will elaborate the GDPR perspective of our proposal. We are putting forward these measures because Europe needs to act now and to remain faithful to its core values. We have identified these measures as the most urgent now following our discussions with European businesses, including SMEs, civil society, and beyond.

the rules of the game in this way to protect our values and fundamental rights. However, regulation alone is not enough. As we know, we must also move from rule making to innovation building.

But we are also clear that simplification does not mean softening our safeguards. We stand firmly behind our high standards for privacy, fairness, and security because EU regulation is a trust mark for businesses. We are the one place on the planet that has framed the rules of the game in this way to protect our values and fundamental rights. However, regulation alone is not enough. As we know, we must also move from rule-making to innovation building.

that is what we are doing today with our digital package. First, we are cutting all unnecessary administrative costs for compliance by at least 5 billion euros by 2029 through the digital omnibus and saving companies at least 150 billion

Our rules should not be a burden but an added value. For this, we need immediate steps to get rid of regulatory clutter where there is any and focus instead on clear and predictable rules and also solid enforcement. That is what we are doing today with our digital package.

also the EU's approach to international data flows. About the data union strategy, today's measures are unlocking the data for AI across Europe. The data on your strategy builds on the AI continent action plan and also to our apply AI strategy

First, we are cutting all unnecessary administrative costs for compliance by at least 5 billion euros by 2029 through the digital omnibus and saving companies at least 150 billion per year with our European business wallets. Second, we are also stimulating innovation here with the data union strategy. We are proposing measures for fundamentally scaling up the availability of high-quality data for AI development in the EU and strengthening also the EU's approach to international data flows.

safeguarding EU's sensitive non-personal data for businesses. This means easier compliance, better access to more data, more opportunities for innovation, and greater EU data sovereignity.

About the data union strategy, today's measures are unlocking the data for AI across Europe. The data union strategy builds on the AI continent action plan and also our AI strategy, scaling up the availability of high-quality data for AI through data labs, also synthetic data, and boosting common European data spaces. We are also strengthening the EU's approach to international data flows here to ensure better global access to data while safeguarding the EU's sensitive non-personal data for businesses. This means easier compliance, better access to more data, more opportunities for innovation, and greater EU data sovereignty.

new key to the single market. The wallets will make it simpler, faster and cheaper to the businesses in the European Union. They will provide a unique digital identity valid across the entire union. So companies and public se sector. Uh they can they will be able to

We are also proposing European business wallets today because simplification is not just about rules, but also about giving people digital tools to make processes easier. And that is what we are doing with the European business wallets, offering companies a powerful new key to the single market. The wallets will make it simpler, faster, and cheaper for businesses in the European Union. They will provide a unique digital identity valid across the entire Union. So companies and the public sector, they will be able to identify and exchange data in a secure and user-friendly way cross-border in the European Union. And this means businesses will have 26 times less hassle when operating everywhere in the European Union.

And we also proposing today our first digital omnibuses. Here we are focusing on simplifying the rules for the areas that are vital to EU's digital competitiveness, AI, cyber and data. For the AI act, we need to make adjustments

And we are also proposing today our first digital omnibus. Here we are focusing on simplifying the rules for the areas that are vital to the EU's digital competitiveness: AI, cyber, and data. For the AI Act, we need to make adjustments to ensure the optimal application of the rules. This is not just about backing down from the rules. It's about ensuring support tools like standards and also specifications and guidelines are in place before high-risk rules are applied next year.

before high-risk rules are applying on next year. Secondly, on cyber security, we are introducing a single entry point for incident reporting here. So companies no longer have a replicate reporting obligations here. they will only need to report once in one single

Secondly, on cybersecurity, we are introducing a single entry point for incident reporting here. So companies no longer have to replicate reporting obligations. They will only need to report once in one single place, and the information will reach all authorities that need to receive it. And finally, we are also making the data rule book much leaner, cutting four legal actions and acts down to one. So currently, we have had four regulations covering data, and now we are combining them into one under the Data Act. We are cutting administrative costs here, for example, with targeted exemptions for SMEs and small mid-caps in the Data Act and also in the AI Act, and we are also ensuring that access to data and building value from data is a priority here.

