1. Building a European Data Economy
Daniele Rizzi
European Commission Directorate-General for Communications Networks, Content and Technology
Unit Data Policy and Innovation
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4th International Conference on Internet Science Data Economy Workshop: How online data change economy and business
Thessaloniki, 22 November 2017

2. Outline The potential of data
Framework: Digital Single Market Strategy
European policies on data
Personal data regulation
Government data
Research data
Industry-held data
Next steps: bringing it all together

3. Outline The potential of data
Framework: Digital Single Market Strategy
European policies on data
Personal data regulation
Government data
Research data
Industry-held data
Next steps: bringing it all together

4. The potential of data
Societal benefits in many areas such as health, environment, agriculture, mobility, research, etc.
Economic growth

5. By 2020 the European Data Economy in the most favourable scenario could contribute up to 4% of EU GDP
Multiplier impacts on the data economy
Value by scenario
EU Data Economy 2020
EU Data Market 2020
HIGH GROWTH SCENARIO
Maximising data users benefits
739 €B
4% EU GDP
107 €B
Data
Market x7
Data
Market X6 80 €B
BASELINE SCENARIO
Exploiting innovation
452 €B
2.6% EU GDP 70 €B
Data Market x5
CHALLENGE SCENARIO
Few growth opportunities
354 €B
2.2% EU GDP
Source: European Data Market Monitoring Tool, IDC data:

6. Outline The potential of data
Framework: Digital Single Market Strategy
European policies on data
Personal data regulation
Government data
Research data
Industry-held data
Next steps: bringing it all together

7. Digital Single Market Strategy (2015)
Ensuring that Europe's economy, industry and employment take full advantage of what digitalisation offers
Pillar 3
ECONOMY & SOCIETY 
Digitising industry
Cloud
Inclusive digital economy and society
e-government
Standardisation & interoperability
Digital skills
Data economy      

8. Vice-President Digital Single Market

9. Commissioner for Digital Economy and Society
"Data lies at the core of the 4th Industrial Revolution. This is an essential resource for economic growth, competitiveness, innovation, creation and society's progress in general."
Mariya Gabriel

10. Outline The potential of data
Framework: Digital Single Market Strategy
European policies on data
Personal data regulation
Government data
Research data
Industry-held data
Next steps: bringing it all together

11. Data protection rules: The foundation of EU data policy
From May 2018: single pan-European set of rules for the protection of personal data (esp. General Data Protection Regulation, GDPR)
Anonymised personal data: treated like non-personal data
Consent mechanism
Any transfer of personal data outside the EU is subject to the same level of protection as inside
Data subjects have a right to personal data portability
Data protection logic
Free flow of personal data

12. Outline The potential of data
Framework: Digital Single Market Strategy
European policies on data
Personal data regulation
Government data
Research data
Industry-held data
Next steps: bringing it all together

13. Public Sector Information Directive Competition instrument
Public sector information / open data PSI Directive 2003/98/EC, amended by 2013/37/EU
Public Sector Information Directive
Competition instrument
Open Data instrument
Minimal set of rules on fair competition and transparency
Requirements to ensure that public sector information can be re-used across sectors
Re-use for commercial or non-commercial purposes.
Innovative products & services
Better policy-making
Public bodies are obliged to:
be transparent on conditions for re-use
avoid discrimination between re-users
address re-use applications within a time limit
limit use of exclusive arrangements
limit charges (marginal cost of reproduction)

14. The European Data Portal
- facts & figures -
800,000
datasets
34 countries
73 catalogues
Metadata in
24 Languages

15. The European Data Portal
Open Data maturity 2017

16. Review of the PSI Directive
Review clause (art. 13): to be done by July 2018
DSM Mid-Term review: announces Spring 2018 initiative
Public Online Consultation (Sept. ---> 12 December 2017)
The review will look at:
Functioning of charging provisions
Re-use of data held by semi-public undertakings
Re-use of research data
Improving data discoverability, machine readability
Better use of dynamic data
Clarification of the interplay with INSPIRE

