EU Withdraws ePrivacy Proposal
The European Commission has officially withdrawn its proposal to update the ePrivacy Directive, which aimed to align online tracking rules with the General Data Protection Regulation (GDPR). This decision comes after years of stalled negotiations between EU co-legislators, who failed to reach a consensus. The original proposal, dating back to 2017, faced significant lobbying from tech giants and telecommunications companies, leading to its eventual demise. The Commission cited the proposal as outdated, considering recent technological and legislative advancements.
Despite the withdrawal, existing ePrivacy rules remain in force, and several tech giants have faced penalties for breaching these regulations. Notably, Google and Amazon were fined by France’s data protection authority, the CNIL, for failing to obtain proper consent for cookies, with penalties amounting to approximately €110 million and €39 million, respectively. The dominance of behavioral advertising models, which rely on tracking and profiling users, has heightened the stakes for any reform of ePrivacy rules, potentially impacting the enforcement of do-not-track measures.
The withdrawal has led to uncertainty regarding future regulation of online tracking in the EU. The European Court of Justice may need to provide interpretations and guidance as new technologies emerge, staying beyond the reach of the current ePrivacy framework. The Commission has highlighted the Digital Services Act as a strong framework for ensuring privacy, particularly for minors, and remains committed to maintaining high privacy standards while fostering innovation.
Looking ahead, the Commission’s 2025 work program includes various tech-focused legislative initiatives. These include plans for an Innovation Act to support startups and scale-ups, a Cloud and AI Development Act to enhance data access, and a Digital Networks Act to improve cross-border network operations. The EU also aims to boost biotechnology and quantum technology sectors, alongside efforts to protect undersea communication infrastructure. Consumer protection remains a priority, with a new Consumer Agenda set for 2025-2030, balancing consumer rights with business interests.