covering data and now we are combining them to one under data act and we are cutting cutting administrative cost here for example with targeted exemptions formemes and small midcaps in the data act and also in AI act and we are also

We are also proposing targeted amendments to the GDPR that reflect how technologies have evolved. In particular, we are adopting measures to ensure that AI development is encouraged in Europe and clearly framed by our rules.

In particular, we are adopting measures to ensure that AI development is encouraged in Europe and clearly framed by our rules.

With the AI Act amendments, we are also stimulating real uptake of AI with EU-level sandboxes and real-life testing of AI. Simplification should not only be for businesses but also for our consumers. So we are finally also here addressing cookie banners. I think we can all agree that we have spent too much of our time accepting or rejecting cookies every time we visit our websites. Consumers need to make informed choices. It's very important not just to click through blindly so that they can really reach the content that they want. And with today's measures, consumers will stay in control. It's very important for us. They can accept or refuse cookies with one click and with central controls.

addressing cookie banners. I think we can all agree that we have spent uh too much of our time accepting or rejecting cookies every time we visit on our websites. Consumers need to make informed choices. It's very important not just click through blindly so that

This is the first set of measures but not the last step because today we are also opening a consultation for a full digital fitness check assessing the cumulative impact of the entire digital rule book on the EU's competitiveness.

This is the first set of measures but not the last step because today we are also opening a consultation for full digital fitness check assessing the cumulative impact of the entire digital rule book of uh EU's competitiveness.

Together we are building a simpler, clearer, and faster Europe. And now I would like to give the floor to my colleague, Vis.

Uh thank you uh Hannah. Good afternoon uh everyone. Uh I would like to begin by providing some uh broader uh context for uh today's proposals on the digital omnibus.

Thank you, Hannah. Good afternoon, everyone. I would like to begin by providing some broader context for today's proposals on the digital omnibus.

it for us. Uh this means uh taking initiative and to unlock Europe's full growth potential and secure our long-term prosperity, we must redouble our efforts to implement the competitiveness compass.

Earlier this week, I presented the European Commission's autumn economic forecast, and it makes clear that the challenging external environment means that Europe's future growth will be fueled in large part by domestic drivers. No one else is going to do it for us.

costs by 25% for all companies and by 35% formemes. Now we have made a strong start in delivering our simplification agenda and we will continue to present simplification proposals throughout the commission's current mandate.

This means taking initiative and to unlock Europe's full growth potential and secure our long-term prosperity, we must redouble our efforts to implement the Competitiveness Compass.

legislation. The DRA report also emphasized the fundamental importance of closing the innovation gap in the emerging technologies [clears throat] that will drive future growth. And this proposal responds to what we have learned from uh uh our uh our engagement with

The DRA report, which underpins the compass, emphasizes the importance of simplification when it comes to digital regulation, and indeed the Competitiveness Compass has cutting red tape at its core. That's why we have set the target to reduce administrative costs by 25% for all companies and by 35% for SMEs.

and use uh simp simplifying how companies uh report cyber security incidents uh and helping the smooth roll out of the new artificial intelligence act. Uh more moreover we continue to extend uh benefits enjoyed bymemes to small midcap companies this time under

Now we have made a strong start in delivering our simplification agenda, and we will continue to present simplification proposals throughout the Commission's current mandate.