17. Outline The potential of data
Framework: Digital Single Market Strategy
European policies on data
Personal data regulation
Government data
Research data
Industry-held data
Next steps: bringing it all together

18. Open Science
Good for science: limit research duplication, ensure verifiability, ensure replicability
Good for the economy: uptake of results by businesses, esp. SMEs  innovation potential
Good for society: higher level of citizen and civil society trust in science, open and collaborative research practices lead to high degree of responsiveness and adaptability to societal challenges ( citizen science)
New innovations and further commercialization. Inventions can be protected with patents and utility before the open publication of results.
2. The increase of transparency and openness of the international research system might lead to a higher degree of responsiveness of the research community to societal challenges. Research data available in community decsions
Benefits of 'Open Science':
Contributing to Innovation, Growth and Employment if: key elements of 'Open Science' becomes target of coordinated EU Policy and bottom-up stakeholder involvement
Making ERA more efficient: real knowledge sharing and better (re-)use of resources
An European Open Science Agenda under ERA would enable Member States to work together on issues of common concern (Grand Challenges) facilitated by collaborative, open research possibly funded through schemes under H2020 and joint initiatives by Member States
Is it becoming also more demanding?

19. Research data policies
2012 EC Recommendation to Member States on access to an preservation of scientific information
Open Research Data Pilot Horizon 2020: grantees deposit research data into a repository; take measures to grant open access to data
Principle of FAIR research data: Findable + Accessible + Interoperable + Re-usable; obligatory Data Management Plan (DMP)
European Open Science Cloud: data infrastructure for research and (later) other data; service catalogue
Text and datamining provisions - copyright framework

20. Outline The potential of data
Framework: Digital Single Market Strategy
European policies on data
Personal data regulation
Government data
Research data
Industry-held data
Next steps: bringing it all together

21. Building a European Data Economy - COM(2017)9
Need to exploit industry-held data better
Focus on non-personal, machine-generated data
Contracts are main vehicles to share and re-use
Data silos  innovation hampered
Objective: facilitate B2B data sharing and trading
Topics:
Free Flow of Data (national data localisation restrictions)
Access to data, data sharing
Portability, interoperability and standards
Liability
Experimentation
Industrial Data Platforms as possible infrastructure

22. Data Economy Addressing current barriers
Data access and transfer
OBJECTIVE
Making machine-generated data more accessible for businesses to boost innovation and the digital economy
POSSIBLE ACTIONS
Guidance on data sharing
Foster technical solutions to identify and exchange data
Default contract rules
Access for public interest and scientific purposes
Data producer's right
Access against remuneration

23. Data Economy Addressing current barriers
Data portability, interoperability and standards
GDPR rules on portability do not apply to non-personal data
Portability of non-personal data could foster innovation and new services, and stimulate competition
Data portability should be made easier and less costly in B2B contexts
Importance of interoperability of services, and of appropriate technical standards
POSSIBLE ACTIONS
Recommended contract terms to facilitate switching costs of service providers
Developing further rights to data portability
Improving technical interoperability and sector-specific standards

24. Data Economy Addressing current barriers
Liability in the context of IoT
and autonomous systems
Internet of Things (IoT) and autonomous systems combine hardware, software & data from many market players, making it difficult to identify who is responsible
Legally difficult to qualify as either products or services
Established concepts & principles possibly not fit for purpose
POSSIBLE ACTIONS
Defining responsibilities according to how a risk is generated or how it is managed
Considering voluntary or mandatory insurance schemes

25. Stakeholder dialogue January-April 2017
The consultation focused on 4 issues:
whether and how data localisation restrictions inhibit the free flow of data in Europe and how the issue should be resolved
whether and to what extent digital non-personal machine-generated data are traded and exchanged, and what barriers, if any, exist, as well as their impact and possible solutions
emerging challenges of the Internet of Things and robotics liability
practices, issues and possible solutions relating to data portability, interoperability and standards

