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Data Protection Policies and the Emerging Market
When we say 'personal data,' what kind of information comes to mind first? From identification numbers to marital status, from place of birth to phone numbers, we can name many, right? Mostly, data that could be considered 'confidential,' the kind of information that makes you think twice before sharing it—wouldn’t you agree?
Are you aware that you share much of your personal data with others throughout the day—often without even realizing it? From the associations you join to your place of origin, from financial details to political views, personal data can be shared unconsciously. While personal data is often thought of as strictly legal information about an individual, in reality, it includes any type of information related to a person. From hair color to the location and content of purchases made within a month, every detail about an individual can be listed under the category of personal data.
In Türkiye, the law enacted for the protection of personal data is called the Personal Data Protection Law. So, how have such laws developed around the world?
Data Protection Laws Around the World
Although discussions on personal data protection in Türkiye began at a legal level around 2010, the first law on this matter had already been enacted in Germany back in the 1970s. In 1981, the Council of Europe adopted the Data Protection Convention, recognizing the right to privacy as a legal right.
In the 1970s, the concept of 'personal data' and 'protecting personal data' had a very different meaning in law and society compared to today, both in representation and in the penalties imposed. Originally, these laws emerged out of concerns about citizens being monitored by the state as computer technologies became more widespread. Today, however, they have evolved into mechanisms aimed at protecting citizens from one another. At the time, their scope was limited to relatively simple categories such as identity details, education and employment records, or health information written on paper. Nowadays, personal data encompasses digitally stored and tracked information such as IP addresses, voice recordings, location data, and biometric identifiers.
Today, the emergence of industries worth hundreds of billions of dollars focused on digital data protection, the legal penalties enforced by law, and the efforts organizations make to safeguard their reputation and stakeholders all highlight how essential every step taken toward the protection of personal data has become on a global scale.
Personal Data Before the Law
For example, under personal data protection laws in 2024, penalties were imposed on major technology companies and banks:
- LinkedIn: $325 million USD for processing user data without consent and using it for advertising purposes in the EU.
- Uber: $305 million USD for transferring EU driver data to the US with inadequate protection.
- Meta: $1.4 billion USD for unauthorized use of biometric data.
- Avanza Bank (Sweden): €1.33 million EUR for sending visitor data to Meta without consent due to a Meta Pixel error on its website.
And of course, we have witnessed how the already fragile 'corporate reputation' can be shattered with a single misstep. To get to the main question: how much do you really trust all these major companies, and how safe do you feel knowing they have access to your digital footprint?
In the face of concerns about data protection, legal penalties, and the shattered corporate reputations, the data protection industry continues to grow year after year.
For example, here are some of these sectors and their market sizes in 2024:
- Cybersecurity: $193 billion USD
- Cyber Insurance: $13 billion USD
- Audit and Certification: $16 billion USD
- Data Protection and Compliance Consulting: $11 billion USD
In conclusion, the efforts in the 1970s to protect citizens in relation to the state, sparked by the rise of information technologies, have evolved today into measures aimed at protecting citizens from corporations through multi-million-dollar fines. This shift has transformed the data protection sector into a massive industry, while the concept of 'privacy' has become an increasingly complex and contentious issue. Personal data—information that individuals might even hesitate to share with their closest friends—has turned into a cash-generating asset in the hands of major technology companies.