Uh overall we estimate that digital omnibus uh uh could result in at least€1 billion euros in annual savings for our uh businesses, public administrations and uh uh citizens and it also would uh uh generate some 1 billion euros of

However, for businesses to feel the end results, the proposals have to be approved by co-legislators. So we will continue to work with the European Parliament and Council to make swift progress on the passage of this legislation.

annual administrative cost savings by the end of this commission's uh mandate. But it also indicates that there is uh lots of work uh ahead of us that we need to continue with at least the same pace of simplification to reach our ambitious

The DRA report also emphasized the fundamental importance of closing the innovation gap in the emerging technologies that will drive future growth. And this proposal responds.

digital omnibus is only the first step in the commission's simplification uh efforts in digital domain uh it seeks to provide our businesses with immediate relief by targeting lowhanging fruit. Uh in parallel uh the digital fitness check launched today will stress test the

entire EU a key uh to identify further areas uh uh for simplification in uh digital uh uh area.

To conclude, uh uh Europe uh has not so far reaped the full benefits of the digital revolution and we cannot afford to pay the price for uh failing to keep up with demands of the changing world.

So uh today's package of measures sends a clear message. Uh Europe is willing and able to adapt to uh fully embrace the digital age and the AI technology that will drive productivity for future European growth. And with this I will

now pass to uh Michael who will provide further details on the GDPR angles of today's package.

Okay. Thank you very much Valdez and good afternoon everyone. Can I start by uh thanking EVP Verunnan and her team Commissioner Dumbroskus and his team and indeed my own team for the extensive uh collaboration and work that has been uh

put in uh over the last number of weeks on and months on this package. And so as part of today's digital omnibus, I'm pleased to present a series of targeted amendments to uh the general data protection regulation or GDPR. And let

me emphasize here the word targeted concrete changes to simplify things in the interest of citizens and also businesses. And I would also underline the word amendments because these are clarifications of existing concepts and principles uh and not a reopening of the

GDPR. Its core uh very much remains intact. And this is precisely the balance that this package strikes today.

These amendments to GDPR aim to harmonize, clarify, and simplify the application of the GDPR while continuing to ensure a high level of data protection across the EU. And also the amendments aim to facilitate operators compliance with the GDPR and support

technological innovation in the EU, including through the development of European AI. They benefit citizens and consumers by ensuring a more uniform application of the GDPR and by bringing clarity uh to key GDPR concepts and they form part of the commission's broader

agenda of simplifying e rules to deliver a more competitive and prosperous European economy. As my colleagues Henna and Valdez have have already explained, today's proposed changes are based on continuous dialogue with stakeholders during this last year, including in the

context of the implementation dialogue on the application of the GDPR uh which I held in July. This implementation dialogue brought together a wide range of stakeholders uh businesses and civil society organizations alike. Member states have also expressed their views

on how they see the GDPR going forward in the context of several council discussions that have taken place. The core message from them was that they consider the GDPR to be an effective and balanced legal framework which has met

its objectives. Overall, there was no call for a general reopening of the GDPR. In simple terms, the GDPR works.

However, it became clear that targeted measures to further harmonize the application of the GDPR and also to simplify certain obligations are required. And this is to ensure that the GDPR continues to protect fundamental rights and freedoms of citizens and to

ensure the free flow of data between our member states. The targeted amendments presented today also reflect recent significant judgments from the Court of Justice of the European Union as well as opinions from uh the European data protection board. Regarding the

amendments themselves, we will clarify the notion of personal data to reflect the case law of the European Court of Justice. We will specify when data protection impact assessments should be conducted. We will simplify and facilitate data breach notifications

from organizations to supervisory authorities. We will simplify the information that needs to be provided by companies uh to citizens in low-risk cases. This aims to address a long-standing request from smaller operators when managing their customer data, for example, local sports clubs uh

when managing uh memberships. and we will clarify that personal data can be used in the development of AI subject to the strong GDPR safeguard uh that we have in place. We remain committed to clear, simple and innovationfriendly rules that support the growth of

European AI. At the same time, these developments must be firmly grounded in EU values and ensure the highest level of protection for fundamental rights. To support this, we are proposing to clarify in the GDPR that organizations may rely on legitimate interest to

process personal data for AI related purposes provided they fully comply with all existing GDPR safeguards. And as Henna has explained, we are also introducing changes to the current rules on cookie banners uh to make sure users can express real choices and keep their

devices safe. uh users will stay in control and will be able to accept or refuse cookies now with one click.

