CCPA vs. GDPR: The Compliance Wars [Infographic]
In a world where data is the most valuable resource, it’s logical that there will be new regulations to protect consumer data. With media outlets covering more data scandal stories than ever, consumers are increasingly more aware of data collection and how it affects them. With this in mind, compliance regulations support consumer rights to data privacy and consent. Two such regulations are the EU’s GDPR (General Data Protection Regulation, in effect May 25, 2018) and the CCPA (California Consumer Privacy Act, in effect January 1, 2020). These are two of the first regulations that directly impact data collection, use, and storage on a widespread scale. Understanding the impact of GDPR and CCPA regulations is crucial for compliance today—and in the future. In fact, these regulations foreshadow a certain trend toward data collection and management: More governing bodies will implement privacy and consent regulations with heftier repercussions for noncompliance. To help you understand how these regulations can affect you, here’s an overview of GDPR vs. CCPA.
Similarities and Differences: CCPA vs. GDPR Compliance
Here are the most notable similarities between the CCPA and the GDPR:
- Where are these in effect? Anywhere within the government’s jurisdiction.
- Who do the laws protect? Any residents of the jurisdiction.
- When is a business responsible? Anytime they interact with the data of a resident.
- What rights do customers have over their data? Both CCPA and GDPR compliance rules allow users the right to access, correct, delete, and stop the processing of their data.
Here are the most notable differences between the CCPA and the GDPR:
- Who do the laws affect? Any business that collects data from these residents, regardless of where the business is based. The GDPR does not look at the size of the business when implementing its regulations. The CCPA, however, requires businesses to be a certain size or possess a certain amount of data before the law will be enforced.
- Punishment for violations: Directly through fines and indirectly through the media and public relations. Fines accrued via the GDPR are linked to and capped based on a company’s annual revenue, whereas CCPA fines have no ceiling and are assessed on a per violation basis.
- The right to opt-in/out: Prior to collecting data, the GDPR requires that businesses ask consumers to opt-in. The CCPA takes a slightly less intensive approach, requiring that businesses allow users to opt-out of collection.
- Requirements for third-party transfers: The CCPA requires that you give a customer notice before the sale and transfer of their data, so that they may stop it. The GDPR requires explicit consent from customers before third-party processing or transfers occur.