• Bloomberg, Wednesday, January 25, 2012 11:34 AM

What are U.S. authorities doing to assure consumers that the information they share online is secure? Good question. Across the Atlantic, however, the European Union says companies could soon face fines as high as 2% of yearly global sales for losing users’ personal data. As Bloomberg reports: “Data protection agencies in the EU’s 27 countries would gain the power to sanction companies that violate requirements for handling personal information proposed by the European Commission today.”

Of particular notes, the measures target online- advertising and social networking sites -- something that US companies will a European presence (Google, Facebook, etc.) will have to consider. Not surprisingly, then, industry groups with members including Microsoft and Google have warned against similarly strict data-privacy rules, arguing that they risk stifling innovation. Still, “the protection of personal data is a fundamental right for all Europeans,” EU Justice Commissioner Viviane Reding, stated. “My proposals will help build trust in online services because people will be better informed about their rights and in more control of their information.”

Read the whole story at Bloomberg »