Organizations will need to respect users choices uh for 6 months. So when browsing the internet and revisiting a website that you've been on uh in recent months, if you answer that question within the last 6 months, you will not

be asked again uh to give such consent. We also propose to define whether uh to define further low-risk situations for which consent should not require to collect personal data from connected devices. This would would be the case for example to maintain or restore the

security of a device. As is clear, these proposed amendments are very practical uh and indeed tangible and they fully respect the high level of protection of personal data that we remain fully committed to. But through clearer rules and simplified obligations, these

changes will reduce administrative burdens and deliver cost savings uh to operators, companies and organizations alike. And they will also result in more efficient and harmonized data protection policies and in focusing resources in areas where data protection is critical.

Uh thank you very much. Thank you very much to the three of you. We now have time to take your question.

Let's start with Yo. Thank you to a question to EVP. Um, as you're well aware, uh, the business community has criticized the EU's digital rules for for making it harder for companies to to innovate in the in in the European Union, in Europe.

How confident are you that the the omnivous package that you just presented will relaunch the innovation the digital innovation in Europe? Thank you.

Thank you very much. Uh we are very very committed in the commission that we want to make Europe faster and simpler for the businesses and of course this is now our first digital omnibus package and especially we are now focusing into

those areas which has been the main priorities for our stakeholders when we have had stakeholders dialogues and when we have had asked the feedback uh via public consultation. So the data rules are I think most often mentioned because

we have had quite complicated data rule book with four different regulations overlapping parts there also. So now we have clarified this and simplified the things with our amen amendments and uh also uh this is very important now when

we are investing so much to our AI infrastructure to our AI factories because we want to really facilitate also the AI training and development by u facilitating high quality data sets around these AI factories and this we are doing now via our data union

strategy. So data has been a very key element of our omnibus but also here in our data union strategy really to clarify and simplify it and make it easier to have access to data in the same time of course respecting all the

time the privacy of our citizens which is very important also for us. So I think we have good balance here and the other important topic here has been the cyber security rules because we have uh several cyber security regulations from

different sector not only about the digital sectors and uh there's different places you have to al always report the incidents with different timelines and now we are combining these rules and simplifying them and I see also that it's important also to make these uh uh

few uh adjustments to our AI act also to make that it's more more clear now how we are implementing it also and we are also boosting innovations via these uh amendments and of course I'm also underlining the importance of business

wallets because many member states they have already that kind of digital channel for companies to be in interaction with with the and report to the public authorities but we don't have crossber element in this so now we can

really create one one single market also for our companies to be digitally uh operating in all over in the European Union. But uh this is just our first digital omnibus. So today we have launched this digital fitness check and

we will continue to work and now we will have more deep dive to all our digital rules and also look what is the next package we will propose. But in the same time it's very important that we are

very committed to our main priorities to make sure that we have a fair and safe and democratic environment also in the digital world. But we want to cut red tape and bureaucracy.

Thank you very much. Let's go to Razia. Thank you for the press conference. Razia Ako, AFP News Agency. Um I just wanted to ask because some experts have said that you know um making simplifying the rules will not be enough. So is this

enough to to to bolster competitiveness or or however we phrase that thing? I also wanted to that's a question for all of A question to um Commissioner McGra.

Um you said we're proposing to clarify in the GDPR that organizations may rely on legitimate interests. Maybe it's cuz I've got a headache and I'm really tired and this year has been hard. But what does that exactly mean? Like what what

is a legitimate interest? Is that in the case of if the data is needed to find a cure for cancer just just to be able to explain to readers? And we've already had some scathing criticism of the changes um describing what um has been

published today as the biggest attack on Europeans digital rights and the largest cut to privacy rights. And I'd like to know whether um the three of you or one of you would like to say whether you agree with that assessment and how you

defend yourselves against such an assessment. Thank you. Commissioner, if you commissioner, you would like to start on the overall. Yes.