26. Public online consultation from 10 January – 26 April 2017
Series of workshops:
Non-sector-specific workshops
Switching Between Cloud Services Providers (portability)
Workshop with MS representatives on the emerging issues of the data economy
Data access & data sharing: impact on SMEs’ and start-ups' business models
Data access & transfer with a focus on APIs & industrial data platforms
Data Economy Workshop, Digital Assembly
Reverse PSI
Liability in the area of autonomous systems & advanced robots & IoT systems
Sector-specific workshops
EIP-AGRI Workshop on Data Sharing
Data-related issues in mechanical engineering, medical devices, business services, the automotive sector, the food & drink supply chain
Workshop on the transformative effect of access & reuse of data for smart industries

27. Online consultation: who contributed?
380 replies to the questionnaire, 113 position papers (28 as stand-alone contributions)
All EU Member States
Mainly businesses and organisations
¼ of companies respondents are SMEs

28. Outcome – in a nutshell Free flow of data Data access & re-use
Existence and high impact of data localisation restrictions
Removal of such requirements, preferably through a legislative instrument
Data access & re-use
¾ share their data but not all widely. Less than a half report difficulties. Investments perceived as well protected
Strong consensus on :
making data available for the data economy, but call for prudence in re-use of data
no need for additional regulation – freedom of contract should prevail
APIs (Application programming interfaces) received the biggest support as a technical way forward
EC guidance and recommended contract terms – either supported or seen sceptically

29. Outcome – in a nutshell Liability Portability
Very few producers and consumers experienced problems; discouragement for claiming damage
Fear that new extra-contractual liability rules may harm innovation; no need for EU level ad hoc approach reported
Portability
Difficulty to port data when switching cloud service providers or porting back to in-house servers (SMEs). Difficulty in separating non-personal and personal data
Just over half of respondents is positive about the introduction of general portability rights. The other half calls for an industry-driven approach. Focus on B2C.
Interoperability & standards
Need for interoperability standards; preference for standard-compliant solutions
Preference for technical solutions (common metadata schemes) rather than legal solutions; industry-driven

30. Access to privately held data of public interest ("reverse PSI")
Access to commercially-held data of public/general interest (such as health risk alerts, statistical surveys or multimodal transport services etc.)
Could concern data that is necessary to accomplish important public goals (e.g. Smart Cities, diseases)
One-to-one scenario ('reverse PSI') - privately held data is used by the public sector (e.g. for the purpose of official statistics) or one- to-many - data becomes re-usable openly or against a price (e.g. for companies in competitive markets).
Access to privately held data is also useful for science
Workshop 26/6/17
Loi Lemaire (FR) serves as inspiration

31. Outline The potential of data
Framework: Digital Single Market Strategy
European policies on data
Personal data regulation
Government data
Research data
Industry-held data
Next steps: bringing it all together

32. Combining government, industry and scientific data
Business
data
Innovation & growth +
solutions to societal challenges
Government data
Scientific
data

33. Bringing it all together
The data economy will flourish if data is accessible & re-useable:
- across borders
- for & by different types of organisations (private, public, research)
- for & by different sectors (e.g. energy, manufacturing, health…).
Having a large reservoir of data available for re-use will
- make it possible to build new information services
- allow for searching for correlations and patterns
- enable the emergence of ideas and answers to societal challenges
- e.g. epidemics, smart cities
 It must be legally & technically possible not only to access and re-use, but also to blend and combine data and tools.
Studying the size of B2B data sharing (on-going study, results: December 2017)

