2023 Trends in Data Privacy That Could Impact Your Compliance

As technology grows, keeping consumer data safe is more important than ever. Personal details such as financial records, health information, and passwords now travel quickly worldwide, so strong security is essential to protect privacy.

By 2024, about three-quarters of people worldwide will have their personal data protected by strict privacy laws. Companies must follow rules like HIPAA and GDPR, which are designed to keep personal information safe. This shows our ongoing focus on security in the digital age.

Data privacy and cybersecurity matter for every business, big or small. As protecting sensitive information becomes more important, all organizations must follow complex rules or risk serious penalties for not complying.

In one year, GDPR violations went up by 113.5%, and fines increased by 124.92%. For HIPAA, a single violation can cost organizations between $100 and $25,000.

All organizations, especially those handling sensitive information, should make data privacy a priority. It is important to take proper steps when collecting, transferring, or storing any personal data, since security is crucial.

Staying ahead in data privacy compliance is important. As we approach 2023, new trends are emerging that you should know about for better protection and success. Our report highlights these key developments to help you stay informed about data privacy.

Data privacy compliance is more important than ever

AI Governance

AI, including voice and facial recognition, now plays a key role in privacy protection. Around 40% of compliance technology uses artificial intelligence, making it an important tool for data security today.

AI helps tools like Microsoft Word predict your next words as you type. The same technology is used in photo editing software like Photoshop, where you can change a frown to a smile with one click.

As AI takes on more data security tasks, it is important to think about possible risks. We must ensure our systems remain safe, even as machines become more involved.

AI governance is a major topic as we look for better ways to protect data privacy. Advances in artificial intelligence make this challenge more complex, so working together is key to keeping personal information safe.

Companies must be careful when using artificial intelligence to protect confidential information. Without proper oversight, automated systems might accidentally expose sensitive data, which is a risk to avoid.

Consumer Privacy UX

People now have more control over their data privacy. New rules require apps and websites to clearly explain what information they collect and give users options to access their data, making it easier for consumers to protect themselves online.

To meet the demand for privacy, tech companies have built user-friendly hubs that give people more control over their data. These portals, called 'consumer privacy UX,' let users see and change how their information is managed in different apps.

Increased Scrutiny of Remote Employee Monitoring

Since the pandemic, many organizations rely on remote staff. Companies have changed how they collect data to better monitor employees working outside the office, which brings new challenges for employers.

The global workforce has drastically shifted in light of the pandemic, with many organizations now mainly relying on remote staff. As a result, companies have had to adjust their data collection efforts to better monitor employees who are no longer at an office space. This further diversifies work life as we know it and brings forth new challenges for employers everywhere.

With more remote work, nearly half of employees use their own devices for work. Companies need to use secure data practices, such as endpoint device monitoring, and avoid accidentally collecting or backing up personal information owned by individuals.

By utilizing data localization

When TikTok became popular, many people were concerned about its Chinese origins. Although millions use the app worldwide, its data is stored on servers under Chinese law, which can be very different from other countries' privacy rules.

As cloud technology has advanced, organizations are beginning to ask the important question of providers: where is my data? Companies and governments alike want their online information housed as nearby as possible in order to comply with local privacy regulations.

As a result, data localization, or storing digital assets closer to home, will become more common across all industries.

With developments in Privacy-Enhancing Computation (PEC)

AI is revolutionizing the way developers approach data privacy and security, with a new term – ‘Data Privacy by Design.’ By incorporating Privacy-Enhancing Computation (PEC) into software and applications as an industry standard component, businesses can provide their clients with automated safeguards to protect valuable data. Don’t just settle for the first business tool you find.

Have you reviewed your compliance procedures lately?

Avoid costly penalties by calling us for help with your data privacy. We can help you feel confident that you are compliant and secure. Contact us now to schedule your compliance checkup.