Uh yeah. Well uh few points on this broader uh competitiveness agenda. Of course uh just simplification is uh uh not enough. If you look at our competitiveness compass, it lays out the whole range of initiatives which we need

to uh undertake to uh strengthen competitiveness and uh productivity from closing the innovation gap to addressing uh uh relatively high energy prices to uh equipping people with right skills.

uh to uh completing our single market, ensuring financing through our savings and investment union. So uh simplification is one of the pillars in our broader uh competitiveness agenda.

uh but uh obviously it it's an important pillar and it's much uh anticipated by uh many uh stakeholders and uh for example if you look at the businesses 60% of businesses are saying that they are seeing uh administrative uh uh

obstacles as uh uh as a important factor hindering their growth and investment and 55% ofmemes see those administrative burdens and obstacles as their uh uh main uh challenge in doing business.

Thank you EVP. Yeah, when it comes to our our competitiveness agenda, I very much agree what Wald said. So the simplification of our rules is very important part of that. We want to make Europe faster and simpler and easier for

the businesses to have that kind of regulation that encourages innovations and investments. But in the same time, we have to really create one single market. So we see that often our businesses are are facing too much obstacles between the member states and

also something that is super important especially for our startups is access to finance because we see that uh in in many years more startups are established in the European Union than in USA for example but 60% of the scaleups are in

the uh USA and only 8% in the European Union. So it clearly also tells that our very promising startups they often have to move out from Europe to be able to scale up their businesses because of better access to markets and better

access to capital. And this is something that now we have to work very seriously and we are doing that because for example when I'm looking AI we have already 8,000 startups in the European Union who are developing AI and of

course now it's super important for us that we are creating opportunities for these 8,000 startups to really scale up their businesses in Europe. So it's about our rules that we have to have innovation friendly regulations but also creating one single market. So removing

barriers between our member states and really making sure that we have also access to capital for this these companies. So at least that see that these are really key elements and when it comes to this package I'm expecting

that there there will be um feedback uh from both sides. So I'm expecting that uh there will be u many stakeholders who are saying that this is not uh uh enough that there should be more in this package and some says maybe that there's

too much. So I think that we have a balanced package here. So we have been very carefully analyzing that how we can boost innovations but in the same time we want to respect and safeguard uh the privacy of the citizens because this is

very important for us data protection side of this. So in the same time creating more opportunities to have access to data to train uh train AI and develop new innovations which is one main obstacle for our innovators but in

the same time we want to protect also the privacy of our citizens and I think we have good balance here. We have been working quite intensively uh among the commissioners and uh services during the last weeks really to finalize this.

Yeah commission. Yeah, thank you for your question on GDPR. Already within the GDPR law, you have consent and legitimate interest as the two gateways uh to enable the processing of personal data. And so it's already enshrined uh in law. You have ECJ judgments and you

have also uh opinions, guidance from uh the European data protection board. So the purposes are uh defined including for example public interest uh and so on. So that's not changing. What is changing here is that the ETP has

already clarified that the use of legitimate interest for AI is already possible in its opinion of December uh of last year subject to uh certain conditions. And so we are proposing to clarify uh in the GDPR as part of this

digital omnibus that organizations may process personal data for a AI purposes relying on uh that already established legitimate interest uh principle. But the most respect all the safeguards already included uh in the GDPR when doing this. And in addition then we will

also add a recital explaining in detail uh the requirements needed to be able to rely on legitimate interest. And again uh this recital uh is based on case law of the ECJ.