34. Digital Single Market Strategy
10 May 2017: Mid-Term Review adopted - COM(2017) 228
Chapter on the Data Economy:
Autumn 2017: legislative proposal on the EU free flow of data cooperation framework (principles: free flow of data within the EU, porting non-personal data, availability of certain data for regulatory control purposes)
Spring 2018: initiative on accessibility and re-use of public and publicly funded data; further explore the issue of privately held data which are of public interest (subject to evaluation / impact assessment) - including PSI Directive review and other data-related instruments
Analyse whether to define principles to determine who is liable in cases of damage caused by data-intensive products
Continue to assess the need for action concerning B2B datasharing
PSI Directive Consultation:
ective_en
- the Commission proposed a draft regulation of the EU free flow of non-personal data (13 September 2017).
The Commission has proposed a regulation aimed at removing obstacles to the free movement of non-personal data.
Legal uncertainty leading to caution on the market regarding cross-border data storage and processing
Lack of trust due to security risks and concerns about the cross-border availability of data for regulatory purposes
One single principle across the EU, guaranteeing free flow of non-personal data:
The free flow of non-personal data principle removes unjustified data localisation restrictions imposed by public authorities, enhancing legal certainty and raising trust.
The principle of data availability for competent authorities makes sure that the data remains accessible for regulatory and supervisory control also when stored or processed across borders in the EU.
Actions to encourage cloud service providers to develop self-regulatory codes of conduct for easier switching of provider and porting data back to in-house servers.
Security requirements on data storage and processing remain applicable, also when businesses store or process data in another Member State. The same applies when they outsource data processing to cloud service providers.
Single points of contact in each Member State, to liaise with other Member States’ contact points and the Commission to ensure the effective application of the new rules on the free flow of non-personal data

35. 2018 Data package – PSI Directive
Re-use of public sector information
2018 Data package – PSI Directive
Public online consultation open until 12 December 2017
Impact Assessment under way
Focus: review of the Directive on the re-use of public sector information 2003/98/EC (PSI Directive) in the areas of:
Simplification of charging provisions
Re-use of data held by semi-public undertakings
Re-use of research data
Improving data discoverability, machine readability
Better use of dynamic data
Clarification of the interplay with INSPIRE/Database Directive
The review of the Directive on the re-use of public sector information is one of the key elements of the 2018 package.
As foreseen in the May 2017 mid-term Review of the Digital Single Market strategy (COM(2017) 228), and in order to fulfil the goals of the strategy in the field of the data economy, the Commission is preparing an initiative on accessibility and re-use of public and publicly funded data, and is at the same time further exploring the issue of privately held data which are of public interest.
The Directive 2003/98/EC on the re-use of public sector information is a core element of the European strategy to open up government data for use in the economy and for reaching societal goals. Revised by Directive 2013/37/EU (PSI Directive) in July 2013, it encourages Member States (MS) to make as much material held by public sector bodies available for re-use as possible to foster transparency, data-based innovation and fair competition.
The consultation will close on 12 December 2017.

36. 2018 Data package – other elements
Plan to set up a support centre to facilitate B2B data sharing as a means to help identify and share the best practices in Europe and provide guidance documents, e.g. model contractual terms or technical guidance.
Review the 2012 Commission Recommendation on access to and preservation of scientific information and/or extension of the scope of the PSI Directive towards research establishments.
The review of the Directive on the re-use of public sector information is one of the key elements of the 2018 package.
As foreseen in the May 2017 mid-term Review of the Digital Single Market strategy (COM(2017) 228), and in order to fulfil the goals of the strategy in the field of the data economy, the Commission is preparing an initiative on accessibility and re-use of public and publicly funded data, and is at the same time further exploring the issue of privately held data which are of public interest.
The Directive 2003/98/EC on the re-use of public sector information is a core element of the European strategy to open up government data for use in the economy and for reaching societal goals. Revised by Directive 2013/37/EU (PSI Directive) in July 2013, it encourages Member States (MS) to make as much material held by public sector bodies available for re-use as possible to foster transparency, data-based innovation and fair competition.
The consultation will close on 12 December 2017.

37. Striking the competition balance
Competition law: Ex-Post remedy to negative effects.
But do we also need to pro-actively foster positive effects, in addition to striking down negative ones?
How do we ensure a level playing field for new and smaller players without punishing those who do well?
Different types of regulation that take a pro-competitive approach (without disturbing the traditional competition law):
Consumer rights – regulation of Unfair Contract Terms
Portability right in GDPR – avoiding vendor lock-in and facilitating access to data
Anything we can learn?

38. Building a European Data Economy
Thank you!
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