DPAs seek clarity on ‘pay or consent’ privacy choices
Recent developments in digital services have presented users with a new choice: consent to be tracked and profiled for marketing purposes or pay a fee to use the service. Those who decline to choose may find themselves barred from the service. This practice has raised questions about the voluntariness of consent, a fundamental requirement under privacy regulations which state that consent must be free from coercion and negative consequences for refusal.
Data protection authorities from Norway, the Netherlands, and Hamburg have requested a formal opinion from the European Data Protection Board (EDPB) under Article 64(2) of the GDPR. This guidance is expected to shape the enforcement of privacy laws throughout the European Economic Area (EEA). With the potential to redefine internet privacy rights, the EDPB’s stance will address whether privacy is a universal right or a luxury for those who can afford it.
While the EDPB deliberates, the debate continues over whether the ‘pay or consent’ model is compatible with GDPR’s principle of voluntary consent. Some European data protection authorities allow charging users who do not consent under certain conditions, while others do not. The European Court of Justice (ECJ) has referenced such practices without detailing their legality but has emphasized the importance of voluntary consent.
Regardless of the EDPB’s forthcoming opinion, marketing as a source of revenue will continue, albeit through less intrusive methods that do not require consent. This highlights a distinction between the necessity of income for services and the pursuit of maximizing profits through surveillance-based marketing.
Source: Datatilsynet ber EDPB om formell uttalelse om “pay or okay” | Datatilsynet