Thank you very much. Luka, you also have a question. Thank you Thomas. Luka Beruti from Emlex. Uh I have a questions for EVP virunan concerning the delays of the entry into application of the AA act high-risk requirements when this uh

discussion started uh last um June if I remember correctly at the ministerial meeting uh you said that uh you're very wary about um legal certainty um now [snorts] with uh the proposal you're putting on the able businesses won't know if they have to comply with

the high-risk requirements by August 2026 because they have no certainty the p the the omnibus package will be passed into law by then and they have no certainty uh of when the high-risk requirements will start to apply even if

it becomes law because the commission can still anticipate uh the entry into application by six months or one depending on the type of high-risk system. So can you tell us um companies actually face more legal certainty today and how so exactly?

Yes, this has been very important topic of course under the discussions during the last months because really this high-risk part of our AI act. It should come into the force on next August and the standardization body was supposed to

have the standards ready one year before that. So in this August but um they are very much delayed in their work. It has been very challenging of course. So we have been looking how we could support their actions really to accelerate the

work but now we see that it's it's not possible to have them in good time and we see also that it's important of course that for our industries who who is uh uh developing these high-risk AI systems that they they should know also

the standards before this part is coming into the force and that's why we are now proposing here that we will delay this part we see that it's not possible to have it on next August but we are working in the same time. Now the

commission is working with our guidelines. We are supporting our standardization body with the standards and also we are looking the some uh fields of specification or that we see that we have to now make sure that we have all the support tools for our

industry before this is coming into force and that's why we have this kind of flexible timeline here. So we are proposing that commission could really trigger um uh this part coming into the force when we have these tools on the

table. Everything what is needed to support our industry and uh this uh annex tree which is the high risk user cases it should come into the force six months after that. So then our industry would have six months after that when

they have all the supporting tools available that it's coming into the force. But it's it seems that it's not next August. So it will be later. But we have also here clear cutff date. So latest uh in December 27 this part is

coming into the force. So uh possible delay is maximum less than one and a half year but uh I I think that it should be shorter than longer because I would like to really have all the supporting tools for for our industry.

So we are working with the standards and also with the specifications and with the with the guidelines and annex one there we are uh proposing longer timeline 12 months after that when we have all the supporting tools and this

annex one is about sectoral legislation so there's long list of different sectoral legislations we have and then they have to comply with our AI act one one year after that when we have all these tools and there is also clear cut

off date so it's August 28. So, thank you Peter. Uh, Peter Hack from Politico. I want to go a bit deeper on the topic of legal certainty. Um, because you often say like we want to give our companies legal

certainty. But then again, for example, on AI, there is an end date, but no specific timeline on data. You're repealing already some data laws that entered into force just two years ago.

um you're already launching a ne next digital fitness uh check. Um is that really giving companies legal certainty and what does that mean for the EU's uh credibility as a regulator?

I think all the time uh it has been very challenging. uh I was before that as you know I was member of European Parliament 10 years and I was very much working with the digital rules and I see

personally also that this is maybe one of the most challenging sectors of regulation because the technology is developing so fast and our legislation process is often so so uh slowly so and we should uh always boost new innovations but in the same time we

should be aware of risks and that is why of course all the time we have to look the technological and also market developments and also update our rules.

So this is something what we are also doing to our other regulations and rules and it's something that we want to really create more legal certainty also with with our rule book and that's why it's also important to simplify the

processes but also give more long-term perspective for the companies to where we are going.

Yes, on this uh legal uh certainty because that's obviously a broader uh question which concerns the entire uh simplification agenda. Uh but we cannot also stretch this argument because then uh we cannot also propose you know any uh forward-looking legislation but

arguing that it undermines uh legal uh certainty because maybe businesses have not counted with uh additional burdens which may be coming. But then the same applies also when we are working to reduce uh the burden. Uh yes uh it's uh

uh uh right now one could say uh work in uh progress. But uh since we are uh exiting the period of very intensive legislative activity there is accumulation of rules. So we have to take stock where we are with those

rules. How those rules interact with each other to eliminate inconsistencies to streamline them uh to eliminate some duplications. at at the end of the day arrive at a system which uh works better for all the stakeholders and for

European economy. Thank you very much. I see many hands raised with apologies but commissioner Donovskis will have to leave at some point for an appointment. So commissioner in case you want to leave us now is the right moment and

commissioner McGuire in case you want to come closer to us you're very welcome. Thank you very much Commissioner Droskis.

We'll continue until 2:30 with your permission. Uh let's go to Silia. Thank you very much Sylvia from Airbase newspaper. Back to the postponement until eventually December 27 uh of the high-risk uh systems. I mean when the AI act was approved there was a I mean the

EU praised the commission praised also this balance and the the besides the competitiveness etc we were protecting the citizens and that the the the value of the of the protection of the citizens were was very important. Now it seems

that it's all all goes to more competitivity and there are a lot of critics are saying that the commission is bowing letting been itself trumped by all the pressure from the blobies from the US government that has openly

criticized the AI act. How do you respond to that? How do you say that this is not owing to all these pressures because they don't like the the Europe protecting this much this I think uh we have very good uh approach

in our AI act so it's a risk based approach so most of the cases we see that where we are using AI when we are training AI developing AI there's no risks and there is not very much rules

for these applications but then when there is higher risks Then those systems they have to meet certain standards and they have to be tested before they are entering to the markets and now we have challenges really to have the standards

ready because this is a very fast developing technology but we are working on that and um I think it's important to underline also that this package that the reason why we are doing it it's especially of course that we want to

boost innovations and investments in the European Union. So we want to support our startups, our SMMES to scale up their businesses as innovate in the European Union. So we are not so much here uh looking the big industries and

we are not especially looking the very big tech companies because they have all the resources always as we know they are the biggest companies in the world many tech companies so they have also the resources to comply with different

rules. So we are looking especially at startupsmemes our own industries how we can support them to really innovate and scale up their businesses into Europe how we can cut bureaucracy and reporting obligations from them. So this is our

main focus here. But I think when we are looking our our digital rules, I think uh in all our rules we have very risk based approach that the bigger players or those who are uh posing bigger risks they have more obligations and also here

we have more exemptions for for the startups for small businesses because they are not posing that kind of risks than very big companies uh with big businesses. Yeah, if I can just add a a quick point. I think it's important to

to highlight that most of the feedback uh that we have received and that we have based uh this package on is from within the European Union. It's from all of the engagement that we have had on an ongoing basis with businesses with

stakeholders. They have given us the feedback of the need for change. And of course we have the draggy report that sets out the diagnosis and also provides us with uh a template and a roadmap for introducing the necessary reforms. And

on the question of certainty for business, you know, not all certainty is good. What we have laid out in the first year of the commission's mandate uh is a whole series of reforms and changes that will take time to be agreed but at least

the direction of travel is clear and uh the business community and wider stakeholders know that we are very serious about this agenda and uh last night we had the the first trial log on omnibus one uh and it's an indication of

the progress that we now need to make across the whole agenda that EVP Running and Commissioner Dumbroscus have set out today.

Thank you very much, Gabriel. [clears throat] Thank you very much. Rosan Majero, Italy. Uh just to clarify, Commissioner, you said that and just help me understand. I mean there is a lot of information to process, but you said

that your targeted amendments on GDPR will support growth of European AI. Is it fair to say that it supports growth of AI businesses or is there any I mean are you hinting at any preferential treatment in in that case? I would be

interested in knowing more about that. And uh I had a question for Commissioner Droskis, but I will address it to EVP in your capacity as EVP because we saw that three out of four parties of the so-called pro-European platforms have

already criticized uh the digital simplification uh omnibus and uh that comes just days after the first simplification efforts that the commission proposed passed its parliamentary test thanks to right and farright votes to EP amendments. So my question is if you are confident that

the pro-EU centrist majority will hold and will survive your several simplification efforts. Thank you VP. uh especially why we are focusing so much to to competitiveness and making Europe faster and simplier for the businesses is that we are we are falling very much

behind now when it comes to innovations and technologies and drug report very clearly underlined importance now to move fast uh more than one year ago already stated that it's now or never moment for Europe and I see that now

it's even more now or no never moment for Europe than it was maybe one and a half year ago when he published his report and that's why we are also now accelerating really the process how we can make Europe easier and simpler for

the businesses and also for AI innovations and development especially of course we are looking here our European businesses because this is a special area to where we want to focus uh we see that we are very strong when

it comes to research and science on AI also very strong when it comes to startups but now we have to make sure also that we are able to do also business with our innovations in the European Union and this is our main

focus. uh and yes it's true that now we have we are now proposing regulations uh uh as a commission but the core legislators are of course the ones who are making the decision and of course we hope that European parliament and

council that they will adopt this amendments uh in very swift process because we see that it's a really matter of urgency when we speak about simplification and the very hard competition we are facing on on technological competition what I would say on AI and GDPR is that

companies of all sizes and uh from all origins operating within Europe, so within the ambit of EU law uh will benefit from this change and uh many small midcaps are now using AI and of course larger businesses. We need more

uh companies to deploy AI and to harness the extraordinary potential uh that we knows we know it possesses. And what we are laying out here is a framework for that to be done uh within certain guard rails within EU guardrails that is fully

uh cognizant and respectful of our fundamental rights. And so the GDPR safeguards uh remain in place. Uh and we are essentially clarifying based on an opinion of the European data protection board uh that the the use of AI uh

through legitimate interest uh is something that we can provide for in law that provides the clarity and the certainty that businesses of all sizes operating within the European Union uh can now uh develop AI using that uh that

solid legal basis. Thank you. Final question Leo and then we close. Thank you very much uh Leo to for context. I have a question for Commissioner Maggra on the GTPR.

I think less than two months ago in your simplification uh implementation and enforcement report you said that the commission would look into targeted amendments to the GDPR in the next 12 months. So that was less than two months

ago and we already have targeted amendments. So my question is um is the commission just really good at its job and did the 12 months job in two months or did you find the inspiration elsewhere? Um I can't help but notice

similarities between the amendments that are proposed today and some recommendations by the German government uh a few weeks ago and side question uh if then it's not the job is not done will uh the reflections on targeted amendments continue throughout the years

and should we expect more amendments to the GDPR in 2026 20 2027 etc. Thank you.

Well, I I would say that we have um we have consulted widely. Uh we had a very good uh round table here at the implementation dialogue uh back in July where all of the main stakeholders uh were represented. I've also engaged in

uh discussions at uh council level. So with the ministers from the member states uh in the European Union and uh the digital package uh was in process and being developed uh and we felt that this was the ideal vehicle uh to propose

these changes uh because you have the direct inc interlinkages for example with the uh e- privacy directive. So the fact that the the legal basis now for uh the storage and uh for the for for accessing uh personal data is being

moved from e- privacy into GDPR for example that opens up then the GDPR enforcement uh toolbox in relation to the whole cookie area. So uh in the interest of coordination and ensuring that these different policies can be knitted together in a coherent and

cohesive fashion uh I believe that this was uh the correct legislative vehicle to bring forward uh the changes in relation to uh GDPR. That said, I am conscious that we already uh made a change proposal for a change in relation

to recordkeeping under uh omnibus 4 uh dealing with small midcaps. uh it's only in recent times as well that we have secured the final agreement on the GDPR uh procedure rules regulation which will be particularly important uh in dealing

with uh complex crossber cases and making sure that our data protection authorities can uh work together uh in a good way uh and now we're making these proposed changes in the context of uh the digital package uh and we do need to

have uh a period of of certainty and stability. These changes will take some time uh to reach agreement by the co- legislators. Uh and my focus now will be on uh bedding down these changes, engaging in the trilogs, uh explaining

the commission's uh proposals and then ensuring that we have the smooth implementation of what we have already agreed.